Banks are rapidly increasing their investment in Digital Strategy formulation and implementation as they seek to enhance their customer experience and adapt to the ever growing mobile and tablet usage. They are not only competing on price and product suite, but also on how accessible these products and services are to clients both at their desk and on the move.
What does digital banking mean?
“Digital” is a term that is frequently used, however, much less understood, especially within the financial sector. It means more than going paperless and getting customers to use online and/mobile banking – it is a way to run an entire business and it has the potential to transform banking from necessity into an effective customer experience.
A client recently broke it down for me into three key areas:
Trends in Digitalisation
Nowadays customers expect banks to be structured around them, to receive personalised experiences and benefit from transparent services. That’s precisely why there has been a fundamental shift in focus, with banks drastically increasing their level of competition in customer service.
On the retail side, consumers no longer want to, or have the time, to frequently visit branches. Through digitalisation, their desired products can be easily viewed, compared and purchased in a fraction of the time, resulting in a satisfied customer and lower costs for the bank. Furthermore, increased digitalisation will lead us to see more banks experiment with video usage such as virtual tellers and tablet usage.
On the corporate side, treasurers tend to have multiple accounts and exposures to manage at any one time. Banks can make their life much easier by making all the information readily and easily accessible on both mobile and tablet as the modern businessperson is constantly on the move.
With regards to the recruitment market, there has been an increase in the number of candidates who are qualified for digital positions and also motivated to pursue careers in this area. The market has generally been busy across Strategy functions in Financial Services. However, there has been a shortage of candidates with Investment Banking Product Experience as many consultants have been deployed to the retail banking and/or payments spaces to work on digital projects.
Change is coming whether or not banks are ready. Banking digitalisation can easily make all of the above possible by leveraging digital technology to provide an enhanced customer experience that fits a busy lifestyle. This will definitely change and improve the traditional banking business model.
Chris Cleland specialises in recruiting Strategy Consultants with a background in Management Consultancies into positions within Financial Services providers such as Banks, Asset Managers and Insurances companies. If you are hiring these professionals or indeed seeking a Financial role, please contact Chris on firstname.lastname@example.org or +44 7887 690 632.