FinTech will feast on 23% of your customers
One simple way to beat them at their own game
95% of banks think they’re at risk of losing part of their business to standalone FinTech companies. 83% of traditional financial services businesses do too. On average they think that 23% of their business is at risk. FinTech companies, on the other hand, are more optimistic and think they can capture 33% of their business.
Read more about that in this ITOnline story, here.
That’s according to a PwC survey of 544 CEOs, heads of innovation, CIOs, and top management involved in digital and technological transformation across the financial services industry from 46 countries.
The biggest threats from FinTech companies? 67% say number one is pressure on profit margins. 59% say it’s loss of market share.
FinTech companies threaten margins by reducing operating costs; one of the ways being to adopt cloud platforms, which reduces capital and operating costs.
Of course, another way to reduce operating costs is to digitise first mile customer interactions, things like:
• Customer on-boarding
• Applications like those for bonds, loans, and investments
• Loyalty programmes
Those are document-intensive processes. They’re challenging. They’re cumbersome. Most customers do not like them. And they lose you business.
Managed document services (MDS) is not a product, it is not a device, nor is it a collection of software. MDS is the successful translation of a business’s processes that contain its document policies, strategies and governance into a more effective business for better operations and customer service.
That’s why it’s important that, when you digitise first-mile customer interactions, you also massage processes to suit better business – don’t just digitise what you already have.
Smart processes that begin with first-mile customer interactions give you quick wins but also form the basis of an on-going programme that delivers continuous innovation.
You can roll over and take it from the FinTech companies that want a quarter of your business. Or you can level the playing field.