**Editor's Note: Register now for the Channel Partners Conference & Expo, the gathering place for the technology services community, April 10-13, at Mandalay Bay in Las Vegas.**
Disruption is upsetting industries at every turn and banking is no exception. According to industry analysts, financial technology, or “fintech," is booming worldwide, with banks changing the way they interact with customers on the front-end while also working on improving digital enablement across the enterprise.
Today, one in five Americans banks with financial institutions that have no physical branches. What’s more, some data points on millennials and banking from American Banker are eye opening. For example, one-third don’t see the need for a bank in the future, they’re unstable banking customers, they love a good app, and 92 percent would make a banking choice based on digital services — in other words, they’re mobile and like their banking that way too.
It’s a great time to learn more about banking and digital transformation. That’s exactly what’s in store for attendees at “The Digitization of Banking: 5 Things You Need to Know" concurrent education session at the upcoming Channel Partners Conference & Expo in Las Vegas, April 10-13.
We talked to session speakers Jim Harper, business development manager at Crytycal Services Management (CSM), and Kris Bliesner, founder and chief technology officer at managed cloud services provider, 2nd Watch, about digitization, banking and what you need to know about the digital revolution underway in finance.
Channel Partners: What do you see happening in the banking industry?
Jim Harper: We’re seeing more application development and on-premises banking pushed out electronically to the consumer, to the member of the credit union, etc. Having that strategy, it’s a lot less expensive to have your application and transaction processing in the cloud versus brick and mortar. Also, when you push those transactions to the consumer, you provide them with control and give them banking their way — just as we have control over the type of music that we play with Spotify as an app.
From a business perspective, you’re not going to eliminate the brick and mortar, but you are going to minimize it and it’s going to allow you to have more control via analytics managing data centers and being able to manage those applications and bring more of the customer's electronic information and be able to do some predictive analysis.
CP: Kris, would you address the challenge of working with a regulated industry like banking?
Kris Bliesner: From our perspective, what’s interesting about what’s going on in the more regulated industries, like banking, is that there’s a concerted effort to move more to the public cloud and do so at a rapid pace. But, the bigger challenge that we see in these industries is that folks have a hard time figuring out how to consume this stuff versus other things from a technology perspective.
Our goal is to help customers where ...