SlideShare a Scribd company logo
1 of 26
Download to read offline
Future of Banking and Fintech1
Future of Banking and Fintech
Shailesh Grover, MD Research & Development
(Insights from my personal journey)
twitter: @sgr0ver
Future of Banking and Fintech2
What’s changing
Agenda
01
02
03
04
05
Why Incumbent banks
need innovation
Insights: Use Case #1
Insights: Use Case #2
Open Innovation
Future of Banking and Fintech3
“At the current churn rate, 75% of the S&P 500
companies will be removed from the index by 2027”
Yale professor Richard N. Foster, co-author of Creative Destruction
Future of Banking and Fintech4
49%
Less than half of the customers trust
the banks that they are currently with
58%
Do not believe that
banks have their
customers needs at
heart
51%
Just over half say their
bank makes managing
money simple
22%
More than one in five say that
their bank does not
understand their day to day
financial needs
Britons still have a very low opinion of banks, seven years
after the financial crisis of 2008
Customer dissatisfaction
Future of Banking and Fintech5
More and more people across the globe are using digital to
fulfil their day to day needs - including banking
Digital shift
82% 74% 33% 69%
Regularly fulfil their banking needs
digitally today
Preference
Would trust a digital only bank
Trust
Regularly visit a branch
Physical channel
Consider switching to a digital bank
Loyalty
Future of Banking and Fintech6
By 2025, 3 out of every 4 workers
globally will be a millennial
Millennial workforce
The millennials check their smartphones
43 times a day, on an average
Digital Natives
Communicate via social media, share
everything and show little loyalty
Social
By 2018, the millennial generation will
have the highest spending power
Spending Power
Comfortable with the security and convenience
of mobile payment, but confused by choice
Comfortable with mobile money
The future consumer has a very different set of
behaviour attributes that will inform the future of FS
Millennials driving the agenda
Future of Banking and Fintech7
Looking for 24x7 access, instant gratification, full
transparency and fee free products - all via their channel of
choice - MOBILE
Millennials changing behaviour and
expectations
Source: The Millennial Disruption Index
Future of Banking and Fintech8
“Banks have to be comfortable with being
uncomfortable”
Future of Banking and Fintech9
Merely changing the floor colours, introducing jeans and
putting a few game tables is not good enough to change the
culture
Corporate Innovation Theatre
Source: CB Insights
Future of Banking and Fintech10
Learning first hand about customer behaviour, needs
and wants
A day in the Customer’s life
Future of Banking and Fintech11
Focus on the experience the customer will go through
rather than just the product delivery
End-to-end Experience
Future of Banking and Fintech12
Use Case #1 Learnings
Future of Banking and Fintech13
Best Finance app with 4.5 customer ratings
Mobile Banking
Future of Banking and Fintech14
Offer digital knowledge, solutions, alternatives and support to colleagues,
customers & community groups. #DigitalEagles
Digital Eagles
Source: http://barclays.co.uk/digitaleagles
Future of Banking and Fintech15
Source: https://digitaldrivinglicence.barclays.co.uk
Future of Banking and Fintech16
Biggest, most active branch
Digital
Digitally Active Users Weekly logins Weekly payments & transfers
10m 31.3m £6.2b £42.6m
Weekly lending value
10% 31% 18% 50%YOY
Source: twitter.com
Future of Banking and Fintech17
Use Case #2 Learnings
Future of Banking and Fintech18
Customers faced a challenge of multiple Identification and
Verification methods across products and channels
Strategic ID&V
Future of Banking and Fintech19
Making customer Identity & Verification invisible and
frictionless
Innovation in Identity
Biometrics - finger vein, finger print,
facial, voice, ECG, etc.
Who you are
Devices - wearable, smartphone,
tablet, laptop, etc.
What you have
one unique piece of data that
unlocks what you need.
What you know
Future of Banking and Fintech20
Open Innovation
Future of Banking and Fintech21
“Large banks will fragment as they seek to protect the
profitable parts of their operations, leaving behind a zombie
core”, Anthony Jenkins
Fintech creating “value”
Future of Banking and Fintech22
Have critical mass in customer
volumes
Millions of customers
Have access to rich and powerful
data that includes transactions and
more
Information & Insights
Have deep pockets and assets
leverage
No dependency
Have a wealth of experience and
talent
Expertise
The banks have a clear upper hand if they leverage what
they have and partner to rapidly create and deliver value to
existing and new customers
Advantage: Incumbent banks
01 02 03 04
Future of Banking and Fintech23
1500 applications received from 77 countries for 3 London
cohorts
Rise London
Identity
Biometrics
Blockchain
Machine Learning
Prepaid Propositions
Digitally Pure Bank
Continuous Authentication
Data Analytics
Wealth Management
Gasification
Foreign Remittences
Human Resources
Internet of Things
Future of Banking and Fintech24
Multiple partner models evidencing customer stickiness and
value: Invest, Partner, Acquire
Strategic partnership to deliver
“value” to your customer
Source: CB Insights
The NHS has partnered with Tinder in a campaign to increase the
number of young people registered as organ donors.
UBER customers can pick the song they would like to listen to using
their Spotify before they start their ride.
Future of Banking and Fintech25
Accelerate innovation in partnership with Customers
and Business
Barclays LaunchPad
Available to anyone in the UK
Open development
Direct feedback on new digital
capabilities
Customer engagement
New technology lab and ring fenced
team within in partnership with the
business
Structure
Digital assets easily transferable
Simple connectivity
Future of Banking and Fintech26
Thank You
Shailesh Grover, MD Research & Development
twitter: @sgr0ver

More Related Content

What's hot

Tablet Banking Series: Your key to a successful tablet banking proposition
Tablet Banking Series: Your key to a successful tablet banking propositionTablet Banking Series: Your key to a successful tablet banking proposition
Tablet Banking Series: Your key to a successful tablet banking proposition
Mapa International Limited
 
201404 Retail-Banking-2020-Evolution-or-Revolution by PwC
201404  Retail-Banking-2020-Evolution-or-Revolution by PwC201404  Retail-Banking-2020-Evolution-or-Revolution by PwC
201404 Retail-Banking-2020-Evolution-or-Revolution by PwC
Francisco Calzado
 
Retail Banking
Retail BankingRetail Banking
Retail Banking
Theju Paul
 
Mega Trends in Retail Banking
Mega Trends in Retail BankingMega Trends in Retail Banking
Mega Trends in Retail Banking
Frank Schwab
 

What's hot (19)

Preparing to Enter the New Decade with the Latest Digital Banking Trends and ...
Preparing to Enter the New Decade with the Latest Digital Banking Trends and ...Preparing to Enter the New Decade with the Latest Digital Banking Trends and ...
Preparing to Enter the New Decade with the Latest Digital Banking Trends and ...
 
Digital Advocacy Is the Future of Banking
Digital Advocacy Is the Future of BankingDigital Advocacy Is the Future of Banking
Digital Advocacy Is the Future of Banking
 
Tablet Banking Series: Your key to a successful tablet banking proposition
Tablet Banking Series: Your key to a successful tablet banking propositionTablet Banking Series: Your key to a successful tablet banking proposition
Tablet Banking Series: Your key to a successful tablet banking proposition
 
Talk @CIO Institute - Leading the digital IT function in increasingly uncerta...
Talk @CIO Institute - Leading the digital IT function in increasingly uncerta...Talk @CIO Institute - Leading the digital IT function in increasingly uncerta...
Talk @CIO Institute - Leading the digital IT function in increasingly uncerta...
 
201404 Retail-Banking-2020-Evolution-or-Revolution by PwC
201404  Retail-Banking-2020-Evolution-or-Revolution by PwC201404  Retail-Banking-2020-Evolution-or-Revolution by PwC
201404 Retail-Banking-2020-Evolution-or-Revolution by PwC
 
The Next Phase of FinTech Collaboration
The Next Phase of FinTech Collaboration The Next Phase of FinTech Collaboration
The Next Phase of FinTech Collaboration
 
From competition to partnerships banks, fin techs, and neobanks _ medici
From competition to partnerships  banks, fin techs, and neobanks _ mediciFrom competition to partnerships  banks, fin techs, and neobanks _ medici
From competition to partnerships banks, fin techs, and neobanks _ medici
 
Retail Banking
Retail BankingRetail Banking
Retail Banking
 
Infographic: How Retail Banks Are Adapting to Fintech Disruption
Infographic: How Retail Banks Are Adapting to Fintech DisruptionInfographic: How Retail Banks Are Adapting to Fintech Disruption
Infographic: How Retail Banks Are Adapting to Fintech Disruption
 
FinTechStage Luxembourg: Data Thoughts
FinTechStage Luxembourg: Data ThoughtsFinTechStage Luxembourg: Data Thoughts
FinTechStage Luxembourg: Data Thoughts
 
Pwc fintech-global-report
Pwc fintech-global-reportPwc fintech-global-report
Pwc fintech-global-report
 
Innovation in bank payment systems and related services among selected commer...
Innovation in bank payment systems and related services among selected commer...Innovation in bank payment systems and related services among selected commer...
Innovation in bank payment systems and related services among selected commer...
 
Case study: Building Online Banking User Experience
Case study: Building Online Banking User ExperienceCase study: Building Online Banking User Experience
Case study: Building Online Banking User Experience
 
Mega Trends in Retail Banking
Mega Trends in Retail BankingMega Trends in Retail Banking
Mega Trends in Retail Banking
 
Szilágyi Péter - Disintermediaton a pénzügyi szektorban. Régi versus új mediá...
Szilágyi Péter - Disintermediaton a pénzügyi szektorban. Régi versus új mediá...Szilágyi Péter - Disintermediaton a pénzügyi szektorban. Régi versus új mediá...
Szilágyi Péter - Disintermediaton a pénzügyi szektorban. Régi versus új mediá...
 
Opportunities and challenges in Digital Banking pub
Opportunities and challenges in Digital Banking  pubOpportunities and challenges in Digital Banking  pub
Opportunities and challenges in Digital Banking pub
 
The Future of Fintech and Banking
The Future of Fintech and BankingThe Future of Fintech and Banking
The Future of Fintech and Banking
 
The Future of Bank Branches Coordinating Physical with Digital
The Future of Bank Branches Coordinating Physical with DigitalThe Future of Bank Branches Coordinating Physical with Digital
The Future of Bank Branches Coordinating Physical with Digital
 
What does RETAIL have to do with BANKING?!?!?
What does RETAIL have to do with BANKING?!?!?What does RETAIL have to do with BANKING?!?!?
What does RETAIL have to do with BANKING?!?!?
 

Similar to Future of Banking and Fintech (Insights from my personal journey)

Banking on Change EVP 2016 Fintech Report
Banking on Change EVP 2016 Fintech ReportBanking on Change EVP 2016 Fintech Report
Banking on Change EVP 2016 Fintech Report
Jak Kennedy
 
Going Digital - The Banking Transformation Road Map
Going Digital - The Banking Transformation Road MapGoing Digital - The Banking Transformation Road Map
Going Digital - The Banking Transformation Road Map
Michel Jaubert
 
Going Digital: The Banking Transformation Road Map
Going Digital: The Banking Transformation Road MapGoing Digital: The Banking Transformation Road Map
Going Digital: The Banking Transformation Road Map
Semalytix
 
The Future of Digital Banking Asia Pacific 2016
The Future of Digital Banking Asia Pacific 2016The Future of Digital Banking Asia Pacific 2016
The Future of Digital Banking Asia Pacific 2016
Sarah Leonard
 
201407 Global Insights and Actions for Banks in the Digital Age - Eyes Wide Shut
201407 Global Insights and Actions for Banks in the Digital Age - Eyes Wide Shut201407 Global Insights and Actions for Banks in the Digital Age - Eyes Wide Shut
201407 Global Insights and Actions for Banks in the Digital Age - Eyes Wide Shut
Francisco Calzado
 

Similar to Future of Banking and Fintech (Insights from my personal journey) (20)

Taking friction out of banking white paper - US
Taking friction out of banking white paper - USTaking friction out of banking white paper - US
Taking friction out of banking white paper - US
 
Beyond whitepaper-US
Beyond whitepaper-USBeyond whitepaper-US
Beyond whitepaper-US
 
A New Paradigm for Legacy Financial Services
A New Paradigm for Legacy Financial ServicesA New Paradigm for Legacy Financial Services
A New Paradigm for Legacy Financial Services
 
Beyond whitepaper-UK
Beyond whitepaper-UKBeyond whitepaper-UK
Beyond whitepaper-UK
 
Taking friction out of banking white paper - UK
Taking friction out of banking white paper - UKTaking friction out of banking white paper - UK
Taking friction out of banking white paper - UK
 
Mobile Wars: Fintech vs. Banks... and Big Tech in Ambush
Mobile Wars: Fintech vs. Banks... and Big Tech in AmbushMobile Wars: Fintech vs. Banks... and Big Tech in Ambush
Mobile Wars: Fintech vs. Banks... and Big Tech in Ambush
 
Money k citi private bank (audience)
Money k   citi private bank (audience)Money k   citi private bank (audience)
Money k citi private bank (audience)
 
Transformation and reconstruction of banks in the digital era
Transformation and reconstruction of banks in the digital eraTransformation and reconstruction of banks in the digital era
Transformation and reconstruction of banks in the digital era
 
Banking on Change EVP 2016 Fintech Report
Banking on Change EVP 2016 Fintech ReportBanking on Change EVP 2016 Fintech Report
Banking on Change EVP 2016 Fintech Report
 
Going Digital - The Banking Transformation Road Map
Going Digital - The Banking Transformation Road MapGoing Digital - The Banking Transformation Road Map
Going Digital - The Banking Transformation Road Map
 
Going Digital: The Banking Transformation Road Map
Going Digital: The Banking Transformation Road MapGoing Digital: The Banking Transformation Road Map
Going Digital: The Banking Transformation Road Map
 
EB_CEP_CFI_161104
EB_CEP_CFI_161104EB_CEP_CFI_161104
EB_CEP_CFI_161104
 
Payments 2020: Banks & Payments
Payments 2020: Banks & PaymentsPayments 2020: Banks & Payments
Payments 2020: Banks & Payments
 
Covid-19 Impact on Fintech and 2021 Trends
Covid-19 Impact on Fintech and 2021 TrendsCovid-19 Impact on Fintech and 2021 Trends
Covid-19 Impact on Fintech and 2021 Trends
 
2nd Place Finalist Consulting Case Competition for ANZ x TBWA x UniMelb
2nd Place Finalist Consulting Case Competition for ANZ x TBWA x UniMelb 2nd Place Finalist Consulting Case Competition for ANZ x TBWA x UniMelb
2nd Place Finalist Consulting Case Competition for ANZ x TBWA x UniMelb
 
Temenos_Global_Report_Final_Sep22.pdf
Temenos_Global_Report_Final_Sep22.pdfTemenos_Global_Report_Final_Sep22.pdf
Temenos_Global_Report_Final_Sep22.pdf
 
The Future of Digital Banking Asia Pacific 2016
The Future of Digital Banking Asia Pacific 2016The Future of Digital Banking Asia Pacific 2016
The Future of Digital Banking Asia Pacific 2016
 
201407 Global Insights and Actions for Banks in the Digital Age - Eyes Wide Shut
201407 Global Insights and Actions for Banks in the Digital Age - Eyes Wide Shut201407 Global Insights and Actions for Banks in the Digital Age - Eyes Wide Shut
201407 Global Insights and Actions for Banks in the Digital Age - Eyes Wide Shut
 
Eyes wide shut: Global insights and actions for banks in the digital age
Eyes wide shut: Global insights and actions for banks in the digital ageEyes wide shut: Global insights and actions for banks in the digital age
Eyes wide shut: Global insights and actions for banks in the digital age
 
Etude PwC : "Digital Banking Survey" (2014)
Etude PwC : "Digital Banking Survey" (2014)Etude PwC : "Digital Banking Survey" (2014)
Etude PwC : "Digital Banking Survey" (2014)
 

More from Shailesh Grover (6)

Keynote speech at APAC retail banking summit - Beijing China
Keynote speech at APAC retail banking summit - Beijing ChinaKeynote speech at APAC retail banking summit - Beijing China
Keynote speech at APAC retail banking summit - Beijing China
 
Invest selangor presentation
Invest selangor presentationInvest selangor presentation
Invest selangor presentation
 
HLB for new graduates
HLB for new graduatesHLB for new graduates
HLB for new graduates
 
Biometrics as a key enabler of Customer & Colleague Experience
Biometrics as a key enabler of Customer & Colleague ExperienceBiometrics as a key enabler of Customer & Colleague Experience
Biometrics as a key enabler of Customer & Colleague Experience
 
eIDAS
eIDASeIDAS
eIDAS
 
Directors_Club_List_of_UK_Customer_Experience_Leadership_2016
Directors_Club_List_of_UK_Customer_Experience_Leadership_2016Directors_Club_List_of_UK_Customer_Experience_Leadership_2016
Directors_Club_List_of_UK_Customer_Experience_Leadership_2016
 

Recently uploaded

Bahawalpur Culture.pptx pptx pptx pttx pttx
Bahawalpur Culture.pptx pptx pptx pttx pttxBahawalpur Culture.pptx pptx pptx pttx pttx
Bahawalpur Culture.pptx pptx pptx pttx pttx
AbdulNasirNichari
 
一比一原版(ASU毕业证书)亚利桑那州立大学毕业证成绩单学位证书
一比一原版(ASU毕业证书)亚利桑那州立大学毕业证成绩单学位证书一比一原版(ASU毕业证书)亚利桑那州立大学毕业证成绩单学位证书
一比一原版(ASU毕业证书)亚利桑那州立大学毕业证成绩单学位证书
atedyxc
 
一比一原版(Caltech毕业证书)加州理工学院毕业证成绩单学位证书
一比一原版(Caltech毕业证书)加州理工学院毕业证成绩单学位证书一比一原版(Caltech毕业证书)加州理工学院毕业证成绩单学位证书
一比一原版(Caltech毕业证书)加州理工学院毕业证成绩单学位证书
atedyxc
 
一比一原版(SFU毕业证书)西蒙菲莎大学毕业证成绩单学位证书
一比一原版(SFU毕业证书)西蒙菲莎大学毕业证成绩单学位证书一比一原版(SFU毕业证书)西蒙菲莎大学毕业证成绩单学位证书
一比一原版(SFU毕业证书)西蒙菲莎大学毕业证成绩单学位证书
atedyxc
 
一比一原版(UBC毕业证书)不列颠哥伦比亚大学毕业证成绩单学位证书
一比一原版(UBC毕业证书)不列颠哥伦比亚大学毕业证成绩单学位证书一比一原版(UBC毕业证书)不列颠哥伦比亚大学毕业证成绩单学位证书
一比一原版(UBC毕业证书)不列颠哥伦比亚大学毕业证成绩单学位证书
atedyxc
 
Prezentacja Q1 2024 EN strona www relacji
Prezentacja Q1 2024  EN strona www relacjiPrezentacja Q1 2024  EN strona www relacji
Prezentacja Q1 2024 EN strona www relacji
klaudiafilka
 
一比一原版(UIUC毕业证书)UIUC毕业证香槟分校毕业证成绩单学位证书
一比一原版(UIUC毕业证书)UIUC毕业证香槟分校毕业证成绩单学位证书一比一原版(UIUC毕业证书)UIUC毕业证香槟分校毕业证成绩单学位证书
一比一原版(UIUC毕业证书)UIUC毕业证香槟分校毕业证成绩单学位证书
atedyxc
 
NO1 Best kala jadu karne wale ka contact number kala jadu karne wale baba kal...
NO1 Best kala jadu karne wale ka contact number kala jadu karne wale baba kal...NO1 Best kala jadu karne wale ka contact number kala jadu karne wale baba kal...
NO1 Best kala jadu karne wale ka contact number kala jadu karne wale baba kal...
Amil baba
 

Recently uploaded (20)

20240514-Calibre-Q1-2024-Conference-Call-Presentation.pdf
20240514-Calibre-Q1-2024-Conference-Call-Presentation.pdf20240514-Calibre-Q1-2024-Conference-Call-Presentation.pdf
20240514-Calibre-Q1-2024-Conference-Call-Presentation.pdf
 
Maximize Your Business Potential with Falcon Invoice Discounting
Maximize Your Business Potential with Falcon Invoice DiscountingMaximize Your Business Potential with Falcon Invoice Discounting
Maximize Your Business Potential with Falcon Invoice Discounting
 
Bahawalpur Culture.pptx pptx pptx pttx pttx
Bahawalpur Culture.pptx pptx pptx pttx pttxBahawalpur Culture.pptx pptx pptx pttx pttx
Bahawalpur Culture.pptx pptx pptx pttx pttx
 
一比一原版(ASU毕业证书)亚利桑那州立大学毕业证成绩单学位证书
一比一原版(ASU毕业证书)亚利桑那州立大学毕业证成绩单学位证书一比一原版(ASU毕业证书)亚利桑那州立大学毕业证成绩单学位证书
一比一原版(ASU毕业证书)亚利桑那州立大学毕业证成绩单学位证书
 
Slideshare - ONS Economic Forum Slidepack - 13 May 2024.pptx
Slideshare - ONS Economic Forum Slidepack - 13 May 2024.pptxSlideshare - ONS Economic Forum Slidepack - 13 May 2024.pptx
Slideshare - ONS Economic Forum Slidepack - 13 May 2024.pptx
 
What exchange can I sell my pi coins in 2024
What exchange can I sell my pi coins in 2024What exchange can I sell my pi coins in 2024
What exchange can I sell my pi coins in 2024
 
一比一原版(Caltech毕业证书)加州理工学院毕业证成绩单学位证书
一比一原版(Caltech毕业证书)加州理工学院毕业证成绩单学位证书一比一原版(Caltech毕业证书)加州理工学院毕业证成绩单学位证书
一比一原版(Caltech毕业证书)加州理工学院毕业证成绩单学位证书
 
一比一原版(SFU毕业证书)西蒙菲莎大学毕业证成绩单学位证书
一比一原版(SFU毕业证书)西蒙菲莎大学毕业证成绩单学位证书一比一原版(SFU毕业证书)西蒙菲莎大学毕业证成绩单学位证书
一比一原版(SFU毕业证书)西蒙菲莎大学毕业证成绩单学位证书
 
Understanding China(International Trade-Chinese Model of development-Export l...
Understanding China(International Trade-Chinese Model of development-Export l...Understanding China(International Trade-Chinese Model of development-Export l...
Understanding China(International Trade-Chinese Model of development-Export l...
 
一比一原版(UBC毕业证书)不列颠哥伦比亚大学毕业证成绩单学位证书
一比一原版(UBC毕业证书)不列颠哥伦比亚大学毕业证成绩单学位证书一比一原版(UBC毕业证书)不列颠哥伦比亚大学毕业证成绩单学位证书
一比一原版(UBC毕业证书)不列颠哥伦比亚大学毕业证成绩单学位证书
 
Diversification in Investment Portfolio.pdf
Diversification in Investment Portfolio.pdfDiversification in Investment Portfolio.pdf
Diversification in Investment Portfolio.pdf
 
Production and Cost of the firm with curves
Production and Cost of the firm with curvesProduction and Cost of the firm with curves
Production and Cost of the firm with curves
 
Bond Bazaar Powerpoint Presentation in Details
Bond Bazaar Powerpoint Presentation in DetailsBond Bazaar Powerpoint Presentation in Details
Bond Bazaar Powerpoint Presentation in Details
 
Prezentacja Q1 2024 EN strona www relacji
Prezentacja Q1 2024  EN strona www relacjiPrezentacja Q1 2024  EN strona www relacji
Prezentacja Q1 2024 EN strona www relacji
 
The Pfandbrief Roundtable 2024 - Covered Bonds
The Pfandbrief Roundtable 2024 - Covered BondsThe Pfandbrief Roundtable 2024 - Covered Bonds
The Pfandbrief Roundtable 2024 - Covered Bonds
 
一比一原版(UIUC毕业证书)UIUC毕业证香槟分校毕业证成绩单学位证书
一比一原版(UIUC毕业证书)UIUC毕业证香槟分校毕业证成绩单学位证书一比一原版(UIUC毕业证书)UIUC毕业证香槟分校毕业证成绩单学位证书
一比一原版(UIUC毕业证书)UIUC毕业证香槟分校毕业证成绩单学位证书
 
NO1 Best kala jadu karne wale ka contact number kala jadu karne wale baba kal...
NO1 Best kala jadu karne wale ka contact number kala jadu karne wale baba kal...NO1 Best kala jadu karne wale ka contact number kala jadu karne wale baba kal...
NO1 Best kala jadu karne wale ka contact number kala jadu karne wale baba kal...
 
NO1 Popular Black Magic Specialist Expert Amil baba in Norway Poland Portugal...
NO1 Popular Black Magic Specialist Expert Amil baba in Norway Poland Portugal...NO1 Popular Black Magic Specialist Expert Amil baba in Norway Poland Portugal...
NO1 Popular Black Magic Specialist Expert Amil baba in Norway Poland Portugal...
 
Economics - Development 01 _ Handwritten Notes.pdf
Economics - Development 01 _ Handwritten Notes.pdfEconomics - Development 01 _ Handwritten Notes.pdf
Economics - Development 01 _ Handwritten Notes.pdf
 
project ratio analysis of bcom studies .
project ratio analysis of bcom studies .project ratio analysis of bcom studies .
project ratio analysis of bcom studies .
 

Future of Banking and Fintech (Insights from my personal journey)

  • 1. Future of Banking and Fintech1 Future of Banking and Fintech Shailesh Grover, MD Research & Development (Insights from my personal journey) twitter: @sgr0ver
  • 2. Future of Banking and Fintech2 What’s changing Agenda 01 02 03 04 05 Why Incumbent banks need innovation Insights: Use Case #1 Insights: Use Case #2 Open Innovation
  • 3. Future of Banking and Fintech3 “At the current churn rate, 75% of the S&P 500 companies will be removed from the index by 2027” Yale professor Richard N. Foster, co-author of Creative Destruction
  • 4. Future of Banking and Fintech4 49% Less than half of the customers trust the banks that they are currently with 58% Do not believe that banks have their customers needs at heart 51% Just over half say their bank makes managing money simple 22% More than one in five say that their bank does not understand their day to day financial needs Britons still have a very low opinion of banks, seven years after the financial crisis of 2008 Customer dissatisfaction
  • 5. Future of Banking and Fintech5 More and more people across the globe are using digital to fulfil their day to day needs - including banking Digital shift 82% 74% 33% 69% Regularly fulfil their banking needs digitally today Preference Would trust a digital only bank Trust Regularly visit a branch Physical channel Consider switching to a digital bank Loyalty
  • 6. Future of Banking and Fintech6 By 2025, 3 out of every 4 workers globally will be a millennial Millennial workforce The millennials check their smartphones 43 times a day, on an average Digital Natives Communicate via social media, share everything and show little loyalty Social By 2018, the millennial generation will have the highest spending power Spending Power Comfortable with the security and convenience of mobile payment, but confused by choice Comfortable with mobile money The future consumer has a very different set of behaviour attributes that will inform the future of FS Millennials driving the agenda
  • 7. Future of Banking and Fintech7 Looking for 24x7 access, instant gratification, full transparency and fee free products - all via their channel of choice - MOBILE Millennials changing behaviour and expectations Source: The Millennial Disruption Index
  • 8. Future of Banking and Fintech8 “Banks have to be comfortable with being uncomfortable”
  • 9. Future of Banking and Fintech9 Merely changing the floor colours, introducing jeans and putting a few game tables is not good enough to change the culture Corporate Innovation Theatre Source: CB Insights
  • 10. Future of Banking and Fintech10 Learning first hand about customer behaviour, needs and wants A day in the Customer’s life
  • 11. Future of Banking and Fintech11 Focus on the experience the customer will go through rather than just the product delivery End-to-end Experience
  • 12. Future of Banking and Fintech12 Use Case #1 Learnings
  • 13. Future of Banking and Fintech13 Best Finance app with 4.5 customer ratings Mobile Banking
  • 14. Future of Banking and Fintech14 Offer digital knowledge, solutions, alternatives and support to colleagues, customers & community groups. #DigitalEagles Digital Eagles Source: http://barclays.co.uk/digitaleagles
  • 15. Future of Banking and Fintech15 Source: https://digitaldrivinglicence.barclays.co.uk
  • 16. Future of Banking and Fintech16 Biggest, most active branch Digital Digitally Active Users Weekly logins Weekly payments & transfers 10m 31.3m £6.2b £42.6m Weekly lending value 10% 31% 18% 50%YOY Source: twitter.com
  • 17. Future of Banking and Fintech17 Use Case #2 Learnings
  • 18. Future of Banking and Fintech18 Customers faced a challenge of multiple Identification and Verification methods across products and channels Strategic ID&V
  • 19. Future of Banking and Fintech19 Making customer Identity & Verification invisible and frictionless Innovation in Identity Biometrics - finger vein, finger print, facial, voice, ECG, etc. Who you are Devices - wearable, smartphone, tablet, laptop, etc. What you have one unique piece of data that unlocks what you need. What you know
  • 20. Future of Banking and Fintech20 Open Innovation
  • 21. Future of Banking and Fintech21 “Large banks will fragment as they seek to protect the profitable parts of their operations, leaving behind a zombie core”, Anthony Jenkins Fintech creating “value”
  • 22. Future of Banking and Fintech22 Have critical mass in customer volumes Millions of customers Have access to rich and powerful data that includes transactions and more Information & Insights Have deep pockets and assets leverage No dependency Have a wealth of experience and talent Expertise The banks have a clear upper hand if they leverage what they have and partner to rapidly create and deliver value to existing and new customers Advantage: Incumbent banks 01 02 03 04
  • 23. Future of Banking and Fintech23 1500 applications received from 77 countries for 3 London cohorts Rise London Identity Biometrics Blockchain Machine Learning Prepaid Propositions Digitally Pure Bank Continuous Authentication Data Analytics Wealth Management Gasification Foreign Remittences Human Resources Internet of Things
  • 24. Future of Banking and Fintech24 Multiple partner models evidencing customer stickiness and value: Invest, Partner, Acquire Strategic partnership to deliver “value” to your customer Source: CB Insights The NHS has partnered with Tinder in a campaign to increase the number of young people registered as organ donors. UBER customers can pick the song they would like to listen to using their Spotify before they start their ride.
  • 25. Future of Banking and Fintech25 Accelerate innovation in partnership with Customers and Business Barclays LaunchPad Available to anyone in the UK Open development Direct feedback on new digital capabilities Customer engagement New technology lab and ring fenced team within in partnership with the business Structure Digital assets easily transferable Simple connectivity
  • 26. Future of Banking and Fintech26 Thank You Shailesh Grover, MD Research & Development twitter: @sgr0ver