The Bankwatch

Tracking the consumer evolution of financial services

FaceBook challenges run deep and are fundamental

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Back in 2007, then in 2016 I looked at the FaceBook business model and compared it to AOL.

Here is the thing. AOL which was the US #1 internet source at one point, lost out because its mission was to retain users within the walled garden. It is not the first time this argument has been used but consider …. AOL strategy was all about building tools within their own garden, and as early as the 1990’s they even had their own browser and their own markup language (think proprietary version of HTML). They had their own CD which let you install AOL on your computer. The AOL ‘platform’ was a CD. Platform, tools, apps; the parallels are remarkably close.

My context then seems narrow now. But FaceBook remains a walled garden which expects to attract users and is required to continually provide reasons to be attractive to users, and yet make money.

The attraction FaceBook provided was to challenge traditional views on privacy and imply that they had that covered. Zuckerberg continually challenged traditional views on privacy and was rewarded with 2 Bn users.

Fast forward to now, and the walls are tumbling. Sandberg comments today tell us Mark will no longer be at the helm in short order.

Relevance to Bankwatch:

I have always been critical of internet and web as a media tool. I remain steadfast on that. I believe in pay as you go subscription models for news. I know who I trust and I know who I mistrust.

Facebook has no attraction for me as media. I understand the attraction of my relatives sharing family pics but I do not understand the relevance for news.

I know and trust Lionel Barber, Rana Foroohar and Gillian Tett (look them up). They carry weight and credibility. That is what distinguishes actual news.

Meantime FaceBook has been attracting users beyond the friends and family people based on spurious information that is not even called news. Those people were attracted under false pretences. Sandberg noted today that “To this day, we still don’t know what data Cambridge Analytica have”

Finally this from 2009 from 2009 where I summarised the coming media crisis using pieces from several others.

In 2004 people were asking about blog business models. Now it is social network business models. I have suggested other ways to deal with business models, but the mob continues to aim directly at advertising as the answer. It will pollute the web, and result in the opposite result than what is desired. It will not bring sustainability for them using advertising.

Written by Colin Henderson

April 5, 2018 at 23:34

Posted in Uncategorized

Open Banking has arrived … what?

The Independent notes the significant change that has crept up on us. Expect more in Canada methinks.

This weekend a major change in the way banks manage your data takes place, one that could completely revolutionise how we bank, who owns our financial data and which companies can offer us targeted financial services.

It’s called Open Banking and it’s driven by a new EU directive and new UK competition rules. Changes taking effect this weekend mean that banks will have to share financial data such as transaction history and spending patterns with other (regulated) third-party providers if the account holder requests it.

That might sound like baffling small print, but it could genuinely shake up the way in which you manage your money.

Instead of your personal data being something jealously guarded by your bank, you’ll be able to request that approved companies can also access it. That will mean they can help you analyse and improve your spending habits or simply just point you at financial services that better meet your needs.

Written by Colin Henderson

January 15, 2018 at 18:23

Posted in Uncategorized

FaceBook finally gets smart and plans exit from news

Good article in Medium about the long time coming shift from FaceBook.

Here is how Zuck defended the move:

“The research shows that when we use social media to connect with people we care about, it can be good for our well-being. We can feel more connected and less lonely, and that correlates with long term measures of happiness and health. On the other hand, passively reading articles or watching videos even if they’re entertaining or informative may not be as good. Based on this, we’re making a major change to how we build Facebook. I’m changing the goal I give our product teams from focusing on helping you find relevant content to helping you have more meaningful social interactions”.

Written by Colin Henderson

January 15, 2018 at 18:05

Posted in Uncategorized

Test Post 3 – final

I have had the hardest time locating a blog tool for Mac. it has been a struggle for 5 years.  This is my latest try.  it has potential.  Cannot paste pics but able to use insert.

Written by Colin Henderson

November 27, 2017 at 00:28

Posted in Uncategorized

Test post 2


added text

Written by Colin Henderson

November 26, 2017 at 23:40

Posted in Uncategorized

Test post


I am trying out a new blog tool.  Pls disregard.



lorum Ipsum

test in quotes



  • item 1 
  • item 2
  • item n
  • item test 2


Written by Colin Henderson

November 26, 2017 at 23:31

Posted in Uncategorized

Deutsche admits defeat on retaining large traditional branch network

The turnaround from just yesterday from Deutsche is telling. One day they were to sell Postbank and today that idea is gone. In 2007 Postbank adherence to the branch concept was clear. No more.


Deutsche Bank has abandoned plans to sell its consumer banking unit Postbank and will instead embark on a massive integration project, rationalising technology platforms and running up a EUR1 bill on restructuring and severance costs.

The combined bank will serve over 20 million customers in Europe’s largest economy, 10 million of which are already using digital offerings.

Today the shift away from branches that began with Barclays and other UK banks 8 years ago has finally taken hold. The idea of a large bank being branchless is no longer a dream. There are many banks using the concept of shift to sales offices as a teaser, but the reality is that the traditional $1 million + branch with tellers, cash and vault infrastructure is now defunct.

In 2006 Jim Bruene, founder of Online Banking Report wrote this report. It has indeed been a long time coming but it is happening now.

Written by Colin Henderson

March 6, 2017 at 23:54

Posted in Uncategorized

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