Below, we outline the top banking and fintech trends for 2017 and how the world’s leading banks are addressing them.
" Banks need to make sure they are providing better services and customer experiences than their bank competitors - but also upstart FinTechs."
Derek Corcoran, Chief Experience Officer, Avoka
COMPETITION WILL DRIVE TRANSFORMATION
Fintech companies are competing with banks on a number of levels including peer-to-peer (P2P) payments, lending, saving, and investing.
Banks should be worried 33 per cent of millennials believe they won’t need a bank in the next five years. Almost 75 per cent of millennials are more interested in financial offerings from Google and Amazon than from traditional banks.
For banks to continue to compete they’ll need to make sure they are providing better services and customer experiences than their bank competitors - but also upstart fintechs.
CONTINUED SHIFT FROM TO DIGITAL CHANNELS
Millennials are driving the overall shift from in-branch banking to digital channels and we predict this trend will continue, if not accelerate, in 2017.
The Financial Brand recently found banks are spending 22 per cent of their budgets on optimising their digital channels, the second-most important investment priority behind their core banking systems.
If banks aren’t devoting a large percentage of their 2017 budget to transforming digital onboarding experiences, it’s time to reassess that approach.