The second wave of eBusiness makes creating business strategies that foster customer loyalty the top business priority across multiple service delivery channels. Critical to these strategies is the evolution of branch networks towards this new business model. The first wave of eBusiness, spurred by the Internet, has had fundamental impacts on the financial service provider industry. The first wave of eBusiness consisted of information retrieval and transactions, though the overall customer experience has often fallen short of expectations. Web-based customer access, lower transaction costs, and new entrants have all challenged the status quo and at the same time created new opportunities. Regulatory changes, particularly in the US, have set the stage for major restructuring of the industry.
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