How ANZ’s share trading platform plans were changed by Apple Pay
The bank is considering selling off its share trading service.
Mere months after rebranding its share trading platform and dumping the E*TRADE Australia brand, ANZ is now contemplating selling off its ANZ Share Investing platform entirely.
In a statement issued today, ANZ said that it was contemplating selling the platform and was in discussions with some providers. A final decision won't be made for some months.
What's really striking about this plan is that it underlines how ANZ believes it can compete more effectively by using third-party technology, rather than building everything itself. "As we have seen with ANZ's recent introduction of Apple Pay and Android Pay, the days of a bank needing to own every piece of technology are gone," ANZ managing director for pensions and investment Peter Mullins said in the statement.
"We believe we can achieve better outcomes for our customers by partnering with a specialist provider committed to the technology investment and product innovation needed to provide a world-class offering." ANZ was the first Australian bank to introduce Apple Pay and was also in the launch group for Android Pay in Australia.
Other big Australian banks are taking a different approach. As we reported earlier this week, Commonwealth Bank, NAB and Westpac are seeking permission from the ACCC to negotiate directly with Apple and Google. A key motivation there? To be able to build their own contactless payment apps that work with the iPhone's NFC receiver, rather than being forced to use the Apple Pay app.
Both approaches have risks. It's much more expensive to build and maintain your own software platforms; taking the ANZ line means not having to spend that money, and potentially rolling out a service faster. But it also means that customers are being repeatedly exposed to third-party brands, rather than relying on the bank as the main provider.
ANZ clearly recognises the value of its own brand. That was one of the reasons that it decided to get rid of the E*TRADE Australia brand to place its own name in the centre. Given that, I'd assume that even if the bank does sell off its share investment platform and have it provided by someone else, it will insist on keeping its name in the final product. Interesting times ahead.
Angus Kidman's Findings column looks at new developments and research that help you save money, make wise decisions and enjoy your life more. It appears Monday through Friday on finder.com.au.
Latest news headlines
- Beem It: Hands-on review of the new instant payment app
- Money Hack: Earn Qantas Points by protecting your business vehicles
- Stop and give-way intersections most dangerous for cyclists
- New on Netflix Australia and Stan in June 2018: Farewell Sense8, we hardly know youse
- Bitcoin and cryptocurrency round-up 25 May 2018