KOCHI: The way and speed at which the new age technologies make inroads in the functioning of banks and retail sectors point to a fact that the consumers are now empowered to conduct their banking needs or do the shopping in a smart way – without visiting a traditional brick and mortar bank or a shop.
The engrossing issue would be put into perspective at a panel discussion on the topic ‘Digital Future of Banking, Finance & Retail’ at the two-day #FUTURE Global Digital Summit being organised by the Kerala government at Le Meridien hotel in Kochi on March 22-23.
The panelists for the session include BG Srinivas, group managing director & executive director, PCCW; Gayathri Parthasarathy, head, financial services – KPMG India; Gita Gopinath, professor of International Studies & Economics, Harvard University; Shyam Srinivasan, managing director & CEO, Federal Bank; Rajesh Rege, MD, Red Hat India; and Rajesh Nair, member, HPIC, Govt. of Kerala, etc
Financial services and retail are among the industries that have experienced phenomenal disruption by digital innovation. New entrants like PayPal are disaggregating traditional banking and threatening their market share, margins and the stable customer base.
Customers have re-defined ‘convenience’ and want a bank that is technology-driven and part of their mobile-empowered daily life. A recent Accenture survey showed that 71 per cent of customers in the US consider their current banking relationship to be transactional rather than relationship-driven and 27 per cent would consider a totally branchless digital bank. It also points out that 35 per cent of banking revenues will be at risk by 2020 due to this disruption.
In the retail industry, consumer behaviour has shown major shifts in preferences and expectations. Convenience, speed, variety, dynamic pricing and multi-channel service are among the top requirements of Gen X shoppers. Customers now have full control over what, when, where and how they shop. Day-to-day products are set to order their own replacements, powered by IoT. Hybrid retailing solutions are likely to bring together online and in-store experiences.