Banks need to transform their business models to integrate digital and physical channels in order to meet evolving customer expectations. This involves three key areas: 1) Discovering new customer segments with differentiated experiences that leverage both digital and physical touchpoints. 2) Optimizing omnichannel strategies to provide consistency across all channels. 3) Rethinking the branch network to create lighter formats while expanding specialist roles and digital technologies for a seamless experience. Successful banks will fuse digital and physical assets to make customers' lives more convenient and engaging.
The document discusses digital banking and omni-channel banking. It covers topics like internet banking, mobile banking, the internet of things, customer experience, content creation, data analytics, predictive analytics, CRM systems, and ensuring consistency across channels. The key aspects are using customer data and insights to improve the customer experience across online, mobile, and physical channels to provide a seamless omni-channel banking experience.
WSO2 Open Banking: Digital Transformation Through PSD2WSO2
If you are a financial institution in Europe, you would be in one of three places when it comes to PSD2: ready to take PSD2 by the horns, making some progress with compliance but still trying to understand the big picture, or unsure of where to start.
The good news is that it doesn’t matter where you’re at. WSO2 Open Banking offers a solution that addresses all compliance requirements. It doesn’t stop there. It can open up your business to broader revenue generation opportunities through PSD2 in the context of digital transformation.
Join Seshika Fernando, head of financial solutions at WSO2 as she explores
The role of PSD2 in redefining banking as we know it.
The core capabilities of WSO2 Open Banking including the WSO2 API Management platform that enables opening APIs in a secure and controlled manner.
How WSO2 Open Banking can support your technology infrastructure for capabilities beyond banking.
A demonstration of the solution - https://wso2.com/solutions/financial/open-banking/
White-label Neobank. Turnkey solution for Enterprises, Banks, and Startups.
Launch your own comprehensive Neobank under your brand in a short timeframe by utilizing our network, licenses, permissions, certifications, and software.
Learn more - https://optherium.com/digital-banking/
Chase Bank has developed a two-phase digital strategy to increase brand awareness and drive more traffic to their mobile app and bank locations. Phase one focuses on greater mobile brand awareness, increasing mobile app visitors, and driving more traffic into Chase Bank. The target audience and main competitors are also identified. Phase two will develop the strategic vision and implementation tactics through a SWOT analysis and optimized creative platform, with measurement of results through marketing automation and app usage and cross-channel interactions.
Digital banking involves transforming banks internally to focus on data, user experience, and personalization. New technologies and business models are disrupting traditional banking by empowering new market players, changing customer behavior and expectations. Customers now demand ubiquitous, relevant, and contextual interactions on mobile. To succeed, banks must redefine their roles around data management and open APIs, and stop thinking of channels as separate from the core bank. The future of banking lies in analyzing big data to generate personalized offers for each unique customer.
The Backbase webinar slides on Wednesday, 30th March: Embrace FinTech with Jouk Pleiter and Jelmer de Jong.
In this webinar, Jouk Pleiter and Jelmer de Jong of Backbase will talk about how banks turn the threat into opportunity and embrace fintech. Fintech is a hot market. All around the world, startups are launching, challenger banks are formed, and fintech is on everybody's lips. In this free webinar, we reveal how banking and financial services can learn from these new fintech players, and how banks can use fintech companies and fintech vision to accelerate their own digital transformation, with strong focus on:
How to leverage fintech in your digital strategy.
The emerging Banking as a Service (BaaS) model.
The impact of the open fintech API ecosystem.
Initiating rapid business innovation.
Real-world examples.
This document discusses the challenges of operating a digital bank in today's market environment. It notes that the digital market is hyperactive, with new services launching quickly and existing products/technologies easily copied. As a result, prices tend towards zero and users change habits frequently.
The document outlines qualities a digital bank should strive for, such as being safe, fast, stable, sustainable, and providing a valuable user experience. It emphasizes the importance of understanding individual user profiles to personalize services and transforming free users into paying customers.
Finally, the document proposes a roadmap for creating a fully digital bank through integrating FinTech solutions, social networks, and an agile development process focused on continuous innovation and improvement.
The document discusses digital banking and omni-channel banking. It covers topics like internet banking, mobile banking, the internet of things, customer experience, content creation, data analytics, predictive analytics, CRM systems, and ensuring consistency across channels. The key aspects are using customer data and insights to improve the customer experience across online, mobile, and physical channels to provide a seamless omni-channel banking experience.
WSO2 Open Banking: Digital Transformation Through PSD2WSO2
If you are a financial institution in Europe, you would be in one of three places when it comes to PSD2: ready to take PSD2 by the horns, making some progress with compliance but still trying to understand the big picture, or unsure of where to start.
The good news is that it doesn’t matter where you’re at. WSO2 Open Banking offers a solution that addresses all compliance requirements. It doesn’t stop there. It can open up your business to broader revenue generation opportunities through PSD2 in the context of digital transformation.
Join Seshika Fernando, head of financial solutions at WSO2 as she explores
The role of PSD2 in redefining banking as we know it.
The core capabilities of WSO2 Open Banking including the WSO2 API Management platform that enables opening APIs in a secure and controlled manner.
How WSO2 Open Banking can support your technology infrastructure for capabilities beyond banking.
A demonstration of the solution - https://wso2.com/solutions/financial/open-banking/
White-label Neobank. Turnkey solution for Enterprises, Banks, and Startups.
Launch your own comprehensive Neobank under your brand in a short timeframe by utilizing our network, licenses, permissions, certifications, and software.
Learn more - https://optherium.com/digital-banking/
Chase Bank has developed a two-phase digital strategy to increase brand awareness and drive more traffic to their mobile app and bank locations. Phase one focuses on greater mobile brand awareness, increasing mobile app visitors, and driving more traffic into Chase Bank. The target audience and main competitors are also identified. Phase two will develop the strategic vision and implementation tactics through a SWOT analysis and optimized creative platform, with measurement of results through marketing automation and app usage and cross-channel interactions.
Digital banking involves transforming banks internally to focus on data, user experience, and personalization. New technologies and business models are disrupting traditional banking by empowering new market players, changing customer behavior and expectations. Customers now demand ubiquitous, relevant, and contextual interactions on mobile. To succeed, banks must redefine their roles around data management and open APIs, and stop thinking of channels as separate from the core bank. The future of banking lies in analyzing big data to generate personalized offers for each unique customer.
The Backbase webinar slides on Wednesday, 30th March: Embrace FinTech with Jouk Pleiter and Jelmer de Jong.
In this webinar, Jouk Pleiter and Jelmer de Jong of Backbase will talk about how banks turn the threat into opportunity and embrace fintech. Fintech is a hot market. All around the world, startups are launching, challenger banks are formed, and fintech is on everybody's lips. In this free webinar, we reveal how banking and financial services can learn from these new fintech players, and how banks can use fintech companies and fintech vision to accelerate their own digital transformation, with strong focus on:
How to leverage fintech in your digital strategy.
The emerging Banking as a Service (BaaS) model.
The impact of the open fintech API ecosystem.
Initiating rapid business innovation.
Real-world examples.
This document discusses the challenges of operating a digital bank in today's market environment. It notes that the digital market is hyperactive, with new services launching quickly and existing products/technologies easily copied. As a result, prices tend towards zero and users change habits frequently.
The document outlines qualities a digital bank should strive for, such as being safe, fast, stable, sustainable, and providing a valuable user experience. It emphasizes the importance of understanding individual user profiles to personalize services and transforming free users into paying customers.
Finally, the document proposes a roadmap for creating a fully digital bank through integrating FinTech solutions, social networks, and an agile development process focused on continuous innovation and improvement.
Building the 10x better bank, by @joukpleiter & @jelmerdejong
Slides of the November 11, 2015 webinar 'Omni-channel banking & the digital transformation roadmap'.
In this webinar, Jouk Pleiter and Jelmer de Jong of Backbase will talk about building the 10-times-better bank.
The financial services market is going through many changes. New challengers have appeared and are looking for a slice of the market. In addition, customers are more demanding and more informed, expecting convenience and simplicity when it comes to financial services, particularly online and via mobile devices. People love digital services such as Netflix, Amazon, and Uber because they’re easy to use and deliver great customer experiences. They deliver 10 times more convenience and better customer experiences than the status quo, and are therefore winning the market. It’s only a matter of time before the 10-times-better bank is founded, a thought that's on the radar of every banker.
In this webinar, we outline the journey of creating the 10-times-better bank, providing a detailed analysis of how banks can begin their digital journey, with a strong focus on five main points:
1) new competitors in banking: the disrupters
2) customer experience: the key ingredients
3) omni-channel and the changing channel mix
4) mobile's impact on online sales and share of wallet
5) regaining control in the era of digitization
Presentación de Mauricio Bravo, Director de servicios profesionales de NCR para América Latina en el 16º Congreso de Tecnología para el Negocio Financiero.
Bob Tramontano, Director de Operaciones de Negocios de la Industria Financiera de NCR Corporation.
13° Congreso Internacional de Tecnología para el Negocio Financiero
The document discusses neo banks, which are digital-only banks that operate without physical branches. Some key points:
- Neo banks first emerged between 2013-2015 and provide digital and mobile-first financial services like payments, money transfers, and cash management.
- They work by partnering with licensed banks to provide regulated banking services through their digital platforms.
- While neo banks offer a modernized customer experience, traditional banks still have a physical presence advantage.
- The global neo banking market has grown exponentially in recent years and is projected to continue strong growth, though challenges remain around business models, regulations, and trust for some customers.
The Banking-as-a-Service 2.0 report is an in-depth analysis of the fast-evolving BaaS segment. In this report, we analyze the global landscape of specialized FinTech companies and banks that have BaaS as core to their business, funding and investment patterns since 2018, regulatory & market drivers, and a host of industry expert opinions.
Growing momentum for Disruption in FinTech:
Looking back and looking forward.
Recording of the Backbase webinar of December 18th, 2014.
In our 2014 closing webinar we will look back at the disruptive highlights of this year and we start looking forward to 2015.
From BBVA acquiring Simple, to more and more neo-banks popping up, fintech startups going IPO and omni-channel moving from marketing buzz to the real thing. In this 60 minute webinar, Backbase's Jouk Pleiter and Jelmer de Jong discuss the main trends and best practices for banks and credit unions to keep on disrupting in the digital banking space.
This analysis provides an overview of the top trends in the retail banking sector driven by the competition, digital transformation, and innovation led by retail banks exploring novel ways to create and retain value in evolving landscape.
COVID-19 caught banks off guard and shook legacy mindsets to the core. With 20/20 (2020) hindsight, firms are more aware, digitally resilient, and financially stable as they head into 2022. The trials of the past 18 months forced firms to shore up existing business and consider new models and revenue streams.
Customer-centricity remains at the top of most FS agendas and is a 2022 focal point. Banks will focus on achieving operational excellence as diligently as delivering superior CX. In 2022 and beyond, it will be paramount for FIs to explore and invest in new technologies to remain relevant and resilient.
Banking 4.X will arrive in full force in 2022 with platform-supported firms monetizing diverse ecosystem capabilities and aggressively harvesting data to create experiential customer journeys through intelligent and personalized engagements. The new era will compel future-focused banks to finally abandon legacy infrastructure and collaborate with third-party specialists to solidify their best-fit, long-term roles. Increasingly, open platforms will make banks invisible as banking becomes embedded into customer lifestyles. At the same time, banks will shed asset-heavy models and shift to the cloud for greater agility, speed to market, and faster innovation. The shift will act as a precursor to adopting new technologies on the horizon – 5G and Decentralized Finance.
The recent past was filled will extraordinary lessons for financial institutions. Now is the time to act on those learnings and move forward profitably.
Digital Banking Strategy Roadmap - 3.24.15Calvin Turner
The Digital delivery of banking products and services is already a reality.
Like it or not, your customers will compare their digital banking experience to shopping on Amazon, iTunes, eBay, Southwest Air, etc., and to their digital experiences with large banks that already have robust digital banking offerings.
Traditional banks can’t just push out mobile apps and capabilities to customers and call it a digital banking strategy. Customers expect a seamless integration of the entire online banking experience from initiation to fulfillment. If they are forced to drop off somewhere along the digital experience to print documents, call a representative, and/or visit a branch, you have lost the customer.
The document discusses the evolution of digital banking driven by the Internet of Everything (IoE). It outlines the progression from early dial-up e-banking experiences and multichannel integration to modern digital banks that leverage full-function smartphone apps, big data analytics, 360-degree customer views, and omnichannel experiences personalized for individual customers through intercloud technologies and both structured and unstructured data.
Digital Banking vs. Branch Banking (Ashish Kumar)2K13A19
This document discusses the transition from branch banking to digital banking. It notes that banks are increasingly adopting digital business models to capture more market share. Digital banking is seen as cheaper, faster and more convenient than branch banking. However, branch banking provides benefits like security and personalized service. The document outlines strategies for ING VYSYA bank to expand its digital offerings, such as providing online advisory services, payments, and account management. It also discusses challenges like maintaining simplicity and security with digital financial services.
This analysis provides an overview of the top trends in the commercial banking sector as they shift to technology high gear to boost client efficiency and battle a volatile, uncertain, competitive, and evolving landscape.
First, it was retail banking. Now, advanced technology is shifting to – and disrupting − the commercial banking space. Many commercial banks, known for paperwork, red tape, and branch dependency, were unprepared to support clients during their post-COVID-19 ramp-up. But now, the digital pivot to new mindsets, partnerships, and processes is in overdrive.
As commercial banks grapple with competition from FinTechs, BigTechs, and alternative lenders, their inability
to fulfill SME demands and pandemic after-shocks necessitates transformative process changes and a move
to experiential, sustainable, and inclusive banking models. We expect banks to strive to meet the demands
of corporate clients and SMEs by digitally transforming critical workflows and improving client experience.
Additionally, incremental process improvements in the middle and back-office that leverage intelligent
automation will keep the competition at bay because engaged clients are loyal.
Adopting newer methods to mine data and moving to as-a-Service models will prepare commercial banks
to flexibly respond to newcomers and find ways to co-exist through effective collaboration. The time has come for commercial banks to put transformation on the fast track as lending losses in wallet and market share could spill over to other functions!
How incumbents react and respond to 2022 trends could determine their relevancy and resiliency in the years ahead.
bKash (Bengali: বিকাশ) is a mobile financial service in Bangladesh operating under the authority of Bangladesh Bank as a subsidiary of BRAC Bank Limited. This mobile money system started as a joint venture between BRAC Bank Limited, Bangladesh, and Money in Motion LLC, United States of
America. As a mobile financial service (MFS) provider in Bangladesh through bKash users can deposit money into their mobile accounts and then access a range of services, transferring and receiving money domestically, making payments. Services like mobile recharge or paying utility bills are also possible through bKash. A user can receive money from overseas on bKash.
Ecommerce Management Model PowerPoint Presentation SlidesSlideTeam
Explore our easy-to-use content ready Ecommerce Management Model PowerPoint Presentation Slides to showcase types of eCommerce models. The presentation deck offers a professional look for your corporate powerpoint slideshows. This e-business models PowerPoint complete deck consists of pre-made PPT slides such as drop shipping business model, wholesaling and warehousing, white labelling, e-shops business model, e-malls, e-procurement food delivery example, subscription-based, type of revenue model, sharing economy revenue model, hook & bait, freemium, advertising revenue model transaction fee and many more. Furthermore, all PowerPoint templates are fully editable, customize them to fit in your project needs. Discuss types of eCommerce business models, revenue and product models using online business models PowerPoint templates. Analyze the pros and cons of various eCommerce business models. The high-quality online business management framework presentation design helps you to communicate your business ideas with professionalism and impact. Just add your business ideas and key information and you are ready to wow your audience. You are doing a business presentation and you need to share information. You have a lot of data and don?t even know where to start. Just let our Ecommerce Management Model Powerpoint Presentation Slides guide you all the way.
The document discusses FinTech, which refers to technology that enhances or automates financial services. It provides examples of FinTech in Bangladesh, such as mobile financial services from Bkash, Nagad, and Rocket. The document also outlines the impacts of FinTech, including increased financial access, better customer knowledge for institutions, improved customer satisfaction, easier remittances, and access to wider markets. Both pros, like universal access and time savings, and cons, like unequal global contribution and security issues, of FinTech are mentioned.
Ricardo Forcano of BBVA presented at the BoAML Digital Banking Revolution Conference in London on May 13, 2015. BBVA's digital strategy focuses on transforming its current business and launching new digital ventures. To transform its business, BBVA aims to become a leader in customer satisfaction for mobile and online banking, grow its digital customer base significantly, and generate additional sales through digital channels. BBVA is also optimizing its distribution model and developing a new IT platform. For new ventures, BBVA is launching independent digital businesses through ventures, acquisitions, and its BBVA Ventures program.
FINTECH companies have seen rapid growth and taken significant market share from traditional banks globally since 2014. They focus on profitable products, grow market share quickly, and operate below regulatory radar. While FINTECH investments are concentrated in the US, the internet has no borders, so all banks must transform digitally to compete. Traditional banks have weaknesses like over-regulated processes and legacy systems compared to FINTECH strengths like interconnected data and technology. Banks need to create win-win partnerships with FINTECH and customers to survive the disruption.
The document discusses mobile banking services offered by various banks in Pakistan, including Standard Chartered Bank, Muslim Commercial Bank, and an overview of what mobile banking is and its importance. Standard Chartered Bank offers Breeze mobile banking, SMS banking, and alerts through their mobile app while Muslim Commercial Bank allows customers to check balances, make payments, and view statements through SMS. Mobile banking is presented as an important technology for controlling costs, providing convenience, and increasing financial inclusion in Pakistan given the large number of mobile users compared to bank account holders.
The Covid-19 pandemic necessitated the payments industry undergo a facelift, sparked by novel approaches from new-age players, fostered by industry consolidation, and customers’ demand for end-to-end experience. Crossing the threshold, the industry is entering a new era – Payments 4.X, where payments are embedded and invisible, and an enabling function to provide frictionless customer experience. As customers make a permanent shift to next-gen payment methods, Digital IDs are critical for a seamless payment experience. The B2B payments segment is witnessing rapid digitization. BigTechs, PayTechs, and industry newcomers are ready to jump in with newfangled solutions to help underserved small to medium-sized businesses (SMBs).
As incumbents struggle with profits, new-age firms are forging ahead to take the lead in the Payments 4.X era by riding the success of non-card products and services. The new era demands collaboration, platformification, and firms can unleash full market potential only by embracing API-based business models and open ecosystems. Data prowess and enhanced payment processing capabilities are inevitable to thrive ahead. The clock is ticking for banks and traditional payments firms because the competitive advantage is not guaranteed forever. As industry players seek economies of scale, consolidations loom, and non-banks explore new territories to threaten incumbents’ market share. While all these 2022 trends are at play, central bank digital currency (CBDC) is emerging globally and might open a new chapter in the current payments landscape.
Fewer people are going to branches, and doing so less often. Yet branches aren’t going away anytime soon, and they remain one of the most effective ways to grow your business. But what is the role of the branch going forward? This session looks at how your branch model needs to evolve as transactions move to alternate channels.
Going Digital: What Banking Leaders Need to KnowCognizant
Banks need to embrace digital transformation by putting customers first, using data to gain insights, and managing organizational change. To succeed, banks must put customer data at the heart of interactions, evolve a customer-focused culture, and oversee new processes and structures that support digital initiatives and change. This will allow banks to regain customer trust and relevance in the digital era.
89% of consumers switch to a competitor after a poor CX Abhishek Sood
89% of consumers switch to a competitor following a poor customer experience, according to an Oracle study. But how can you use digital technology to improve your customers' experience?
Uncover how several prominent businesses embraced digital technologies to retain customers and increase profits. For example, Domino's Pizza had a 23% growth in profit after it allowed customers to track their deliveries online.
Discover the 4 factors that can make a digital transformation project profitable and worthwhile.
Building the 10x better bank, by @joukpleiter & @jelmerdejong
Slides of the November 11, 2015 webinar 'Omni-channel banking & the digital transformation roadmap'.
In this webinar, Jouk Pleiter and Jelmer de Jong of Backbase will talk about building the 10-times-better bank.
The financial services market is going through many changes. New challengers have appeared and are looking for a slice of the market. In addition, customers are more demanding and more informed, expecting convenience and simplicity when it comes to financial services, particularly online and via mobile devices. People love digital services such as Netflix, Amazon, and Uber because they’re easy to use and deliver great customer experiences. They deliver 10 times more convenience and better customer experiences than the status quo, and are therefore winning the market. It’s only a matter of time before the 10-times-better bank is founded, a thought that's on the radar of every banker.
In this webinar, we outline the journey of creating the 10-times-better bank, providing a detailed analysis of how banks can begin their digital journey, with a strong focus on five main points:
1) new competitors in banking: the disrupters
2) customer experience: the key ingredients
3) omni-channel and the changing channel mix
4) mobile's impact on online sales and share of wallet
5) regaining control in the era of digitization
Presentación de Mauricio Bravo, Director de servicios profesionales de NCR para América Latina en el 16º Congreso de Tecnología para el Negocio Financiero.
Bob Tramontano, Director de Operaciones de Negocios de la Industria Financiera de NCR Corporation.
13° Congreso Internacional de Tecnología para el Negocio Financiero
The document discusses neo banks, which are digital-only banks that operate without physical branches. Some key points:
- Neo banks first emerged between 2013-2015 and provide digital and mobile-first financial services like payments, money transfers, and cash management.
- They work by partnering with licensed banks to provide regulated banking services through their digital platforms.
- While neo banks offer a modernized customer experience, traditional banks still have a physical presence advantage.
- The global neo banking market has grown exponentially in recent years and is projected to continue strong growth, though challenges remain around business models, regulations, and trust for some customers.
The Banking-as-a-Service 2.0 report is an in-depth analysis of the fast-evolving BaaS segment. In this report, we analyze the global landscape of specialized FinTech companies and banks that have BaaS as core to their business, funding and investment patterns since 2018, regulatory & market drivers, and a host of industry expert opinions.
Growing momentum for Disruption in FinTech:
Looking back and looking forward.
Recording of the Backbase webinar of December 18th, 2014.
In our 2014 closing webinar we will look back at the disruptive highlights of this year and we start looking forward to 2015.
From BBVA acquiring Simple, to more and more neo-banks popping up, fintech startups going IPO and omni-channel moving from marketing buzz to the real thing. In this 60 minute webinar, Backbase's Jouk Pleiter and Jelmer de Jong discuss the main trends and best practices for banks and credit unions to keep on disrupting in the digital banking space.
This analysis provides an overview of the top trends in the retail banking sector driven by the competition, digital transformation, and innovation led by retail banks exploring novel ways to create and retain value in evolving landscape.
COVID-19 caught banks off guard and shook legacy mindsets to the core. With 20/20 (2020) hindsight, firms are more aware, digitally resilient, and financially stable as they head into 2022. The trials of the past 18 months forced firms to shore up existing business and consider new models and revenue streams.
Customer-centricity remains at the top of most FS agendas and is a 2022 focal point. Banks will focus on achieving operational excellence as diligently as delivering superior CX. In 2022 and beyond, it will be paramount for FIs to explore and invest in new technologies to remain relevant and resilient.
Banking 4.X will arrive in full force in 2022 with platform-supported firms monetizing diverse ecosystem capabilities and aggressively harvesting data to create experiential customer journeys through intelligent and personalized engagements. The new era will compel future-focused banks to finally abandon legacy infrastructure and collaborate with third-party specialists to solidify their best-fit, long-term roles. Increasingly, open platforms will make banks invisible as banking becomes embedded into customer lifestyles. At the same time, banks will shed asset-heavy models and shift to the cloud for greater agility, speed to market, and faster innovation. The shift will act as a precursor to adopting new technologies on the horizon – 5G and Decentralized Finance.
The recent past was filled will extraordinary lessons for financial institutions. Now is the time to act on those learnings and move forward profitably.
Digital Banking Strategy Roadmap - 3.24.15Calvin Turner
The Digital delivery of banking products and services is already a reality.
Like it or not, your customers will compare their digital banking experience to shopping on Amazon, iTunes, eBay, Southwest Air, etc., and to their digital experiences with large banks that already have robust digital banking offerings.
Traditional banks can’t just push out mobile apps and capabilities to customers and call it a digital banking strategy. Customers expect a seamless integration of the entire online banking experience from initiation to fulfillment. If they are forced to drop off somewhere along the digital experience to print documents, call a representative, and/or visit a branch, you have lost the customer.
The document discusses the evolution of digital banking driven by the Internet of Everything (IoE). It outlines the progression from early dial-up e-banking experiences and multichannel integration to modern digital banks that leverage full-function smartphone apps, big data analytics, 360-degree customer views, and omnichannel experiences personalized for individual customers through intercloud technologies and both structured and unstructured data.
Digital Banking vs. Branch Banking (Ashish Kumar)2K13A19
This document discusses the transition from branch banking to digital banking. It notes that banks are increasingly adopting digital business models to capture more market share. Digital banking is seen as cheaper, faster and more convenient than branch banking. However, branch banking provides benefits like security and personalized service. The document outlines strategies for ING VYSYA bank to expand its digital offerings, such as providing online advisory services, payments, and account management. It also discusses challenges like maintaining simplicity and security with digital financial services.
This analysis provides an overview of the top trends in the commercial banking sector as they shift to technology high gear to boost client efficiency and battle a volatile, uncertain, competitive, and evolving landscape.
First, it was retail banking. Now, advanced technology is shifting to – and disrupting − the commercial banking space. Many commercial banks, known for paperwork, red tape, and branch dependency, were unprepared to support clients during their post-COVID-19 ramp-up. But now, the digital pivot to new mindsets, partnerships, and processes is in overdrive.
As commercial banks grapple with competition from FinTechs, BigTechs, and alternative lenders, their inability
to fulfill SME demands and pandemic after-shocks necessitates transformative process changes and a move
to experiential, sustainable, and inclusive banking models. We expect banks to strive to meet the demands
of corporate clients and SMEs by digitally transforming critical workflows and improving client experience.
Additionally, incremental process improvements in the middle and back-office that leverage intelligent
automation will keep the competition at bay because engaged clients are loyal.
Adopting newer methods to mine data and moving to as-a-Service models will prepare commercial banks
to flexibly respond to newcomers and find ways to co-exist through effective collaboration. The time has come for commercial banks to put transformation on the fast track as lending losses in wallet and market share could spill over to other functions!
How incumbents react and respond to 2022 trends could determine their relevancy and resiliency in the years ahead.
bKash (Bengali: বিকাশ) is a mobile financial service in Bangladesh operating under the authority of Bangladesh Bank as a subsidiary of BRAC Bank Limited. This mobile money system started as a joint venture between BRAC Bank Limited, Bangladesh, and Money in Motion LLC, United States of
America. As a mobile financial service (MFS) provider in Bangladesh through bKash users can deposit money into their mobile accounts and then access a range of services, transferring and receiving money domestically, making payments. Services like mobile recharge or paying utility bills are also possible through bKash. A user can receive money from overseas on bKash.
Ecommerce Management Model PowerPoint Presentation SlidesSlideTeam
Explore our easy-to-use content ready Ecommerce Management Model PowerPoint Presentation Slides to showcase types of eCommerce models. The presentation deck offers a professional look for your corporate powerpoint slideshows. This e-business models PowerPoint complete deck consists of pre-made PPT slides such as drop shipping business model, wholesaling and warehousing, white labelling, e-shops business model, e-malls, e-procurement food delivery example, subscription-based, type of revenue model, sharing economy revenue model, hook & bait, freemium, advertising revenue model transaction fee and many more. Furthermore, all PowerPoint templates are fully editable, customize them to fit in your project needs. Discuss types of eCommerce business models, revenue and product models using online business models PowerPoint templates. Analyze the pros and cons of various eCommerce business models. The high-quality online business management framework presentation design helps you to communicate your business ideas with professionalism and impact. Just add your business ideas and key information and you are ready to wow your audience. You are doing a business presentation and you need to share information. You have a lot of data and don?t even know where to start. Just let our Ecommerce Management Model Powerpoint Presentation Slides guide you all the way.
The document discusses FinTech, which refers to technology that enhances or automates financial services. It provides examples of FinTech in Bangladesh, such as mobile financial services from Bkash, Nagad, and Rocket. The document also outlines the impacts of FinTech, including increased financial access, better customer knowledge for institutions, improved customer satisfaction, easier remittances, and access to wider markets. Both pros, like universal access and time savings, and cons, like unequal global contribution and security issues, of FinTech are mentioned.
Ricardo Forcano of BBVA presented at the BoAML Digital Banking Revolution Conference in London on May 13, 2015. BBVA's digital strategy focuses on transforming its current business and launching new digital ventures. To transform its business, BBVA aims to become a leader in customer satisfaction for mobile and online banking, grow its digital customer base significantly, and generate additional sales through digital channels. BBVA is also optimizing its distribution model and developing a new IT platform. For new ventures, BBVA is launching independent digital businesses through ventures, acquisitions, and its BBVA Ventures program.
FINTECH companies have seen rapid growth and taken significant market share from traditional banks globally since 2014. They focus on profitable products, grow market share quickly, and operate below regulatory radar. While FINTECH investments are concentrated in the US, the internet has no borders, so all banks must transform digitally to compete. Traditional banks have weaknesses like over-regulated processes and legacy systems compared to FINTECH strengths like interconnected data and technology. Banks need to create win-win partnerships with FINTECH and customers to survive the disruption.
The document discusses mobile banking services offered by various banks in Pakistan, including Standard Chartered Bank, Muslim Commercial Bank, and an overview of what mobile banking is and its importance. Standard Chartered Bank offers Breeze mobile banking, SMS banking, and alerts through their mobile app while Muslim Commercial Bank allows customers to check balances, make payments, and view statements through SMS. Mobile banking is presented as an important technology for controlling costs, providing convenience, and increasing financial inclusion in Pakistan given the large number of mobile users compared to bank account holders.
The Covid-19 pandemic necessitated the payments industry undergo a facelift, sparked by novel approaches from new-age players, fostered by industry consolidation, and customers’ demand for end-to-end experience. Crossing the threshold, the industry is entering a new era – Payments 4.X, where payments are embedded and invisible, and an enabling function to provide frictionless customer experience. As customers make a permanent shift to next-gen payment methods, Digital IDs are critical for a seamless payment experience. The B2B payments segment is witnessing rapid digitization. BigTechs, PayTechs, and industry newcomers are ready to jump in with newfangled solutions to help underserved small to medium-sized businesses (SMBs).
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2. PHYGITAL IN BUSINESS
The truth is that both the digital and the physical world are indispensable parts of life and business.
The real transformation taking place today isn’t the replacement of the one by the other, it’s the
marriage of the two into combinations that create wholly new sources of value. There is a great
reversal of roles that seems to have taken place: instead of the former digital adaptation and
appropriation of material things (think of the folders and the trash can on your laptop screen as a very
basic example), we see a new, physical manifestation of digital concepts and functions has
beginning to emerge. Cross your middle and index fingers on both hands for instance, and you have
just signaled a Twitter hashtag, specifying the general topic you speak about. What is that, if not a
human gesture generated by lines of computer code? This is what Phygital is, and it is likely to
reshape not only the way people live, but the way companies operate.
Customer expectations have placed tremendous pressure on business leaders to change the way
they set their strategies and run their organizations. New requirements to incorporate information and
interactivity quickly drive up costs and complexity. Business leaders have long used information
technology to improve productivity and efficiency, reach new markets and optimize supply chains.
What’s new is that customer expectations have also changed. People everywhere are using social
networks to find jobs and restaurants, lost friends and new partners – and, as citizens, to achieve
common political goals. How can businesses best respond to this shift? How can they take
advantage of the opportunity to innovate and grow? And how can they do all this cost efficiently?
Companies with a cohesive strategy for integrating digital and physical elements can successfully
transform their business models – and set new directions for entire industries. They do this by
focusing on two areas.
THE OPERATING MODEL & THE CUSTOMER VALUE PROPOSITION
The operating model can be realigned so that customer preferences and requirements inform every
activity in the buying and selling chain. Doing this requires integrating all business activities and
optimizing how data related to those activities is optimized. Up to now, most organizations have
focused on one of these areas at a time based on specific initiatives. Taking a more holistic and
integrated approach, a third path combines the two focus areas, simultaneously transforming the
customer value proposition and organizing operations for delivering that value. Determining the best
path to transformation requires a thorough understanding and evaluation of several factors:
•Where products and services are on the physical-to-digital continuum in the industry
•Mobility and social networking adoption levels and expectations of customers
2
3. •Strategic moves by other industry players
•The degree of integration at every stage of the transformation – between new digital processes and
legacy, physical ones.
3
4. HOW BANKS SHOULD APPROACH PHYGITAL
TRANSFORMATION
THE RIGHT FRAMEWORK
Successful phygital transformations do not happen bottom up. They must be driven from the top and
inspire all organizational levels as they focus on the “how” more than the “what.” The most
successful transformations focus as much on how to drive change as on the detailed content of the
change. Organizations that have successfully implemented digital transformation strategies and have
fully transformed their operations and business models, did not achieve that by building their
companies from the scratch, but from reshaping the organization to take advantage of valuable
existing strategic assets in new ways. Companies can do much more to gain value from investments
they have already made, even as they envision radically new ways of working so it is crucial for them
to build on their existing customer bases and reinvent their offerings by substantial added value.
Retail banking has already become a digital business, spurred by the rapid spread of broadband
access and affordable smart mobile devices. Globally, an average of more than half of consumers’
banking interactions took place through online or mobile channels, with an even greater share in
digitally advanced markets like the Nordic countries and Australia, according to Bain & Company’s
2013 customer survey, executed through Research Now. Add the use of ATMs, which increasingly
connect to the Internet, and the share of digital interactions exceeds 85% for the most advanced
countries today and is heading to more than 95% in the near future.
4
BANKS NEED TO BE
Intuitive: 54% of consumers are interested
in banks locating discounts
Intelligent: 53% of consumers want
proactive bill pay services
Individual: 52% of consumers want
proactive product recommendation
5. UP UNTIL NOW BANKS USE DIGITAL TO IMPROVE SIMPLE TRANSACTIONS BUT
NOT CUSTOMERS LIVES
To date, most banks have focused their digital investments on simply improving simple transactions
through online or mobile channels, thereby reducing brick-and-mortar branch costs. They haven’t
devoted as much time to making customers’ banking lives more convenient, easy and engaging, by
creating a differentiated customer experience featuring truly innovative, useful digital applications
and a seamless integration of all channels. Customers often cite certain digital interactions as “wow”
experiences that exceed their expectations—moments like remote deposit capture, remote bill pay or
even well-delivered basic transactions through a mobile app. Winning in the digital realm, therefore,
is critical for improving the overall customer experience.
THE PHYGITAL BANKING CUSTOMER MANIFESTO
These 2 visual guides put the phygital consumer on the epicenter of the phygital transformation
strategies and they apply to all organisations no matter the industry they belong. Customer
expectations have changed because customers have changed themselves. For the last decade,
marketers were trying to decode and behaviorally analyse the digital consumer but right now we
should talk about phygital consumers. Consumers who expect services that not only cover both their
online and offline needs but also combine them in a way that the consumer experience improves in
each interaction and touchpoint.
5
6. 6
• You look out for me and recognize me as a valued customer both online and offline.
• I can easily find simple, clear product and service information both online and offline.
• I can apply for a product or service through one channel and seamlessly finish the transaction on
another.
• I can buy the same products at the same price, regardless of how or where I go.
• I can access all my accounts on any device.
• I can do most of my day-to-day banking through digital channels.
• I can make purchases, payments and transfers quickly through my smartphone.
• My interactions are efficient, secure and fast—“one and done” with minimal paper.
• I can easily share feedback, including on social media platforms, and my bank will resolve the
issue quickly.
7. THE 3 PHYGITAL BANKING TRANSFORMATION
FOCUS AREAS
DISCOVER PHYGITAL CONSUMER SEGMENTS AND CREATE A DIFFERENTIATED
CUSTOMER EXPERIENCE WHERE YOU CAN WIN
Take a step back. Think for a while what kind of needs banks served up until now, how these needs
have evolved during the years and whether these needs are being served not by traditional banking
competitors but by new entrants in the financial
industry. How could someone define the retail
banking industry? Its about serving consumers
needs that have to do with money or is it about
maximizing their revenues? Someone could say
that banks are mostly for facilitating peer to
peer money exchange and as a result they should focus on the social network industries. Or what if
the banking industry was a 100% focused consulting business that sells financial consulting sessions
and has open access to our accounts to manage our money as they think its best?
Banks should innovate like they are the hottest start-up incubator out there trying to find the next
thing that will redefine the whole banking industry and not only their organizations. They should
follow the banking operations of companies like Paypal, Uber, Ubisoft, Whatsapp, telcos and even
Facebook that allows money exchange via messaging.
Banks have long deployed technology to support and automate internal processes and to replicate
functionalities online, mostly in the service of reducing costs. But now, they need to move a step
forward being transformed into truly
customer-centered banks fusing digital and
physical assets to make customers’ banking
lives easier, more convenient and more
engaging. But some banks have innovated not
only on creating added value to their existing
customer segments but on identifying new
consumer profile groups, especially of below
25 years old, which behave on a completely
different way than traditional banking
customers.
7
35% of market share that full-service banks
in NA could lose to new digital competitors
by 2020
Consumers perception of their banking
relationship as transactional not advice-
driven is growing at a rapid pace. 79% of
consumers consider their banking
relationship to be transactional -up nearly
10% since 2014. Banks should evolve and
not being viewed like a utility.
8. These case study end-to-end experiences
create platforms for adding value in new ways.
Other banks are replicating the approach and
applying it to customers’ needs such as buying
a car or managing cash flow. In Malaysia, for
example, RHB Banking Group, the nation’s
fourth-largest financial services provider, has
launched a technology-empowered branch
network called Easy. This simple, agile and
transparent delivery model, designed to attract
the less affluent, is 15 percent cheaper to build
and operate than traditional RHB branches.
Moreover, branches built on the Easy model
break even in one-quarter of the time of
traditional branches, and generate operating
profits equal to the initial investment more than
twice as fast.
8
THE CASE STUDY OF CBA
Commonwealth Bank of Australia (CBA), for
example, took a core banking product,
mortgages, and innovated Digical capabilities to help customers buy their homes.
Partnering with multiple listing database Domain.com.au, CBA developed a mobile
app to search any house in Domain’s database for visual and written details, which
engage customers from the start of their home-buying experience. Customers can
click through to get advice, then start the mortgage application online or book an
appointment with a mortgage adviser in a nearby branch. After completing the
application, a rapid “straight-through” decision process and e-alerts keep
customers updated on their application status. The bank’s mobile payments
capability allows customers to transfer funds to the vendor on the go and manage
their mortgage balance through any channel, including mobile, online and ATM.
This easy, convenient and engaging experience has helped CBA to reinforce its
THE CASE STUDY OF WESTPAC
Among the innovations by Westpac, another
bank in Australia, is the way it built its position
in superannuation, the compulsory pension
scheme, with its “BT
Super for Life.” Westpac
allows customers to
aggregate and manage
all of their
superannuation accounts
in one place, whether that’s through the Web, a
mobile device or in the branch. Once they enter
their personal information, the platform behind
the product does the rest, including finding the
customers’ “Supers,” moving them to target-
date funds and then letting customers see and
manage these accounts alongside their bank
accounts online or through a mobile device. The
low cost of this innovation stems from cutting
out the investment adviser and has allowed
Westpac to price the product at 75 basis points,
roughly 40% less than the market average.
Delivering a simpler, low-cost platform has also
helped Westpac to achieve fast growth in the
superannuation market and improve cross-
selling performance.
9. In many countries, particularly those where infrastructure challenges loom large, banking by mobile
phone is making rapid headway. Just consider the success of Safaricom’s M-PESA mobile payment
service in Kenya, which now boasts more than 17 million users—more than half the East African
country’s adult population.
Right now, telecom providers, with their vast distribution networks, dominate such services. But
some innovative banks have opted to partner with them for a piece of the action. For example, ICICI
Bank, a leading provider of mobile banking services in India, has forged a network of partnerships
with telecoms including Chennai-based Aircel and the United Kingdom’s Vodafone Group to reach
rural and unbanked customers.
9
THE CASE STUDY OF HELLO BANK
Hello bank! is the 100% mobile digital bank successfully
launched a few months ago by the BNP Paribas Group in
France, Belgium and Germany. The addition of Italy will
expand its European dimension, increasing its number of
operations in the Group's "domestic markets", which are
increasingly integrated and where the aim is to promote a
new way not only of "doing" banking but of "being" a bank, in
line with the innovations that digital technology is introducing into international
banking services.
Hello bank! is a new approach aimed at the digital generation, customers with
"digital DNA", the early adopters with a passion for technological innovation, who
prefer to use mobile devices, such as smartphones and tablets for many of their
everyday activities: from news to weather, from sport to nutrition, from learning to
reading, from choosing a film to booking a flight or hotel, and so on. Hello bank!
customers want to interact with their bank using dedicated apps, and for more
complex needs, such as advisory services, look for extended-hours access to their
account manager by video call, online chat or phone.
10. THE IMPORTANCE OF OMNICHANNEL STRATEGIES
Omni-channel customer experience took a hit last year. Performance fell across four key metrics:
ability to build long-lasting customer relations, design and deliver branded customer experiences,
use multiple channels strategically and leverage digital channels. Whether high-growth or lowgrowth
company, B2B, B2C or B2B2C, marketers also report that the importance of offering an omni-channel
experience declined as well. One set of numbers tells the story in sharp relief. CMOs report that their
ability to use multiple channels strategically and in an integrated and consistent way fell seven points
in 2014 from 2012 (from 53% to 46%), but the importance of mastering the multi-channel customer
experience fell even more—by 14 points (from 71% to 57%). Omnichannel is now a brand
differentiator, according to a recent Forrester study. Achieving the goal of “anything, anytime,
anywhere” banking has major implications for the role of the branch. With teller-assisted transactions
declining at an annual rate of 10% to 15% for many banks, migrating to lower-cost, automated
formats is essential. Moreover, innovations in smart ATMs and video teller machines have made self-
service easier and more engaging.
Optimizing the footprint is one aspect of how the branch network will evolve for an omnichannel
world. To start, many existing branches in the Americas and Europe will close. Recent studies show
that 75% to 80% plan to reshape or close their networks, with some banks shrinking as much as
30% of their networks over time. This will be expensive for banks that have been slow to move.
To raise the overall effectiveness of the network, leading banks are developing new branch formats
that consist of lighter but sturdier
alternatives to the traditional
branch. As noted earlier, the
most common new model
consists of hub-and-spoke
configurations of advisory
offices, light-retail consumer
shops and self-service kiosks arrayed around the full-service flagship store. All of the new formats
incorporate digital technologies to enhance the customer experience and provide self-service
capabilities that customers increasingly expect. Some spoke formats have removed bank tellers
altogether.
An advantage of the hub-and-spoke model is that it can be built in one local market (a city
neighborhood or rural district) and then optimized while rolling out more broadly. Forward-thinking
banks have been using sophisticated modeling techniques, geodemographic data and geomapping
software to dramatically improve decisions about the network. First, they identify key local markets,
building a picture of potential revenues and profits to determine where branches can be most
profitable. Then they identify which factors have the greatest influence on branch performance—
10
Consumers’ perceptions about bank branches are
changing: 81% of consumers would NOT switch
banks if their local branch closed. Branches must be
a relationship hub, not a transaction processor.
11. being close to a shopping center or train station, for instance. Finally, they apply behavioral science
to lay out and design the store.
In aggregate, the branch network will undergo substantial change. While many banks are cutting the
number of branch tellers and assistant managers, between 50% and 75% are expanding specialist
and relationship adviser roles. They’re also plowing money into technology to promote a more
seamless experience across channels; depending on the technology, 40% to 60% are adding in-
branch tablets, video teller
machines, smart ATMs and
the like.
In a few places like
Singapore, more versatile
ATMs make customers’ lives
easier by allowing them to
buy airline tickets or pay
parking fines. . Customers
will increasingly expect transactions on their smartphones or tablets to flow directly to the branch
and interactions with the bank to be easy and engaging, whether online or in person.
11
Millennials also have distinct preferences for how
banking services should be delivered. Two-thirds (67%)
of them said that the traditional and digital banking
experience they receive at their current bank is only
somewhat or not at all seamless, and nearly half (47%)
said they would like their bank to provide tools and
services to help them create and monitor their budget.
THE CASE STUDY OF UMPQUA BANK
Consider the story of Umpqua Bank’s flagship store in San Francisco,
winner of a 2014 EFMA- Accenture Distribution & Marketing Innovation
Award in the physical distribution category. Note that the use of the word
“store” over “branch” is not an oversight. I’ve seen many banks use this
word over the last decade, but it has often been used in the wrong
connotation as a place to amass products instead of as a place to shop
for the product they need.
What is Umqua doing differently? To connect with and welcome customers and the broader
community, Umqua designed this store, which opened in August 2013, to envelop customers like
the best retail stores do—and then some.
In addition to its strong design sensibility steeped in local and regional influences, the San
Francisco store includes breakthrough features and services not typically found at a bank branch,
such as:
- External screens with community information.
- Public access to tablets.
- Comfortable chairs in inviting conversation nooks.
- A “demo bar” to showcase key products and services in an interactive manner.
Retail banks should use their local branches as a strategic advantage in keeping those non-bank
competitors at bay by making better use of their stores as true places to meet their needs.
12. OVERHAUL THE TECHNOLOGY PLATFORM TO SIMPLIFY CUSTOMERS’ LIVES
AND LAUNCH MORE OPERATIONALLY EFFICIENT BUSINESS MODELS
To deliver a differentiated, seamless experience to customers, most banks will need to make
substantial improvements to their IT infrastructure. CBA’s effort to build digital innovations around
home buying and other experiences, for instance, was premised on its long-term commitment to
investing in customer record migration and integration—infrastructure that allows a single view of the
customer from any
channel—and the
reconstruction of its core
IT platform for one-and-
done processing.
Joined-up IT capabilities
are becoming a
competitive advantage for many banks that invest in technology. Fragmented infrastructure remains
a pervasive problem for the retail banks on our benchmarking panel. Standard services might be
available online and through mobile, but for even slightly more complex transactions like sending
funds abroad or prepaying a mortgage, customers still have to go to a branch. to endure a slow,
clunky, multistage experience.
The Phygital transformation entails a few essential characteristics of IT infrastructure:
• Joined-up customer data that creates a holistic data file for each customer
• A single view of the customer so frontline employees can see the entirety of a customer’s
relationship
• Technology that supports one-and-done processes and a real-time processing engine, rather than
batch processing, to speed up outcomes for customers
Building these kinds of capabilities usually involves a multiyear roadmap of changes to systems and
infrastructure that’s expensive and hard to deliver. A few banks have chosen to replace their core and
single-view systems all at once, but most are staging the transition. Others are exploring outsourcing
and cloud-based capabilities to achieve their IT goals at a lower cost; roughly one-quarter of our
benchmark banks have used the cloud, and 60% plan to expand their use of cloud computing in the
future.
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290% increase in customer conversion rate by a leading
european bank that used web analytics to personalise
online offers
13. PHYGITAL TRANSFORMATION BANKING TIPS
• Know your customers. Micro-segmentation allows financial marketers to understand customers
better as groups, sub-segments and individuals. It guides banks to direct resources, develop
products and service customers through individual interaction models and as part of an omni-
channel strategy.
• Re-imagine the experience. With analytics, banks and credit unions can create consumer-
centered journeys that go beyond conventional banking encounters. They can develop test-
and-learn approaches, using data insight to inform continuous improvement efforts that reflect
customer behaviors and feedback.
• Change the distribution mix. Considering the changing role of the branch and the growing
importance of digital, financial institutions need to rethink the distribution mix to make the most
of consumers’ changing patterns of channel usage.
• Deepen and sustain loyalty. Financial institutions can sustain customer loyalty by combining
implicit loyalty — advice, matching donations or services like merchant-funded offers — with
explicit loyalty (points based systems), using the right data for an insight- driven, holistic loyalty
program.
• Evolve into everyday banks. Banks and credit unions must bring multiple elements together—
channels, customer experience, analytics, partnerships, digital platforms and innovation among
them—to power a new Everyday Bank value proposition.
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Vasileios Tziokas is a marketing professional with outstanding academic &
professional record in branding & strategy having worked with world-leading
brands like the Vodafone Group, Mondelez, Telefonica and Coca-Cola. He has
been featured in top publications like AdWeek, MediaPost and Venturebeat. He
has previously worked for BBC Worlwide and TBWA/London. A guest speaker at
Reload Greece, blogger at Huffington Post & founder of The Phygital, the first
ever thematic site about the convergence of physical and digital in business,
strategy and marketing.
BIBLIOGRAPHY
1.Altimeter Group Digital Transformation Report
2.Accenture The Everyday Bank Report
3.Bain & Company: Leading A Digical Transformation Report
4.Capgemini Consulting: A Roadmap For Billion Dollar Organization