Why banks must reinvent themselves or extinction from digital transformation

Why banks must reinvent themselves or extinction from digital transformation (DT). Regardless of where we live and whatever countries we mention, world is become digital economy and the more extensive digital infrastructure and online being used, the more efficiency it will be. From mobile banking application to online banking self service, it empower traditional bank to eliminate volume of bank branches required to serve their bank customers.

ATM machines that allow to perform multiple function and services will also massive available on the various corner of where the customer will use them, from shopping mall, petrol station, even university campus to name a few.

Traditional and hundred years over bank if can not digital transformation (DT) themselves, they will facing extinction from the market. Instead of focus on expanding volume of passive banking branches and staffing with extensive overhead, modern and future centric bank is invest in the fintech and aggressive on innovate new banking product and focus on getting more business from new customer or existing customer.

Do not get me wrong, digital transformation (DT) impact every sector and industry, it just the focus of the post is on banking only.  The trend is focus on converge, traditional role for the industry do not define what the player should do and act anymore. For example, we had automotive manufacturer involved in car loan, personal insurance, refinancing, trade-in. We had telco player involved in e-wallet and encourage their customer for trade-in smartphone, online purchase. We had no traditional credit and debit card service out from the Visa and Mastercard, but from the online shopping platform offer their very own end to end mobile wallet service and it acceptance anyplace in the world. We had ride sharing service provide user friendly ride sharing and provide alternative taxi service, and expand to food delivery, rent-a-car service.

World is changing at Intenet time speed, this is why for most of traditional business top management must be educated and really had the business (technology) insight what is coming, and what should be do now to avoid being extinction from the market, regardless of your market size, if you do not had the digital transformation journey map with you and able to mobilizing existing resources to act on them now, you are in the high business risk of being fall, it either of the time and what global or local event to accelerate that to happen only.

E-SPIN being involved in digital transformation (DT) business since 2005, active in serving and assisting enterprise customer and government agencies for adapting various business technology change for the better alignment existing business with the new business technology. Feel free to contact and engage us for your business digital transformation issue and requirement, and we see what we can do together.