Thursday, June 16, 2016
Digital technologies are reshaping the banking industry at an unprecedented rate, generating waves of fresh opportunity and potential peril for traditional banks. Digital has increased customers’ expectations for greater efficiency, quality, and speed, and it has opened the door to new competitors and disruption.
In other industries, prominent companies, including Google and Apple, are emerging as serious competitors through digital innovation. And a rapidly growing number of smaller fintech digital platforms—such as alternative-payment provider Earthport and mobile bank Moven—are winning customers with new digitally enabled products and services.
The traditional value chains of banking incumbents show signs of fragmenting. New technologies, such as blockchain, are evolving as potentially fundamental elements of the emerging new industry structure that we call industry stacks.