The document discusses innovation in online financial services. It begins by looking at the current state of customers managing their money and how big banks are faring. It identifies converging trends in the industry around economic conditions, customer behavior, technology capabilities, and changing business models. It then examines the competitive landscape for banks and how bank models and channels are shifting. The document outlines 10 insights for digital innovation and provides strategies for banks on multiple levels of business delivery and dimensions of online innovation to adapt and stay relevant in a changing digital landscape.

1. From Online To Digital Innovation in Online Financial Services Rob Findlay, NAB

2. Customers managing their money What's the current state? (7) How are big banks faring? (3) What do we do about it? (5) 10 Insights of Digital Innovation

3. "The world is changing very fast. Big will not beat small anymore. It will be the fast beating the slow.” Rupert Murdoch, 79

4. Some examples of customers managing their money

14. “ Commonwealth Bank 2013”

16. “ Microsoft 2019 vision”

17. CURRENT DAY TECHNOLOGY IT’S ALL

18. MORE THAN JUST TECHNOLOGY IT RELIES ON

19. RELIES ON REAL PEOPLE AND IT STILL

20. What's the current state?

21. CONVERGING TRENDS Economic Conditions Customer Behaviour Technology Capability Changing Business Models

22. TRUST SECURITY 1

24. KNOWLEDGE ACCESS 2

26. CLOSED OPEN

29. CONTROL OF CONVERSATION 3

32. WEBSITE PLATFORM 4

34. GUI NUI 5 ‘ TECHY’ DESIGNED ( )

40. ANY SCREEN, ANY DEVICE Source Task Screen Interface CURRENT CAPABILITY

41. BANK ANYONE 6

42. 10% 50% 1m 30%

44. DISINTERMEDIATION AGILE, FAST 7

45. ‘ OLD ECONOMY’ ‘ NEW ECONOMY’ CUSTOMER CENTRICITY YOUR LOCAL FRIENDLY RETAILER NAILED NEW & OLD ECONOMY STUCK IN THE 80s DINOSAURS LOOKING TO SURVIVE DISINTERMEDIATION STAYIN ALIVE CORE VALUES PRIMED

46. ‘ OLD ECONOMY’ ‘ NEW ECONOMY’ TRADITIONALLY CUSTOMER CENTRICITY ?

47. WILL NOT BE ENOUGH. ANYONE CAN DO IT. BUSINESS AS USUAL

48. How are the big banks faring?

49. COMPETITION COMES NOT JUST FROM BANKS 1

52. The competitive landscape DIRECT & NON-BANK RETAIL BANKS WITH MAJOR BRANCH PRESENCE INTERNATIONALS

58. BANK MODELS ARE CHANGING 2

60. SHARE OF WALLET REPUTATION IS IMPORTANT 3 rd PARTY REVENUE LESS RELIANCE ON FEES

61. BANK CHANNELS ARE SHIFTING IN UTILITY 3

62. BRANCH SIMPLE COMPLEX SIMPLE COMPLEX BRANCH SIMPLE COMPLEX CC ATM BRANCH CC ATM MOBILE IB

70. Incremental Innovation is not an alternative 60 second credit card apps 1 hour mortgage approvals SMS and mobile banking Fraud protection Calculators & Tools Financial Management Tools Real Time Payments Online Statements Interactive ATMs Branch of the Future Twitter presence Single Customer View Business Model innovation Straight Through Processing Platform Improvement Maintain Core Banking Changing role of people Be where the customer is Biometric security Proactive Money Management BUT ARE BANKS TRULY INNOVATING?

71. What do we do about it?

72. INNOVATE OR DIE

73. PROCESS RETURN FLOW CULTURE 3 rd PARTY PEERS STAFF CUSTOMERS 1

74. 2 - Strategic Dimensions of Biz Innovation Business Models Channels Markets Experiences Products Innovation & The Future Proof Bank, James Gardner

75. 3 - Layers of Business Delivery DIGITAL POLICY, PROCESS & PROTOCOL PRODUCT PLATFORM PHYSICAL

76. 4 - Tactical Dimensions of Online Innovation Mobile Interface & Usability Of Money Mgt User Gen & Social Media Security Payments

78. 10 Insights of Digital Innovation

79. The technology is already here The power is in the cross integration The role of physical outlets will change A multi-channel mix is unavoidable Mobile will boom in all forms It’s the ultimate scalable environment Customers are in control – use them! Design & UX are critical differentiators Anytime, anywhere on any device Its not just online, its digitally connected

80. Thanks