Digital Banking Comes of Age: Creating unfair competitive advantage
I’m from Boston. If you want to talk about mythologically underinflated footballs, I’m your guy. (Coincidence that the only underinflated ball was the one held on the Colts’ sideline? I think not!) While the investigation continues, if this football example proves anything to me at all, it’s that competitive advantage is perceived most acutely by the folks who come in second. How do your competitors feel about you? In the daily market crucible, are you number 1?
In banking, as the NFL, competitors are held to account by the rules—as they should. But consider the salient competitive football statistic that, during the 2nd half of the game in question, with referee-certified, fully inflated footballs and a level playing field, the Patriots outscored the Colts 28 – 0. What REALLY was behind the Patriots’ unfair competitive advantage? And, more importantly, in the daily market crucible—what are you relying on to be yours?
Creating this sort of unfair competitive advantage takes both preparation and execution. Consider that today’s banking customers own an average of 23 financial products from 13 different financial institutions. Call it share of wallet, but someone is winning this game, and others are losing. So how are leading banking institutions building a strategy to win?
Ross Wainwright, SAP’s global head of Financial Services, outlines an extremely compelling vision in his recent video on digital banking strategies. In Ross’s outline for success, the blocking and tackling of a superior and consistent omnichannel experience is paired with the strategically important ability to deliver deep customer insight in both the development of new and innovative financial products, as well as the delivery of compelling banking services. Makes sense, right?
Watch the video for yourself, and consider how you match up on the playing field against your stronger competitors. Are your customers deepening their relationship with you, or are they straying closer and closer to your competition. Can your customers rely on you for a consistent omnichannel experience, and an array of offerings that tightly match their personal financial needs and wants? Can you continue to delight them with superior products and customer service to defeat all comers?
If you can’t answer yes to all these questions, fear not—there are tools and expertise out there to help. Just as surely as the Colts will draft well, and return to the field next time even better prepared, your competition isn’t standing still or satisfied with past results. You shouldn’t be, either.