In brief

In brief

  • Leading incumbent banks should see Open Banking as more than just a regulatory imperative.
  • There is an opportunity to capture significant new revenue and efficiencies from the API economy and the broader financial services ecosystem.
  • As they chart a strategy, most banks will choose between two Open Banking business models: Banking as a platform and banking as a service.
  • Banks can monetize Open Banking directly by charging for the services/APIs, or indirectly by leveraging APIs to cross- or up-sell and cut costs.


An opportunity to drive growth and reduce costs

The application programming interface (API) economy has exploded over the past decade, with platform companies such as Google, Salesforce, eBay and Facebook deriving much of their market power from the APIs they offer to their partner ecosystems. As Open Banking regulations pull banks into this API economy and the broader financial services ecosystem, they have an opportunity to find ways to drive revenues from APIs.

Following the rush to meet the prescriptions of the Revised Payment Services Directive (PSD2), leading banks in the UK and Europe are looking beyond regulatory compliance towards monetization of Open Banking services and interfaces. Those operating in markets where Open Banking is less mature are finding inspiration from Europe about how they can implement Open Banking regulations with monetization in mind from the outset.

This could position them to adopt future-proof technologies and business models that are primed for long-term competitive advantage. The banks that have a vision for Open Banking beyond compliance will be best placed to compete effectively with non-traditional players such as big techs and fintechs, and to deliver the seamless experiences their customers expect.

To keep pace with digital innovators, the leading incumbent banks are seeking to organize their businesses differently and build new business and technology capabilities. They are re-evaluating their operating models and investing in open technology architecture. These banks are also starting to rethink data management needs and find new ways of working with ecosystem partners.

Open Banking business models

Banks can leverage their brands and customer bases to partner with other firms and offer new innovative services. As they chart a strategy, most banks will choose between two Open Banking business models:

Banking as a platform: In this model, a bank aggregates its traditional services with digital and new services from third-party partners and offers new services on its own channels.

Banking as a service: This model allows banks to use APIs to distribute core financial services products through third-party or partner-owned channels.

The success of any Open Banking business model will depend on the value it provides or the monetization options it creates. Participants can bundle or unbundle offerings and services, and generate direct or indirect value. The quantum of value generated will depend on the overall market proposition, customer ownership model, partner value-adds, risk/liability share and other related factors.

Partnerships hold the key to growing the Open Banking and open data ecosystems, and to creating new monetization opportunities.

Download our full report to learn about the benefits of the two Open Banking business models, as well as the use cases and the direct and indirect monetization options for each. Accenture clients rely on our innovative solutions and banking industry experience—and we welcome the opportunity to help you on your open platform banking journey.

Amit Mallick

Managing Director – Global Open Banking & API Lead


Andrew McFarlane

Managing Director – Payments and Open Banking, Canada


Ewa Wojcik

Manager – Payments and Open Banking

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