The Biggest Change in Retail Banking Over the Past 5 Years | FF News at Retail Bank Transformation Europe

Banking has changed a lot.

At Datos Insights Retail Bank Transformation Europe, we expected there would be a few opinions on how retail banking had changed over the past 5 years. 

We weren’t wrong. 

In our latest vid, we get some thoughts from attendees and exhibitors on traditional banks copying the fintechs, the role of the high street, mobile banking and more. 

The retail banking space has undergone significant transformation over the last five years, driven largely by advancements in technology, shifts in customer behavior, and strategic adaptations by banks themselves. Our speakers gave us a good rundown of some of the most notable changes.

The Rise of Digital and Mobile Banking

One of the standout shifts has been the widespread adoption and maturity of mobile banking. This was something Robert Wint from Temenos commented on with customers now having a suite of banking services available at their fingertips, allowing them to manage accounts, transfer money, and even apply for financial products from the convenience of their smartphones. This has drastically reduced reliance on traditional in-person banking, with Will King from Secure Innovation noting that banking has seen a shift away from the high street and in person branches. 

It’s not to say that they don’t serve some value but it’s hard to ignore that as customers increasingly opt for digital-first experiences, traditional high-street banking is seeing a decline in foot traffic. As a result they are a significant part of the wider decline in the high street. For many, the ability to serve themselves through online platforms and apps has become a cornerstone of how they interact with their banks.

A New Focus on Self-Service

Self-service capabilities have also become more prevalent, extending beyond just mobile devices. For those still using traditional branch banking, many banks have introduced and expanded the use of self-serve machines within branches, offering services like deposits, withdrawals, and account management without the need for teller assistance. This was something picked up on by Matthew Phillips from Diebold Nixdorf. This evolution has made banking more efficient, catering to a growing demand for quick, independent transactions.

Fintech Influence and Innovation

The interesting point made by Chris Skinner of The Finanser was that the biggest change to take place was really that the traditional banks have basically copied the fintechs and the challengers. All the clever innovations that they have championed and included in their products have resulted in traditional banks taking cues from fintechs, adopting features and approaches that were once the domain of disruptive startups. From seamless app designs to enhance customer experiences, many legacy institutions have embraced innovation to remain competitive. This blending of traditional stability with fintech agility is redefining how banks operate.

Enhanced Convenience

Another key development our talented talkers picked up on, has been improvements in the accessibility of banking services. Features like cardless ATM withdrawals have introduced a new level of convenience, showing how banks are leveraging technology to simplify everyday transactions. These innovations aim to keep pace with the evolving expectations of digitally savvy consumers.

What’s clear is that the last five years have marked a turning point for retail banking, with a clear pivot towards digital transformation and customer-centric services. It’s been interesting to hear how these experts have viewed this shift. Watch more great videos from this lot, over on our Datos Insights event page.