Strategies for the Financial Services Industry in the Internet Age

Globalization of financial markets resulting from both IT (particularly Internet standards) and increasing homogeneity of regulation has strongly affected the environment, financial services companies are operating in. Given these changes on the market, innovation is not a choice, but a necessity to survive. Observable today, however, are defensive strategies and poor service quality. In this paper based on investments in trust relationships with customers we propose Sophistication (fit) Banking enabled by IT and qualified staff and show first steps towards the implementation of a sophistication banking strategy. While traditional markets are characterized by shrinking margins and declining shareholder values, which can easily be explained considering the digital character of financial products, new intermediaries for customer-centered Sophistication (fit) Banking have the opportunity of becoming spiders in the web and increasing shareholder values constantly.

[1]  Dennis Kundisch,et al.  Enabling eCCRM: content model and management for financial eServices , 2001, Proceedings of the 34th Annual Hawaii International Conference on System Sciences.

[2]  Andreas Will,et al.  Zur Vorteilhaftigkeit von Zerobonds , 1999 .

[3]  A. Currie.  The new battleground , 1999 .

[4]  Diskussionspapier Wi,et al.  Kundenmodell für eCRM - Repräsentation individueller Einstellungen , 2000 .

[5]  Hans Ulrich Buhl,et al.  Simultane Optimierung der Zahlungsströme von Leasingverträgen und deren Refinanzierung , 1999 .

[6]  Dennis Kundisch,et al.  Buyer Search Behavior on an Electronic Commodity Market : Consumer's Decision for a Sequential or Simultaneous Search Method , 2000 .

[7]  Hans Ulrich Buhl,et al.  Leasing selbstgenutzter Wohnimmobilien , 1999 .

[8]  Detlef Schoder,et al.  Mass customization und electronic commerce : Eine empirische Einschätzung zur Umsetzung in deutschen Unternehmen , 1999 .

[9]  Hans Robert Hansen,et al.  A case study of a mass information system , 1995, Inf. Manag..

[10]  Arno Scharl,et al.  Cooperative Development of Web-based Mass Information Systems , 1998 .

[11]  W. Steck,et al.  Eine ökonomische Betrachtung von Customer Relationship Management und individuellen Finanzdienstleistungen , 2000 .

[12]  Hans Ulrich Buhl.  Preference Based Customer Models for Electronic Banking , 1999 .

[13]  Hans Ulrich,et al.  Neue Perspektiven im Online- und Multichannel Banking , 2000 .

[14]  Hans Robert Hansen,et al.  Conceptual framework and guidelines for the implementation of mass information systems , 1995, Inf. Manag..

[15]  Peter Wolfersberger,et al.  One-to-one-Banking , 2000 .

[16]  P. Evans,et al.  Strategy and the new economics of information. , 1997, Harvard business review.

[17]  M. Porter.  Competitive Advantage: Creating and Sustaining Superior Performance , 1985 .