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The new business model will need to balance between customer-driven
differentiation in the front-office and efficiency-driven standardisation in the
back-office. Both the front-office and back-office will be driven by the mining

and analysis of data, the former to digitally augment and personalize the
customer experience and the latter to reduce operational costs and risks.

Digitally augmented customer experience
FRONT OFFICE mobile-first, harmonized, Dynamic user-experience Mass personalization eco-system partners
Open banking
Omni-channel

analytics driven
tailored products
collaboration with
seamless
and services
Analytics

BACK OFFICE Flexible, modular real time processing Scalable, secure Adaptive and resilient
Straight-through,
product engines
operating model
infrastructure

Efficient and effective operations

Figure 2: Retail banking model of the future.

The front-office will focus on providing a digitally augmented customer experience that
differentiates the bank from competition. It will have the following characteristics:

Omni-channel Dynamic user experience
While the majority of banking services will be A 360 degree view of the customer using bank
provided digitally i.e., self-service via mobile, data across product lines and channels, as well
banks will still need to support multiple channels, as external data such as social media using real-
including digital and assisted and both bank- time analytics, will help generate new insights on
owned and external i.e., those that are not under customer behaviour, preferences, spending habits
the control of the bank such as social media sites, and propensity to buy. These, in turn, will be
comparison sites and partner portals. These used to change the user experience dynamically,
channels must provide a completely consistent to enhance that experience with gamification
customer experience and must share intelligent techniques, such as nudging customers towards
information in real-time, so that transactions their financial goals, or to provide a personalized
initiated in one channel can seamlessly continue in and holistic experience through prospecting,
another. Metro Bank, the first new bank in the UK campaigns, sales origination and servicing in real-
in 100 years, started with a distinctive in-branch time. Any change in the user interaction, whether
proposition, where customers could open accounts by the interface or the workflow, will need to flow
in 15 minutes. The optimal and intuitive experience seamlessly across devices, channels and products.
in the branches has now been extended online. Equitable Bank in Canada recently launched EQ
bank with Deloitte Digital to provide a dynamic
mobile-only onboarding experience for its
customers.

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