Corporate banking might seem far removed from the digital disruption that has rattled so many sectors. But a recent EC survey of corporate banking customers worldwide reveals that the industry is on the cusp of a far-reaching digital shakeout.
Business clients not only are open to transacting and liaising with relationship managers over digital platforms: the majority are willing to switch—and even pay a premium—to work with banks capable of delivering the type of integrated, omnichannel service they’ve grown accustomed to in other spheres.
Indeed, corporate banks that only gradually go digital could be fighting for their place in the market before the decade is out. EC data indicates that over the next five years, laggards could see profits drop by as much as 15 to 30 percent relative to fast-moving competitors.
In BCG’s view, three digital value propositions—seamless online banking, enhanced digital advice, and real-time decision-making support—can help corporate banks get on track.