Traditionally the main levers for customers’ decision making were security and trust. Banks’ offering was based on credit and debit products and services, and channels were mainly branches and ATMs at limited timetables.
Today banks can offer customized products and customers can make transactions anywhere anytime (24×7) as digital channels (Web, Mobile) are progressively gaining pace as a mean of interaction between customers and financial institutions. Additionally it is important to mention the irruption of new entrants that offer alternative payment solutions and Financial business models based on new customer habits and market behaviors. (Fintech).
And Tomorrow? Keeping with the xx-aaS trend that in practice is observed in different forms (PaaS = Platform as a Service, IaaS = Infrastructure as a Service, SaaS = Software as a Service), why not BaaS = Banking as a Service? This would imply that Banks would jump in the Service-provider side of the value chain. Moreover, within a context in which market leaders are open platforms (eg. Airbnb largest room booking company who owns not a single hotel, Amazon leader in retail distribution without any physical shop), everything points to the need for an Open Banking. And what is more important: the main lever for customers’ decision making will be the ability to chose and to live experiences.
Reality is complex but untaps a
large potential of new opportunities to be explored. As customers become more demanding, Regulation needs to set the basis for consistent governance and risk control. Progress in IT developments and particularly Digital Transformation have increased operational, systems, tools, budget, risks and organizational complexity to unprecedented levels.