With internet spreading its net across the markets, financial products are being invented and developed by companies – read as independent innovators. The selling points for all such innovators mostly revolve around three common spokes – Speed, Secure &
Service. With multiplicity of products and innovators in the financial intermediary space, a relook on Bank’s positioning is undoubtedly warranted. Banks need not consider these upheavals as competitive threats to their existence. Instead, these independent
innovations should strengthen Bank’s role in the market. This is where a Bank has to position as a giant and demonstrate success models to active innovators for their existence.
On a wider perspective, Bank should assume role of a multinational hypermarket. What to sell, where to sell, how to sell and why to sell should form integral part of Bank’s alliance strategies with independent innovators. Rest of the marketing initiatives
should be taken care of by independent innovators. The bank’s sight should be focused on expanding, nurturing and refining their customer base. Bank should invest on this front. More achievement on this front, would be more gain through alliances with independent
innovators. The more attractive clientele Bank has, the more would be their negotiating power to derive maximum value to the bottom line. In the alliance, Bank would be opening the market of its million customers. Through the alliance, Banks can offer an innovative
product to its clientele, for reaping the benefits of technological growth with better experience. On intermediary role, Bank would be cherishing its role both functionally and financially.
Drawing parallels with hyper market, promotional sales can be offered at Banking floors. Imagine customers receiving brochures on new offering on products in their shelves. It can be promotion of international payments during a period with lesser processing
charges, mostly during off-peak days for load balancing, or when bank looks for float funds.
Banks need not follow the alternate small players in producing such products, rather it should position as a custodian of customer trust. It should oil the infrastructure, refine the processes and practices of selling products. It should concentrate on improving
turn around times and understanding the customer preferences. This should be linked back to all alliance strategies. Better understanding of the customer needs will certainly result in better alliance stories. Bank should ratify good products and advise customers
to experience the product and service through them.
Confronting the innovators, Banks need to project the trust of millions, project the satisfaction in customer faces while closing a service request, project achievements as a customer partner. Independent innovators may rarely have choice but to join the
wagon. Deliver the best solution through the established level of service delivery and aim to achieve better customer experiences. The bottom line is - trust reposed by customers through the ages is a real power for every successful Bank. This power should
drive the Banks to meet small transitional challenges by alternate players in the intermediary space. This power should pose survival challenges to average products and cultivate value propositions to innovative products, by scripting successful alliances,
with customers at one hand and innovators on the other.