‘If you are not a digital business, you will be a dead business’
Skip to main content
  • Home
  • Economy
  • Stocks
  • Analysis
  • World+Biz
  • Sports
  • Features
  • Epaper
  • More
    • Subscribe
    • COVID-19
    • Bangladesh
    • Splash
    • Videos
    • Games
    • Long Read
    • Infograph
    • Interviews
    • Offbeat
    • Thoughts
    • Podcast
    • Quiz
    • Tech
    • Archive
    • Trial By Trivia
    • Magazine
    • Supplement
  • বাংলা
The Business Standard

Thursday
June 30, 2022

Sign In
Subscribe
  • Home
  • Economy
  • Stocks
  • Analysis
  • World+Biz
  • Sports
  • Features
  • Epaper
  • More
    • Subscribe
    • COVID-19
    • Bangladesh
    • Splash
    • Videos
    • Games
    • Long Read
    • Infograph
    • Interviews
    • Offbeat
    • Thoughts
    • Podcast
    • Quiz
    • Tech
    • Archive
    • Trial By Trivia
    • Magazine
    • Supplement
  • বাংলা
THURSDAY, JUNE 30, 2022
‘If you are not a digital business, you will be a dead business’

Panorama

Faisal Mahmud
07 April, 2021, 10:50 am
Last modified: 07 April, 2021, 03:30 pm

Related News

  • EBL donates Tk10cr to PM’s relief fund
  • Alec Baldwin to interview Woody Allen today
  • Inflation drains Tk50,000cr from bank savings
  • Zafir: From fan to lead guitarist of Nemesis
  • ‘We want to go global by 2030’: Minister Group Chairman

‘If you are not a digital business, you will be a dead business’

Brett King is a bestselling author and an award-winning speaker. He is the Founder and Executive Chairman of neo-bank Moven. He advised the Obama administration on the Future of Banking. In an interview with The Business Standard, he talked about how technological disruption is changing the way we do banking

Faisal Mahmud
07 April, 2021, 10:50 am
Last modified: 07 April, 2021, 03:30 pm
Brett King, Founder and Executive Chairman of neo-bank Moven. Illustration; TBS
Brett King, Founder and Executive Chairman of neo-bank Moven. Illustration; TBS

If you want someone to tell you that the banking that you are doing now is not the 'banking' that you should do - Brett King is your man.

This bald-headed Aussie banker – who is often regarded as the messiah of modern banking – would casually swagger in his business flannel suit and tell you that "Banking is no longer somewhere you go but something you do."

By the way, that is the tagline of his latest best-selling book 'Bank: 3.0'.

In his earlier best-seller 'Bank: 2.0', King explained why customer behaviour had changed, why cheques are disappearing, and why our mobile phone will eventually replace our wallet within the next 10 years.

Citing differences between the two books, King, in an interview with The Business Standard, said that Bank 2.0 was an awareness raising effort but and in Bank 3.0, he provides solutions to everyday banking problems. Here he discusses how consumers are less likely to view their retail banking provider in terms of capital adequacy, branch network, products and rates.

Instead, customers are more likely to determine their banking partners by how easily they can access their accounts when they need to, and how much they trust their provider to execute business on their behalf.

Change in engagement with financial institutions 

King believes that the marketplace has changed significantly around how consumers are engaging with their financial institutions. Compared to just three years ago, traditional banks are challenged more than ever from a distribution perspective because of the movement to mobile and digital channels, and because they are not well positioned with their current brick and mortar networks for a positive customer experience.

This 51-year-old banking expert realises the impact of Generation-Y on the banking industry, and on the wider economy better than any other contemporary experts concerned. The particular issue that came into his discussions for time and again is how are businesses going to attract millennials?

"If you don't think they will make much of an impact, think of the verbs that did not even exist five/ten years ago: I whatsapp'd you; I Uber'd to reach here; I will tweet her and ask her…dare we even suggest I will snapchat you. Millennials are the biggest new customer base coming down the track, and they're digital natives," he said.

In multiple lectures and talks across the globes (many are available on YouTube) and many times in his critically acclaimed weekly show on banking and financial technology- 'Breaking Bank,' King said that he has long been trying to raise awareness that multi-channel banking is not an option or an add-on, it is going to become the primary way people bank, so banks have got to get the infrastructure in place.

"It's only going to get harder for you to engage customers if you don't have a competent digital strategy," he told The Business Standard.

Digital evolution 

"The fact is," King said, "If you are not a digital business, you will be a dead business." He believes in that mantra because he is a strong observer of the changes that is happening in the banking industry.

Referencing data of the Federal Deposit Insurance Corporation (FDIC) of the USA, King said, the number of cheques written each year has dropped by 70 percent since the year 2000. In light of this, fintech startups such as PayPal or Paytm (along with 500 other mobile payments startups listed on AngelList) have stepped up and are revolutionising the payments industry.

As King said, "What is happening today is that (the payments startups) are all trying to create a new, better, faster, simpler mobile front-end to the payments system. If the existing system worked 'just fine,' then none of these companies would exist. Clearly, things are changing."

King believes that banking has to work when and where people need it. The best advice and the best service in financial services happen in real time and are based on customer behaviour, using principles of big data, mobility, and gamification.

It's a myth that you can visit a banker and get great advice. We surveyed customers and 95% of them said they couldn't remember ever receiving any advice from a bank in a branch

By Brett King

"It's a myth that you can visit a banker and get great advice. We surveyed customers and 95% of them said they couldn't remember ever receiving any advice from a bank in a branch." King said that customers just want solutions to their day-to-day financial problems. For most financial issues, people need a bank product or service to be very contextual.

"Right now, banks have the luxury of saying – you can't buy that car or house until you come to us, fill out this paperwork, let us complete this risk assessment and then we'll decide whether or not to take you on as a customer - that's not efficient and it's not a friendly process; it's focused on Know Your Customer (KYC) and traditional distribution mechanisms."

He said that banks have to be able to offer a compelling digital experience, not only responding to customers but anticipating their needs in real time. Over reliance on long, paper filled processes will not help to attract digital natives.

"Banks have much inherent strength and they have to figure out how to use the digital disruption as an opportunity because with technological disruption, the banking business will not only survive but thrive in the digital age."

Features / Interviews / Top News

Digital business / Digital / digital banking / Brett King / interview / Banking / Banking industry / Banking sector

Comments

While most comments will be posted if they are on-topic and not abusive, moderation decisions are subjective. Published comments are readers’ own views and The Business Standard does not endorse any of the readers’ comments.

Top Stories

  • Representational image
    Some amnesty for offshore assets kept, corporate taxes cut
  • Saudi Arabia to celebrate Eid-ul-Adha on 9 July
    Saudi Arabia to celebrate Eid-ul-Adha on 9 July
  • The International Monetary Fund logo is seen inside its headquarters at the end of the IMF/World Bank annual meetings in Washington, U.S., October 9, 2016. REUTERS/Yuri Gripas
    Talks with IMF for $4.5b budget support 'positive'

MOST VIEWED

  • Mahathir accused financial titans of seeking to reverse decades of economic development that propelled tens of millions into the middle class. Photo: Bloomberg
    George Soros, Mahathir and the legacy of 1997
  •  If Bangladesh produces and exports high-value-added MMF products right now, we can increase our total export by around 25% in value. Photo: Mumit M
    Time ripe for Bangladesh RMG sector to focus more on man-made fibres
  • Human Library Bangladesh has organised so far nine sessions; eight have been held in different parts of Dhaka and one in Khulna. Photo: Courtesy
    Human Library Bangladesh: Where the halls come alive with human voices
  • Abortion is a part of healthcare. Photo: Bloomberg
    Abortion is healthcare and women’s rights are human rights
  • Prashanta Kumar Banerjee. Sketch: TBS
    'Public Asset Management Company can be an additional tool to curb bad loans'
  • Aid boats navigate through the different waters of Jamalganj Upazila, giving aid to flood victims.  Photo: Masum Billah
    Bandits, hunger and snakes: Flood victims pass sleepless nights

Related News

  • EBL donates Tk10cr to PM’s relief fund
  • Alec Baldwin to interview Woody Allen today
  • Inflation drains Tk50,000cr from bank savings
  • Zafir: From fan to lead guitarist of Nemesis
  • ‘We want to go global by 2030’: Minister Group Chairman

Features

Mahathir accused financial titans of seeking to reverse decades of economic development that propelled tens of millions into the middle class. Photo: Bloomberg

George Soros, Mahathir and the legacy of 1997

10h | Panorama
 If Bangladesh produces and exports high-value-added MMF products right now, we can increase our total export by around 25% in value. Photo: Mumit M

Time ripe for Bangladesh RMG sector to focus more on man-made fibres

13h | Panorama
Human Library Bangladesh has organised so far nine sessions; eight have been held in different parts of Dhaka and one in Khulna. Photo: Courtesy

Human Library Bangladesh: Where the halls come alive with human voices

15h | Panorama
Abortion is a part of healthcare. Photo: Bloomberg

Abortion is healthcare and women’s rights are human rights

1d | Panorama

More Videos from TBS

Severodonetsk now under Russian control

Severodonetsk now under Russian control

2h | Videos
South African boy drove ambition, says Elon's father

South African boy drove ambition, says Elon's father

2h | Videos
Why Dollar crisis will last long?

Why Dollar crisis will last long?

2h | Videos
Beautiful mural at Padma bridge

Beautiful mural at Padma bridge

6h | Videos

Most Read

1
Padma Bridge from satellite. Photo: Screengrab
Bangladesh

Padma Bridge from satellite 

2
Meet the man behind 'Azke amar mon balo nei'
Splash

Meet the man behind 'Azke amar mon balo nei'

3
Photo: TBS
Bangladesh

Motorcycles banned on Padma Bridge 

4
Photo: Courtesy
Corporates

Gree AC being used in all parts of Padma Bridge project

5
Photo: Collected
Economy

Tech startup ShopUp bags $65m in Series B4 funding

6
World Bank to give Bangladesh $18b IDA loans in next five years
Economy

World Bank to give Bangladesh $18b IDA loans in next five years

EMAIL US
contact@tbsnews.net
FOLLOW US
WHATSAPP
+880 1847416158
The Business Standard
  • About Us
  • Contact us
  • Sitemap
  • Privacy Policy
  • Comment Policy
Copyright © 2022
The Business Standard All rights reserved
Technical Partner: RSI Lab
BENEATH THE SURFACE
An aerial view of a MRT Line-6 construction site. Work on the first elevated metro rail of Bangladesh is going on in full swing. A total of 16 elevated stations will connect the capital’s Uttara to Motijheel via Mirpur, Farmgate and Dhaka University. The photo was taken from Farmgate area recently. Photo: Rajib Dhar

Contact Us

The Business Standard

Main Office -4/A, Eskaton Garden, Dhaka- 1000

Phone: +8801847 416158 - 59

Send Opinion articles to - oped.tbs@gmail.com

For advertisement- sales@tbsnews.net