What will banking look like in ten years’ time?
Banking ten years from now will be even more digitalized than today, which means there will not be quite as many bank counters left. Counselling meetings for complex products will be more digitally supported. If e.g. a client wants to buy a house one will be able to work on different funding models and affordability calculations together with the client. When doing investment business, portfolio management can be simulated electronically during a client meeting, showing clients how their portfolio is changing if they sell one product and buys another two. The respective information as well as the tools are made available to clients in their e-banking accounts. Further, banking will be a lot more personalized than it is today. If clients log into their e-banking account, the relevant information will pop up. In addition to this many processes within the bank will be a lot more automated. I am also convinced that the longer the more offers will no longer be made by the banks themselves but by specialized FinTech firms that focus on certain services and offer them via the banks.
(Source: Postfinance Magazine, issue 4 | 2017 – Prof. Dr. Andreas Dietrich / Interview (highly abbreviated))
According to Prof. Dietrich there are four sectors of digitalization in banking: a) ”Innovation”: So-called Robo-Advisors, electronic portfolio management tools and e.g. online mortgages have been allocated to the sector “innovation”. B) “Automatization”: Within banks, processes can be made more efficient and automatized, thus reducing costs. c) “Analysing data”: With the consent of the client, client data can be assessed in order to submit tailor-made and personalised offers to the client. d) ”Networking”: Create communities, e.g. crowdfunding platforms where a huge number of persons finance projects or crowd-voting platforms where an internet community assesses the developments of shares and bonds.