Banking policy tends to focus on banking in an economic context. In reality the future of banking and banking policy is now a consumer and customer context. This is not simply because of the role the public has played in maintaining stability in the recent crisis. It is because the commercial and enterprise world is becoming customer-centric.
Whereas in banking we tend to think that sophisticated CRM systems give us an insight into customers’ requirements, the reality is quite different. Customers, the public sector, small firms and large, are changing their requirements and structures in radical ways that policy makers need a greater awareness of.
Bearing Consulting expert Haydn Shaughnessy has written an article on Internet innovation and the future of consumer banking, prepared for the Euromoney Global Banking and Financial Policy Review Yearbook 2010.
The article explains how in the fields of mobile and in purchase versus subscriptions the non-banking world has a head start, free from policy constraints. For traditional banks to embrace innovation of this nature requires a willingness to reject old-fashioned viewpoints. Working in this open platform world banks can rejuvenate their revenues, and their relationships and generate a sense that they are the place to be.
The article can be downloaded below: