How innovation changes the financial services industry

Digital transformation and FinTechs:

9th March, 2016

PwC’s Digital Services

Holger Greif

Partner, Digital Lead for Switzerland

Haskell Garfinkel

Partner, Co-Lead FinTech Practice

ABOVEthe glass

ONthe glass

BELOWthe glass

Technology and Operating Model Transformation

UX & App Development

BusinessChange

What’s easy & exciting

What’s hard & tricky

Digital - its about a lot more than devices & apps

FinTech1.0

FinTech2.0

PwC’s Digital Services

We acquired iBrows to further build out PwC’s digital capabilities

PwC 5

FinTech: What is it?it’s the customer, stupid….

FS InstitutionsLarge Tech

Companies

Silicon Valley is coming…

- Jamie Dimon

“ “ We are a tech company…

– Lloyd Blankfein

“ “

Start Ups

Consumers

Infrastructure

Players

FinTech: Your viewsand the winner is……….

Disruption in FinTech in the Next 5 Years: Which part of the financial sector is likely to be most disrupted by FinTech over the next 5 years?

Source: PwC Global FinTech Survey 2015

505 respondents

*Disruption is understood as radically reconfiguring a particular field of business.

Poll: What areas do you think will be most disrupted by FinTechs in Swiss Banks over the next 5 years (gain of relevant market share)?

A. Payments (e.g. P2P Payments)

B. Online Brokerage (e.g. Robo-Advice platforms)

C. Wealth Management (e.g. algorithm based Investment Advice)

D. Lending (e.g. P2P Lending)

E. M&A / Corp. Transactions (e.g. Online Syndication of Deals)

Top Threats Related to the Rise of FinTech

56% Information security/

privacy threat

59% Loss of market share

67% Pressure on margins

Source: PwC Global FinTech Survey 2015

511 respondents

In your opinion, what are the threats related to the rise of FinTech within your industry?

53% Increase of customer churn

Top Opportunities Related to the Rise of FinTech

57% Improved retention of customers

62% Differentiation

73% Cost reduction

In your opinion, what are the opportunities related to the rise of FinTech within your industry?

56% Additional revenues

Source: PwC Global FinTech Survey 2015

511 respondents

Fintech will most likely affect the following business areas

Source: PwC Global FinTech Survey 2015 / 511 respondents

42% Enhancing interactions & build trusted relationships

51% Leveraging existing data & analytics

75% Meeting changing customer needs with new offering

FinTech: What’s Trending …

Denovo … it’s a new day!

PwC’s Digital Services

Q & A Session

PwC’s Digital Services

Thank you!