At ZSuite Technologies, our flagship product, ZEscrow, bridges the gap between horizontal banking services and vertical industry-specific needs. With customizable workflows, ZEscrow meets the unique demands of property managers, municipalities, and legal professionals, giving banks a competitive edge.
Historically commercial banking industry services have been developed and offered horizontally, meaning banks offer the same general services to all commercial customers. Examples include wire transfers, ACH transactions and escrow accounts. These services are efficient and standardized, making them easy to implement and manage across various customer segments or verticals. However, a challenge arises when the unique needs of specific verticals, such as property managers, 1031 exchanges, municipalities, and attorneys, are not fully addressed by these horizontal offerings. The result of this method is that the commercial clients must figure out their own workarounds to use the generalized service from the financial institution.
Vertical offerings, on the other hand, are tailored to meet the specific needs of industries or customer segments. For instance, qualified intermediaries may need unique features for their wire transfers, and municipalities may need another set of features for theirs. Property managers might require unique language and compliance in their escrow services that differ from the needs of municipalities or attorneys. The rise of vertical SaaS (Software as a Service) platforms, like Yardi or AppFolio in the property management space, highlights the demand for specialized solutions catering to different verticals' distinct requirements.
The question for banks is how to adapt their horizontal approach to these specific vertical needs in light of the growing demand and competition. The horizontal offerings provide a solid foundation, but the need is increasing for customized and enhanced services for verticals. By providing these vertical services, banks can differentiate themselves and provide greater value to their customers.
Our flagship product, ZEscrow, is an excellent solution for banks looking to bridge this gap in commercial escrow and subaccounting. ZEscrow functions as a comprehensive horizontal product, offering essential services that cater to a wide range of commercial clients. At the same time, it includes specialized vertical workflows tailored to the unique needs of different industries. For instance, ZEscrow’s configurable workflows can be set to provide features relevant for property managers, 1031 qualified intermediaries, and legal professionals, ensuring that their particular requirements are met effectively.
Ultimately, the key lies in understanding the specific needs of different commercial clients and adapting services accordingly. By offering both robust horizontal solutions and flexible vertical enhancements, banks can ensure they meet the diverse demands of their clientele and stay competitive in the evolving financial landscape. ZEscrow by ZSuite Technologies exemplifies this approach, providing a versatile and powerful tool that meets both broad and specific needs of commercial banking clients.