In simple words, banks are worried about the new fintech technologies and seeing it as a threat to their business of playing with public money.
I hope this worry and fear will force the bankers to put "customer first" instead of putting their own business agenda at the forefront. They are slowly understanding that change is imminent and holding onto their century old practice might just destroy them. Good for us, common people!
Topic: Fear of a Fintech Future: UK Bankers Afraid of Disruption (Read 152 times)
A new report on the UK banking industry has identified Fintech startups as a key potential disruptor in the eyes of the industry’s biggest participants. The recently released MoneyLive Banking Report compiled by Marketforce LIVE concluded that Britain’s banking space sees such startups as a “significant threat” to their business models, after consulting with 600 prominent figures from across the industry.
The report polled respondents in an attempt to find out how traditional financial institutions view the growing prevalence of services provided by fintech companies in relation to their existing customer base and future business prospects.
Better User Experience and Brands
According to the data presented, 81 percent of respondents believe that customer experience and service quality are bigger drivers of consumer acquisition and retention than trust in large institutional brands. Adding to the dilemma faced by British banks is the fact that 79 percent of them also believe that fintech startups have “more engaging brands”.
Perhaps unsurprisingly, 59 percent of respondents agreed that customer-facing fintechs have the potential to replace them altogether or at least pose a “significant threat” to their relationship with customers if their models do not change substantially in the near term.
CCN | https://www.ccn.com/fear-of-fintech-uk-bankers/
The report polled respondents in an attempt to find out how traditional financial institutions view the growing prevalence of services provided by fintech companies in relation to their existing customer base and future business prospects.
Better User Experience and Brands
According to the data presented, 81 percent of respondents believe that customer experience and service quality are bigger drivers of consumer acquisition and retention than trust in large institutional brands. Adding to the dilemma faced by British banks is the fact that 79 percent of them also believe that fintech startups have “more engaging brands”.
Perhaps unsurprisingly, 59 percent of respondents agreed that customer-facing fintechs have the potential to replace them altogether or at least pose a “significant threat” to their relationship with customers if their models do not change substantially in the near term.
CCN | https://www.ccn.com/fear-of-fintech-uk-bankers/
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