This white paper is a report of a joint study by Efma and Oracle that seeks to understand what innovation activities are taking place in banks and which are working or not working. It includes practical observations and actionable insights that will hopefully act as a stimulus to banks. It also includes examples of best practice operating models which might help to turn the tide for the financial services sector.
The vast majority of banks recognise the importance of innovation in a world that is rapidly changing, with new technologies arriving almost daily and with customer needs and expectations becoming increasingly demanding. The question remains whether banks are equal to the challenges ahead or whether they will tend to sit back and then find out too late that their customers have been stolen by new entrants and other competitors.
The study suggests that some banks are making significant strides forward. However, others are lagging behind, some of them adopting the ‘wait and see’ attitude that has been prevalent in the financial services sector for many years.
The other key question is how will those banks that embrace innovation make it pay? There are many good ideas floating around the industry but these will come to nothing if they can’t be turned into profitable solutions or products and services that address issues such as customer needs and the customer lifetime value.
This study therefore looks at the overall attitudes of banks in more detail and at some of the different innovation strategies that are being developed. As well as examining some best practices, it explores those key factors that make the difference between the success and failure of an innovation programme.
We hope you find the white paper both interesting and stimulating.
Keywords : Innovation , Offer/Pricing