ABA and Accenture have released a playbook for banks on fintech strategy.
Banks continue to grapple with a rapidly evolving technological environment and the massive growth of fintech startups. At stake: billions of dollars in revenues. So to help banks understand how and when they can most profitably partner with fintech companies, the American Bankers Association and Accenture recently released a members-only Fintech Playbook. ABA has also launched ABA Fintech as an online hub for all the association’s resources on fintech.
According to Accenture, banks that invest in fintech stand to gain up to $20 billion collectively in operating income by 2020, while those that don’t could lose as much as $15 billion in revenues during the same period. But with thousands of startups to invest in or partner with, the transition can be daunting.
The playbook offers a four-phase approach:
- Establish a baseline
- Close gaps
- Focus on the customer
- Drive transformational change
This approach addresses channels, lines of business, and bank platforms and processes. It also includes sample worksheets to help:
- Identify strategic priorities
- Identify top IT investment priorities
- Select potential fintech partners
“This is clearly a transformative time for the financial services industry. The rapid convergence of banking and technology is reshaping how banks and their customers interact,” said ABA President and CEO Rob Nichols. “This tool will help banks, particularly community banks, navigate the dynamic field of technological innovations.”
Online training in digital, mobile and social media from ABA.