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Third big Aussie bank syncs up with Xero

Posted 9 years ago in Xero news by xero
Posted by xero

Today, we announced to the market the Commonwealth Bank in Australia has signed on the dotted line to supply automated bank feeds to our mutual customers from 2 February 2009.

It’s great to have signed up three out of four of the big Australian banks. Commonwealth Bank follows on from ANZ and NAB.

The automated bank feeds are a simple and effective way for small businesses to have all their bank statements imported directly into Xero, saving significant time and double handling of data.

“Successfully managing cashflow is vital for small businesses,” says Karen James General Manager Direct Sale and Service for Local Business Banking. ”Providing direct daily transactions to our clients who use Xero software is one more way we are making it easy for clients to manage their business more successfully.”

Customers can access the daily feeds by simply completing a Customer Authority form.


Sam H
January 28, 2009 at 10.32 am

Congratulations Xero and the Commonwealth Bank for getting these feeds up and running. This is a positive step for both accounting and banking in Australia.

It is uplifting to see groundbreaking tools and partnerships being developed, especially at a time when the small business sector needs them the most.

January 28, 2009 at 12.53 pm

how about putting some more pressure on kiwibank to fix up their bank feed, so it actually shows the reference information.

Alastair Grigg
January 28, 2009 at 2.01 pm

Hi Alex,
Kiwibank are certainly aware of the limitations in their current bank feed data and we understand they have a project underway to improve this within the next couple of months.

January 28, 2009 at 6.17 pm

fingers crossed it only takes them a couple of months

January 29, 2009 at 11.18 am

Good Work, Xero is really making some headway over here

Danise McEvoy
February 2, 2009 at 9.37 pm

Well done Alastair, Paul & Co! Enjoy watching your team’s great progress.

Luke Fromhold
May 7, 2009 at 9.55 am

Great! Can you give BankWest a nudge next? 😉

Peter James
June 16, 2010 at 2.25 am

Rod, this is great news ive been watching xero for a long time and followed them when they first launched. Im a business which is keen to use xero, as an Aussie you have to understand lots of people in Australia really dislike Myob and Quickbooks for a variety of reasons, i work in computing and i can tell you first hand the issues ive had with the two major brands, people here feel trapped and now is the time a good competitor could enter the market. My business is small, we use salesforce as a crm and another package for specialised support, I’ve been looking at xero to integrate into our current system through the salesforce API but im at a loss as to why xero have gone for the current price structure? 95% of myob and quicken is small businesses, most of them wont care if there is 1 login or 10 because they will only use 1 or 2 max, this automatically puts you in second preference to QuickBooks and soon to be myobs online accounting system. Now as an IT consultant i can recommend your product, but if you are a small business and you have the option of staying with your current product which you know and for a marginal price difference take it Online, Or take on another product which is not widely well known and although looks good is more expensive, doesn’t have “all the bells and whistles” what would you choose rod? MYOB & Quicken Australia would have been concerned by Xero initially but they’d be smiling right now.

I would be the first to take joy in moving customers away from the big two because im half NZer and im over the big two, but Xero clearly haven’t thought this one out thoroughly, Australians complain alot but they stick to what they know, its why our banks suck and why our Telco is as it is.

Xero could come in right now and out sell the other two ten to none? i understand you dont want to be the cheapest on the market it gives the wrong impression, I really think its a smart idea how you guys are going through the accountants reseller market, but you have to make it attractive for the people who decide to use it, which in essence is the biggest market.

Rod Drury Xero
June 16, 2010 at 11.04 am

Hi Peter,

Thanks for your thoughtful note.

We’re very interested to hear your thoughts. It’s hard to compare online software with desktop software. With desktop software many costs are hidden. Support, servers, admin time etc, etc. Us in the online industry need to do a better job of educating the market as to the benefits.

We just heard of a Quickbooks customer with an old version being asked to fork out $800 to get their GST fix and day of time to upgrade. MYOB hasn’t even told their customers what they need to do for the NZ GST change yet. Sure with Xero you do get software but you also have us taking away all the pain of managing it and our support desk is here at almost all hours to help our small business customers when they need it. Software as a Service is all about the service. We have a deep ongoing relationship with our customers where we manage and look after their data.

Comparing that to dated desktop software where its sell and forget and try to get customer to pay for support contracts is apples and oranges.

At our stage of life we can’t cross subsidize from other cashflows, so we have set a sustainable price and we strive keep delivering more and more value. We’re very happy with our acquisition rates and over time the cost/benefit line will cover more of the market.

I’ll think you’ll see when/if MYOB online finally launches, and you can compare the services and price points that Xero will continue to stack up very well. We’re pretty sure they aren’t smiling.

I’m glad you’re thinking api’s.



Laura Humphreys
June 16, 2010 at 9.23 pm

Hi Rod, I’m surprised by Peter’s comments that Xero have not thought through their pricing. We’ve been with Xero since it launched, I imagine we were one of its first customers here in NZ and I cannot believe the VALUE provided versus any desktop software I’ve ever used. Its a set monthly cost with no hidden extras, its a very managable cost for a small busines like ours with only 3 users. As Peter says we don’t really care how many users are included in our price package as only the three team members and our accountant use it. The question is one of value for money. We were spending a considerable amount per month on our book keeper to use MYOB which went over and above any software costs. With Xero all team members can use the software, we have eliminated the need for a book keeper and our accountant can access our reports directly with no double handling. Xero is just so easy to use, so intuitive and so time efficient… why wait for the old boys to catch up and provide an online solution (which probably won’t be as intuitive anyway) when you can get onto Xero and enjoy the value it provides right now. Who cares if they are smiling or not… its your own happy face that counts! Thanks for pioneering the best solution.

Peter James
June 17, 2010 at 3.46 am

Laura, i consult in the industry i work heavily with CRM’s ERP’s, ive worked from the very early days of arrow for accountants and even had dealings with development of customised wms/Saas (no I’m not a competitor!). I’m not discrediting Xeros product i personally think its one of the best (and will be the best once it fully integrates into Australian banks and ATO etc) but Xero is not the only player in the market. The technology is with us and the market is filling with players all with their unique features. Saas has some big social barriers some businesses are finding hard to jump, a lot of companies hate the idea of their organisations entire sales/financial data online, but as with internet banking people’s fears will subside. During this time all players will compete to give as feature rich product as possible. Yes you will save time, there is no doubt but you will also save time with Quicken Online and MYOB Online which is currently the majority share holder of the market. Introducing a new product to a strongly dominated market and price matching isn’t an overly smart idea in this industry. There has to be an incentive for people to jump ship after all a lot of people hate myob and quicken but there has to be a logical reason why the majority have stuck with them for all these years? Yes you can blame it on lack of competitors, but one of the biggest reasons is because organisations fear/hate change. When the boat starts rocking people just grab hold of what is close, and its very likely people will just migrate their data to the online versions of MYOB and QuickBooks. Soon MYOB and QuickBooks will be showing customers the great reason to upgrade their product to their amazing online system. Xero already have a head start and if they price drop into the market where MYOB and Quickbooks feel squeezed, and make them realise they are at the mercy of companies who are willing to give better tech support, better service at a smaller price (all of which is very possible with SAAS), that way by the time MYOB and Quicken even try and reform their support/price/product to compete the market would of already been lost. The one beautiful problem is with large organisations it generally takes a long time to make policy/software changes, e.g. myobs solution to a shockingly large databases? Don’t fix the product just implement terminal services???

February 4, 2011 at 2.28 pm

I am a Chartered Accountant and have just used Xero for he first time …

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