The brave new world of Open Banking
February 9, 2018
February 9, 2018
Most market watchers now view Open Banking as an inevitable and accelerating structural trend. Indeed, what’s coming from this trend is akin to the 17th century open Dutch economy. Much like the Dutch’s entrepreneurial traders, innovative banks will need to master the art of both interdependence and bilateral trade. Winners will create value from both export and import flows to secure their share of the new value being created, navigate a far more competitive market and drive tremendous growth—all at an accelerating pace.
Done correctly, banks can exploit bilateral trade to thrive in this brave new world—strengthening their customer franchises and brand, maintaining a defined culture and growing business through open collaboration beyond financial services.
Outbound masters will build customer loyalty, monetize their distribution reach, avoid becoming a commodity and generate new business by exporting information and services through:
On the import side, banks can more meaningfully incorporate products and services from third-party partners into their offerings. This can be everything from data (such as free credit scores) to merchant-funded rewards and more.
Inbound masters will rapidly enhance personalized banking customer service, build customer loyalty, generate new fees and lower the bank’s operating costs by:
We have the expertise to help banks find the best routes to navigate the Open Banking opportunity and sail around any threat.
Banks can use bilateral trade to navigate and thrive in this brave new world through open collaboration beyond just financial services.