In Levi Nine’s whitepaper ‘A Seamless Customer Journey’, author Sylvain Slieker discusses the impact of digital transformation on the financial services sector and the challenges that banks may face while undergoing these changes.
According to Slieker, customers now expect a simple and seamless end-to-end digital experience from banks; a standard set by non-banking competitors such as Paypal and Alipay. He highlights the challenges that can potentially undermine progress, including the lack of online and mobile process support, and the prevalence of manual onboarding. To manage these challenges, he recommends that banks spend less time on infrastructure and more time on digital business innovations and initiatives, as well as making every digitised stage of the customer’s journey easier and more contextual.
Slieker comments on the recent usage of APIs within the financial services sector, noting that it had been a standard way of connecting small and large systems for many years. He warns that the implementation of the PSD2 will bring about a set of unique challenges mostly stemming for greater public exposure as banks are now obliged to open up their legacy systems through the use of APIs. More specifically, the risks that financial institutions have to face when adjusting to the API economy are security, interoperability and performance.
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