Analysis of the development trend of China's ATM industry

- Aug 27, 2018-

Abroad, the use of ATM can bring considerable profits, which is also the main driving factor for the rapid development of ATM abroad. At present, the profit brought by ATM in China is quite different from that in foreign countries. The profit brought by ATM will increase in the future. The increase of profits mainly comes from the reduction of costs and the increase of profits.

(1) centralizing and standardizing management trends to reduce costs.

By establishing ATM management center, foreign commercial banks have centralized and unified management of people, property and network related to ATM. In terms of business process, ATM management of foreign advanced commercial banks has passed the ISO9000 international quality standard system certification, and is very standardized in system construction, business operation, risk control, performance appraisal. However, most of the domestic banks lack perfect ATM management system, the branches make their own business processes, and the operation of ATM is not standardized; ATM management means are relatively backward, staying in the stage of manual management, and no effective risk control system has been formed. The ATM network system of foreign advanced commercial banks is a service host, a set of pre-program and ATM three-tier architecture. The host centralizes ATM transaction data and accounts, and the pre-program performs transaction transfer, ATM monitoring and management. The network system is simple and easy to centralize management. The manpower cost and maintenance cost brought by centralized management are small.

(2) business charges will become more popular and revenue will increase.

The popularity of overseas ATM business charges is a mature benefiting industry. In China, the lack of interest mechanism leads to the lack of internal power in the market, which hinders the further refinement of intra-industry division of labor and the further deepening of intra-industry services. Commercial banks do not carry out independent accounting for ATM business. ATM business is regarded as a subsidiary business of traditional bank deposit and loan business or a subsidiary project of bank card issuing business. The input and distribution of ATM machines are completed by the way of indicators issued by the head office. Bank branches lack initiative in expanding the peripheral ATM market. Therefore, the benefits brought by ATM are not satisfactory. In the future, business charges for ATM will become more and more popular and standardized, and there will be more room for revenue growth.