Disruptive technologies push FIs to innovate
by. Shazia Manus
Recent research revealed more than half of retail financial institution (FI) executives consider non-traditional financial services providers a threat to traditional FIs. Conversely, 31 percent view non-traditional players less as a threat and more as potential partners on the path to innovation.
The report from Price Waterhouse Coopers (PwC), “Retail Banking 2020: Evolution or revolution,” surveyed nearly 600 FI executives from 17 countries. Not surprisingly, respondents’ opinions differed by region. Significantly more U.S. executives name new market entrants as a threat (71 percent) than do executives in Asia (42 percent).
Ninety percent of executives agreed on six main priorities for retail FIs to remain competitive going forward:
- Putting consumers first
- Embracing the move from traditional branch-based to digital banking
- Streamlining business and operating models
- Deciphering and putting Big Data to effective use