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The future is here today – how the changing expectations are affecting banking? Warsaw, December 2015
The future is here today – how thechanging expectations are affectingbanking?
Warsaw, December 2015
What is DigitalDisruption?
New Technologychanges the way weinteract and facilitatesnew business models.
This gives two options tothe existing businesses:CHANGE or DIE
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Somecompanieswere not ableto adapt thechange…
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But some ofthem adaptedso well…
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.. and becamethe changeitself !
By comparison,Walmart and BestBuy changed theirprices roughly50,000 times in amonth.
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They haveinfluenced theway we thinkand behave
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Google Search Trends in Banking - 2014
.. and shapedthe future!
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We have aNew Economy,with NewRules!
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DigitalTechnologycreated twopeoplesegments insociety!
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DigitalImmigrantsand..
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Digital Nativesor Millennials!
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Digital Nativeseat, sleep andbreathe withtechnology!
1 in 3 people wouldrather give up sexthan their phone
95% of people usethe phone forsomething justbefore going to bed
Half of people checktheir phonesimmediately if theywake up during thenight
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Well.. notnecessarily allof them verybright but…
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..they still havesignificance inthe economy!
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Even if theyprotest thiseconomysometimes,they knowwhere thegood deal is!
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Technologybrought us “easyto use” devices.But…
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… using andunderstandingare two differentthings!
42% said they believed a "motherboard" was "the deck of a cruise ship." Amotherboard is usually a circuit board that holds many of the keycomponents of a computer.23% thought an "MP3" was a "Star Wars" robot. It is actually an audio file.18% identified "Blu-ray" as a marine animal. It is a disc format typicallyused to store high-definition videos.
42% said they believed a"motherboard" was "the deckof a cruise ship." Amotherboard is usually a circuitboard that holds many of thekey components of acomputer.
23% thought an "MP3" was a"Star Wars" robot. It is actuallyan audio file.
18% identified "Blu-ray" as amarine animal. It is a discformat typically used to storehigh-definition videos.
42% said theybelieved a"motherboard" was"the deck of a cruiseship."
23% thought an"MP3" was a "StarWars" robot.
18% identified "Blu-ray" as a marineanimal.
11% think gigabyteis an insect.
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One way oranothereveryone usesthetechnology.
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This is a funnyworld withmany nicesurprises!
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Together withNew Rules ofSuccess!
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There is also aBig Shift toMobile!
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In new,economyOpinions arehighly valuedand takenserious.
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One is clear:Business isNOT as usual!
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How about us,Banks andFinancialInstitutions?
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Here’s thechanginglandscape ofbanking!
THE STATE OF THE FINANCIAL SERVICES INDUSTRY2015, Oliver Wyman
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Should weconcern aboutour business ?
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Some banksrealized thechange and re-positionthemselves!
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For someothers thesituation ismorechallenging!
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Everyoneknowssomethingneeds to bedone. Butwhat?
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Europe’s banks are shrinking. What will take theirplace?
... but this is a time of huge opportunity in finance — aslong as you are something other than a bank.
Why banks arenot popularany more?
GlobalCommercial Banking Survey2014, EY
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How are wegoing todifferentiateourselves andadapt?
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NewTechnologies
Available
Change inBehaviours &Expectations
UpdatedRegulations
Cheaper tosetup Fintech
Startups
The change inthe FinancialLandscape?
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Change ofCustomerBehavior…
Device shift – from PCs tomobile/touch devices.
Communications shift – fromvoice to data and video
Content shift – from bundledto fragmented
From Newspapers, network TVstations, or big-box retailers -to Mobile Apps
Social shift – from growth tomonetization
Video shift – fromprogrammed to user-driven.
Retail shift – from channel toexperience
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Influenced theway of bankinghas been done.
Accenture DigitalBanking Consumer Survey 2014
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UnderstandingMillennials’Banking Styleis critical!
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DigitalBanking is akey to servethem.
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Are we readyforDigitalization?
”Bankingis changing…with or without thebanks”Oracle 2015
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What if, theexpectationsare not met?
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So we have newcompetition forserving them!
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Not all Fintechcompanies aresame!
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Here’s the newbattlefield!
THE DIGITAL DISRUPTIONBATTLEFIELD 2015, Oliver Wyman
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Innovationwould be ouronly chance tosurvive.
World Economic Forum,The Future of Financial Services 2015
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What needs tobe done onour side?
Banking2016,Accelerating growth andoptimizing costs in distribution andmarketingAccenture2015
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We should alsocloselymonitor thechangingTrends!
Financial services report and trends radarBrilliant Noise, 2015
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What it takesto be theWinner ?
( How Banking got agile, Accenture 2014)
More operationallyefficient business models
New customer segmentsand new markets
New services, newrevenue streams
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Over-confidence issomething weshould avoid!
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We have towin customertrust back!
PA Consulting, 2015
Balancing ServiceEfficiency andCustomer Value
Building Trustthroughtransparency
Creating a senseof Identity andbelonging
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We better dothis,otherwise…
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… there wouldbe no returnfrom where wewill get!
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“Facts do not cease to exist because theyare ignored.” Aldous Huxley
THANKS!
