Digital Bank

by Chris Skinner

Becoming a Digital Bank is the challenge for all banks as customers demand new services focused upon 21st century technologies. The challenge is that most bank systems are stuck in the last century. None of this is easy, and changing the bank’s core systems to become a truly Digital Bank is the hardest challenge of all. This is because the reinvention of last century technologies to new platforms with total reliability, security and resilience, is a stretch for everyone.

It makes it hard for traditional banks to compete in this new space, and allows many new and nimble firms to enter the banking markets and steal market share by exploiting new technologies, specifically the mobile internet.

In this new age of the mobile internet, where cloud computing allows anyone to scale from small to big data and back again, we are all wondering how to evolve our businesses to this new model of servicing and processing. In fact, many of us are wondering what the new model of banking will be.

What does it all mean; how do shape the vision; who are the people providing leadership; and where can you find out more?
This book tries to answer all of these questions, with one of the markets leading practitioners providing insights, case studies, knowledge and opinion in order to show the way forward and is based upon the extensive writing of Chris Skinner.

Chris Skinner is known internationally as an independent commentator on the financial markets through his blog, the Finanser, and as Chair of the global networking forum the Financial Services Club, which he founded in 2004. Before this he ran sales and marketing strategies in financial services for NCR and Unisys. He is also the best-selling author of nine other books covering everything from regulations and change to the European financial markets to the future of banking to the ups and downs of the last five years living through the most recent financial crisis.

Digital Bank not only includes extensive guidance and background on the digital revolution in banking, but also in-depth analysis of the activities of incumbent banks such as Barclays and new start-ups such as Metro Bank in the UK, as well as disruptive new models of banking such as Alior Bank in Poland and FIDOR Bank in Germany. Add on to these a comprehensive sprinkling of completely new models of finance, such as Zopa and Bitcoin, and you can see that this book is a must-have for anyone involved in the future of business, commerce and banking.

“Chris Skinner is simply one of the most brilliant minds in banking, and he’s always an entertaining read.” The Financial Brand commentary when awarding Chris Skinner’s blog the Reader’s Best Banking Blog Award

Genres: Business, Banking, Finance, Technology, Economics

358 pages, Kindle Edition

First published August 28, 2013

Reviews

[Tornike · Rating 2 out of 5]

A book with a lot of water, dumbed down for those who don't know anything about current banking or future trends in it. Began reading waiting for some serious material, but what I got was just a looot of criticism of modern banking and some orwelian future for banking. Nothing novel or original, if you follow news in this sphere.

[Vedat Guven · Rating 5 out of 5]

Şube ağı mı? Dijital ağ mı? Konvansiyonel bankacılığın artık sınırına geldik. Daha hızlı sistemler, kapasitesi daha yüksek bilgisayarlar bir yere kadar. ATM, çağrı merkezi, internet şubesi gibi farklı kanallardan hizmetleri birbirleriyle senkronize ederek sunmak da bir yere kadar. Artık ürünlerimize değil müşterilerimize yoğunlaşmalıyız. Konsantrasyonumuz "daha iyi ürün" değil "daha iyi müşteri deneyimi" olmalı. Zaten bu hedefimiz daha iyi ürün'ü de içeriyor. Müşteriye hizmeti bizim sunmamız değil, müşterinin istediği hizmeti, istediği zamanda ve istediği şekilde bizden alması önemlidir. Müşteriye ayrı ayrı kanallardan sunacağımızı hizmeti hat şeklinde sunmak yerine satıh şeklinde bir bütün olarak sunmalıyız. Hattı müdafaa yoktur, sathı müdafa vardır.

[Ju-hyun Kim · Rating 4 out of 5]

기존 은행이 옴니채널(유기적으로 하나의 채널로 통합)/멀티채널(채널별 효율 극대화)을 가지고 이야기하는 것을 두고, 저자는 이와 달리 디지털을 기반으로 새로 설계 철학을 도입해야 한다고 생각한다.

기존의 legacy 가 있고, 이에 대한 영향력이 축소되는 것도 함께 걱정해야 하는 현실의 은행과 달리 디지털 은행은 보안, 사용자경험에 있어서 정보의 흐름을 중심으로 설계의 철학을 달리하여 접근해야 한다는 것이 책의 전반적인 이야기다.

규제 산업이고, 철저히 나라마다 상황이 다르다는 점을 생각하면 책도 결국 총론적인 이야기에 그친다. 그래서 용두사미 같은 느낌을 가질 수 밖에 없었으나 그래도 생각의 전환을 필요로 한다면 한 번 읽어볼 만 하다. 사실 나온지가 몇년이 지나서 이정도 논의는 이제 새로운 것이 아니게 되어 버릴정도로 빨리 변하는 시대에 살게된 것 같다.

[Kirill Kochkin · Rating 4 out of 5]

Крис один из немногих специалистов, кто пишет на тему диджитал банкинга и активно популяризирует ее.

Книга являет собой неплохой срез мировых практик, а также выступает в роли предсказания, пробуя предугадать движение отрасли в будущем.

[Vahagn Grigoryan · Rating 4 out of 5]

This book was eye opening experience for me. The Author has many new ideas about the future of the banking. Must read for a banker of 21 century.

[Joao · Rating 4 out of 5]

Great book how banking is changing from day to day, still a very actual book since it's launched 2014. Very charismatic author, more in person.
Truly recommend.

[Krishna Wiharsa · Rating 4 out of 5]

Good book to summarize all you need to understand what it takes to launch a digital bank. Back then when it was first published, the concept were all relatively new in the banking industry. Now it is quite a common practice not only for digital banks, but also for conventional banks competing in the digital-banking landscape. The essence of the book is that digital banks are all about using data to serve human, not to manage money, by becoming a predictive and proactive bank in the augmented and future economy

[Aslan Umarov · Rating 2 out of 5]

книга хороша для тех кто совсем не разбирается в digital banking. но есть 3 момента
1) 99% всего о чем пишет Крис Скиннер во всех своих книгах можно найти в публичных статьях и ревью уважаемых консалтинговых агентств доступных бесплатно

2) если убрать лишнюю бузу, которую трет автор во всех своих книгах, то получится одна небольшая брошюра.

3) автор тратит слишком много места и времени на критику существующей банковской системы.

[Alexandre Teixeira · Rating 4 out of 5]

Chris brings clarity around the fundamental building blocks of a bank and how smartphones and internet ubiquity should transform the industry
Written in 2014, the book anticipated the fintech boom — in the building the digital bank chapter he basically describes Nubank

[ایمان قادر]

Hi

[Atifain]

let me read this book first

[Prabhakar · Rating 5 out of 5]

Practical book. Not just saying go digital but explains various dimensions. The examples are banks given, one can study further and that's like a bibliography to explore this topic more. Cool Book!

[Luis]

I liked the main analogy at the beggining, when explaining the main concepts: building the bank should be like building a house. The core, the design, is the walls, the irons and the infraestructure upon which the house is built. This is analogous to the technology on which the enterprise is built (should be cloud, not legacy systems!). Once this is set, the next layer, the arquitecture, the look and feel, the floor materials, or how the one living in the house perceives it, is separate. Once the bases are built, one can choose the type of house you want (open, closed, big windows, more cousy, etc.). For the bank, this means that on top of that technological infraestructure, the business decides the kind of bank: massive, only digital, premium but supported with branches (only as a sales channel!), etc. This is done by connecting the bank, and setting all of the services via APIs, which can be connected to whatever other service is requiered (Amazon, payments, apps, intelligent cars, voice assistants from any platform, etc.). The core should be able to connect with anything; to what it gets connected, is the business decision depending on the kind of bank and services one wants.

[Sasha · Rating 2 out of 5]

The main takeaway is: retail banking branches suck, close them down! Okay, get the point but repeated 50 times it's becoming really annoying. The book is less about digital banking but more about "how banks must reinvent themselves". Otherwise, good thoughts smartly presented along the book.
As a Bemol, I read this book 3 years after initial publication. Probably less disruptive now than 3 years ago as banking already started walking the digital transformation avenue.

[Francesc Rul·lan Solana · Rating 3 out of 5]

The first 220 pages could have been written in half the space if the author wouldn't have repeated, rephrased and reframed everything a dozen times. This would have made the book a much more enjoyable read.

The interviews at the end are perhaps the highlight interesting, although not exceptional.

In general, despite the above, it was a useful introduction to the banking industry today.

[Gsc · Rating 3 out of 5]

Many interesting elements to this book. Some great stories and anecdotes.
Somewhat repetitive. And needs some thorough editing /review - some incomplete sentences and typos. Way more than I would expect for a professionally published book!

[Nadezhda · Rating 2 out of 5]

Nothing new. Thought it to be more inspiring.

[Pearson · Rating 5 out of 5]

Wow, everyday I was just thinking about this book, it's real amazing.