REIMAGINE

BANKING IN 2025:
How Will IT Change the
Way We Do Banking?
Hello!
We are
Dandy Ramdani
Ersaly Aisyah
Friska Ariani
Yohannes Ekaputra
Banking Industry 2025
(Related to Technology Change)
High Touch Personalised
Service
Update alternative shops or websites where you
could buy the same products more cheaply.
It could suggest which account to use for a
transaction based on how much money you have.

Or it could even point out that it is a week until

payday.
Beacon technology which can alert staff when a

disabled customer enters the branch, so staff know

more about their specific needs immediately.
Indirect Self-service for the
Wider Market
Cross-selling financial services Prime
customers' interests and create awareness before
having that conversation.
Customer experience Customer engagement

with both bank employees and interactive media.

Drive-through banking Today's digital
signage can be easily placed outdoors, providing a
reliable, dynamic way to keep drive-through
customers informed.
Banking Industry
Nowadays
(Related to Technology Change)
E-Banking
 Developing Internet and mobile technologies provide innumerable
service innovations for consumers.

Diversifying services are increasingly important for companies trying

to create a competitive advantage in the market, retain their
customer base, and cut costs (Laukkanen, 2016).

The banking sector has followed the recent trends in mobile

communications by adopting wireless banking applications for
financial transactions and bank account management (Luarn and Lin
2005, Zhou et al. 2010)

As the newest delivery channel established by retail and

microfinance banks in many developed and developing countries,
m-banking is likely to have significant effects on the market (Safeena
et al., 2012)
Smart (or Branchless) Banking
 Branchless banking is another way of providing high quality
banking services to customers with the use of the next-
generation ATMs (Kurila et al., 2016)

Branchless banking were introduced in 2013 by Citibank as

Citibank Express Machines, and provide nearly all the
services of a conventional bank branch (Holley 2013)

The next-generation ATMs are the forerunners of the smart

banking industry

Offer almost all of the banking services without physically

visiting a branch and without requiring any special mobile
devices and Internet access
Source: BBA, 2015
Source : PWC, 2015
 Mobile Banking in Indonesia

Survey result from MEF, Global association for mobile content and commerce
source : https://dailysocial.id/post/mobile-
How Will IT Change the Way We Do
Banking in 2025?

Improving
Service Consumer
Experience

Better
Direct Payment
Communications
Impacts on Bank
Services
Improved IT-Based Service
Bank Services

Branchless Banking Digitized Branch

Data
Data
Bank Services

Next Generation ATM

Video from Diebold
Bank Services

Smart-watches In-car apps

Using voice functionality, drivers can
check their account balance and
transfer funds, as well as locating
nearby branches and ATMs.
Data

Source : Sensor Data Survey. EY, 2015

Data

Source : FinTech Survey. EY, 2014

Impacts on Banks
Brand Strategy
Improving Customer Experience
 Main Issue
Evolution of Data Processing
- The Speed of data transfer
- The lower Cost

Types of Services
- Personal Financial Management
- Sending of highly tailored alerts and advice directly to the
customer
Everyday Bank
Survey
iBeacon Technology
 iBeacon Technology
How it works?
Designed to deliver continuous content based on the precise location of a customer within a
branch, allowing for highly relevant messaging or special offers on products to be sent to
smartphone users at the exact time and place they are most useful.

How it works in Banking?

Customers must first install the mobile app of the bank they are visiting and opt-in for
personalized promotional alerts. By providing the bank access, the bank could track activities
performed both online and in the branch in the past to customize both mobile and in-person
communication the moment they step inside the branch.
Consumer Acceptance of In-Store
Alerts
Survey Result
Impacts on Payment
System
Integrating more IT on Payment
System
Why Payments Industry is Attractive to
Disrupters?
It is a massive industry, with $26 trillion in global transactions
and billions of dollars in fees.
Ineffiiencies abound in almost every step of the
processlegacy architecture and decades-old protocols
create delays, risks, and headaches.
Customers cherish convenience, so any solution enhancing
this attribute without much additional cost will be favorably
received.
Innovations Have Been Unleashed

Online payments
Mobile payments

Contactless payments

Peer-to-peer
Cross-border remitances
Cryptocurrencies
Blockchain Technologies
Online Payments
Data
Mobile Payments
Data
Data
Contactless Payments
Data
Peer-to-peer
Data
Cross-border remittances
Data
Data
Cryptocurrencies
Data
Blockchain
Data
Impacts on
Communication
Better Communication
Main Issue
Customers are looking for more services
Communicating with customer is the key
to success
Types of service
More personal customer service
Solve problems on real-time basis
 Better Communications

Being able to For banks, Creating

have a having a genuinely
conversation, dialogue with trusted
anywhere and at their customer customer
any time, is base has never relationships
something that been so will continue to
is now taken for important be a bigger
granted challenge for all
businesses
Any time a customer comes to
contact with any aspect of a
business, is an opportunity to form
an impression
Jan Carlzon, CEO Scandinavian Airlines System Group
What Customers Want

Banking users Keep the personal

Customers are
value the ability to touch alive while
Convenience looking for more
solve problems on using remote self-
services
real-time basis service channels
Innovations

Virtual Reality Headset

Oculus Rift, Samsung VR, etc
Computer-generated environment in which a person is
immersed
Augmented Reality
What happening in
banks at the
moment
Information about
the banks
What floor do you
have to go
 Robots customer service
 Embracing social media
Companys Twitter account can
tweet back to the customer with a
custom link that works only for that
customer.
Video Chatting
A face-to-face video
banking with a branch
manager, relationship
manager or with a centralized
executive
Video monitors on some of
their ATMs
Opportunity & Threat
Opportunity Threat
Technology Non-financial services firms
High efficiency of time & money
entering banking and payments
with innovative products,
Simplify the customer respected brands, and massive
experience customer bases (esp. Tech-firms)

Consumers need and want

More complexity of banks
financial advice operation environment
Communities of interest Regulations
New Markets Digital banking has not been
Demographics tested during recession
Thank You
Any questions?