"Australia is experiencing both a profound digital disruption in financial services as well as a fundamental shift in how data is utilised. We are seeing consumers rightfully demanding and receiving more control over their data."
The latest figures from APRA reveal a substantial drop in the presence of Automatic Teller Machines (ATMs) and EFTPOS terminals across Australia, with banks looking to scale back dedicated service points in favour of cost-efficient, mobile-based money transfer apps and non-branch partner services.
Despite customers overwhelmingly trusting major institutions to protect their data and financial assets, upwards of two-thirds of consumers fear banks “do not have their best interests at heart”, according to findings from Deloitte’s 2019 Open Banking survey.
Representatives from established financial firms have conceded neobanks and fintechs challengers will continue to capture market share from the dominant incumbents, with surveyed delegates at the Future of Financial Services, Sydney last week acknowledging the tenuous hold FSIs have over their existing customer base as well as increasing brand disloyalty among customers.
"Changing the way an organisation operates also requires radically modernising technology platforms to support and optimise the changes and to more efficiently deliver value to customers."