Sopra Banking Software's externally written reports with analyst firms
Issue link: https://read.uberflip.com/i/1420103
pandemic has exacerbated this and the uplift in the pace of change persists as digitization has exposed weaknesses in application suites across nearly all parts of the roadmap simultaneously. Without the right skills, banks risk remaining in the lowest Explorer category, losing customers and revenue to their more advanced peers. • Developing a digital ecosystem of products and services. To meet evolving consumer expectations, banks increasingly deliver their services in conjunction with partners in digital ecosystems. Many banks are also exploring the opportunity to be the center of their own ecosystem, curating third-party products and services in a central financial hub, improving their customers' experience by delivering contextually relevant services, and opening new acquisition channels. 13 At the same time, ecosystem partners gain huge value from the trust that banks have with consumers. 14 Despite appreciating the potential value, most respondents noted their banks experience difficulties developing such an ecosystem. Top challenges mirrored those from digital banking with security and data heading the chart. Other issues were more specific to collaborative ecosystems: gathering customer consent, integrating legacy technology, and including new services in a scalable and effective manner. The inability to overcome these risks harms the relevance of banks in customers' lives. • Collaborating with partners and vendors. In the open finance era where regulators encourage — if not mandate — collaboration, new business models will only succeed if networks and partnerships are strong. 15 However, our study found that banks are well behind the curve in their cultural effectiveness here. Banks are: "A lot of partnerships fail because of the culture in a bank. Accountability, passion, ownership structures … there is no incentive to really go above and beyond. At tech companies there is a greater hustle. This is why banks will struggle — and why tech companies are making a run for their money." VP OF PAYMENTS PLATFORM AT AN ASIAN PAYMENTS COMPANY MASTER ECOSYSTEMS TO BE FUTURE-READY IN BANKING 15