It’s not news that the majority of retail-bank managers in Europe are concerned about the territory being lost to “the enemy”, those clever, customer-pleasing fintech companies. Fortunately, the end is not in sight for forward-thinking traditional banks that not only make the most of their formidable advantages and resources but also turn enemy into partner through coopetition.
Without regulations, digitalisation is not feasible. New rules and laws are a headache for banks and increase the administrative burden while reducing client satisfaction. But they also create transparency and openness, which can lead to new and improved financial services. The challenge is how to provide new services in a customer-centric way. Regtech may be the solution.