Proprietary and Confidential – UST Global

DIGITAL TRANSFORMATION BLUEPRINTProprietary and Confidential – UST Global

A narrative for a new banking era

Proprietary and Confidential – UST Global

New customers for old banks

According to an interesting and widely known index published by Viacom Media Networks, 71% of Millennials would prefer to go to the dentist than to listen to what banks are saying. According to this survey 73% would be more excited about a new offering in financial services from Google, Amazon, Apple, Paypal or Square

than from their own nationwide bank.This serves to confirm the seismic change in the profile of consumers today and in the future of financial services. Digital natives, like those who have embraced technology regardless of their age, present a series of characteristics when accessing bank services which banks should pay good heed to in order to build solid and lasting relationships. In the surveys that UST Global conducts on the profile of today’s consumers, there are six key recurring factors that determine engagement and loyalty.

While banks’ main revenue streams still come from the upper age bracket today, where the impact of this sociological change caused in part by new technologies is not as great, it is clear that the future will be uncertain for banks that do not manage to connect to this new mindset.

TIMELY RELEVANCE1.0

The t ime factor is nowadays more important than ever. People f ilter the relevant

f rom the everyday, draining those key benef its that really resonate with their unmet

needs..

BE RESOLUTIVE2.0

Listen, understand and get to the point , alleviate the

burden, smooth the journey.

EDUCATIVE5.0

Offer your clients a chance to LEARN: of fer blogs, courses, instruct ional

videos, eye opening data and visualisat ions.FESTIVE3.0

Deliver a relevant and meaningful experience.

Priorit ising the experience as much as the end result .

Offering a process that is simple and memorable,

whether my client win or lose.

TANGIBLE4.0

Make benef its tangible by clearly pinpoint ing benefits,

helping the client to resonate and conf irming

accurately.

6.0

People need help and they think you know it . User needs are moments for

listening and opportunit ies for engagement.

SUPPORTIVE

DIGITAL NATIVES & ADOPTERS

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New challengers competing for customer emotional dilemmas

Fintech companies have definitely grasped this situation. Leveraging this phenomenon, combined with the omnipresence of mobile phones (the new PA in our lives) and the impact of the global economic crisis, they have forced the industry to find alternative access mechanisms to financing for businesses and individuals.

Fintech companies are clawing away at the big banks’ market share, helping at the same time to erode the already deteriorated commercial margins of the latter

Proprietary and Confidential – UST Global

PEOPLE(COSTUMERS)

ENTERPRISE AGILITY

DESIGN FOR HAPPINESS

(D4H)

So it’s time for Transformation…but not only DIGITAL

DATA-DRIVEN DECISIONS

CREATING ECOSYSTEMS

TECHNOLOGY PLATFORMS

INTEGRATEDINNOVATION

DESIGN & EXPERIENCE

Those financial institutions that have understood the message have embarked on a transformation process with varying levels of intensity: ranging from those who are questioning nearly all the traditional parameters (operating model, core technologies, customer experience) to those who are adopting a more superficial focus, mainly attacking the digital channels as a way of getting closer to customers.

The big question, however, is if all this transformation, based on improving the value chain of a financial institution is enough at this present time. Given the current circumstances (far-reaching technological change, macroeconomic tensions, demographic changes and even regulatory tensions), relying solely on cost savings, efficiency gains, listening to customers, etc., isn’t usually synonymous with evolution.

We believe it isn’t about playing the game the best but about creating a new market model attacking the pillars of the traditional system. The time has come for strategic orchestration, for creating networks in which the different nodes are innovative companies, “coopetitors”; partners from other markets and associations, among others, collaborating in a transparent model for users in order to fulfil the mission we proposed previously.

Those financial enterprises that can create new platforms delivering products and services that go much further than conventional offerings will manage to find a space in the minds (and hearts, because this is about emotions too) of potential customers.

But this approach requires of a complete transformation of traditional banks, transformation grounded in 7 key pillars

Proprietary and Confidential – UST Global

ENTERPRISE AGILITY

Adapting quickly, effectively and efficiently to the changes of business climate and the challenges & constrains of scaling

DESIGN FOR HAPPINESS (D4H)

Bringing the user to the center of innovation to develop products and strategies that truly fulfill user needs and deliver sustained loyalty

.PEOPLE(COSTUMERS)

.

3. DEVELOPING THE WHATDefining and developing the desired product at t r ibut es and features aiming to deliver delight in the use of a service or product.

2. DEFINING THE HOWMapping the ‘Fulfillment Journey’ of a customer trying to satisfy their ‘needs’.

1. UNCOVERING THE WHYUsing emotions to uncover emotional

dilemmas and define customers’ ‘needs’.

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DESIGN & EXPERIENCE

Combining user understanding, product definition and development in an iterative process

D4H UX ENTERPRISE AGILITY

USER REQUIREMENTS

DESIGN GUIDELINES

INTERACTIVE PROTOTYPES

WIREFRAMES /LOOK & FEEL

PRODUCT BACKLOCK

CODED PROTOTYPES

MVCs &MVPs

DATA-DRIVEN DECISIONS (D3)

Gathering the vast amounts of data from costumers using new technology systems and adopting strategies accordingly

COGNITIVE SYSTEMS

MACHINE LEARNING

SYNAPTICS PLATFORM

REAL TIME PLATFORMS(FAST DATA)

RELIABLE, REPEATABLE DECISIONS AND RESULTS THAT UNCOVER HIDDEN INSIGHTS

DATA-DRIVEN DECISIONS (D3)

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CREATING ECOSYSTEMS

Building and strengthening relationships with other companies and organizations to bring added value & innovation

BANK

ENABLING BUSINESS RELATIONSHIPS

ECOSYSTEM

TECHNOLOGY PLATFORMS

Supporting in the development of Technology Platforms as a base for innovation

API MGMT.

BIG DATA & ANALYTICSDEV. STACK ALM

BLOCKCHAIN & DISRUPTIVE SOLUTIONS

MOBILE BACKEND SERVICES

INFRASTRUCTURE & PLATFORM AS A SERVICE

CLOUD NATIVE BUSINESS APPS (Business App #1…)SECURITY by DESIGN

Proprietary and Confidential – UST Global

UST Global is a leading digital technology services company that provides powerful solutions for Global 1000 companies. UST Global's mission is to lead companies through critical digital transformations to drive higher business value. UST Global specializes in six next generation digital services -- design, cyber security, mobile, social, analytics and cloud. Powered by the mantra 'fewer clients, more attention', UST Global strives for excellence in providing their clients high quality services and a commitment to long-term success. Headquartered in Aliso Viejo, California, UST Global has over 15,000 associates; operating in 25 countries across four continents.

WHY UST Global

INTEGRATED INNOVATION

Developing products and services together with the client using Agile Methodologies.Defining MVCs and MVPs in a Turbo Process

Juan R. Fontán, Director Sales & Marketing

juan.fontan@ust-global.com @JRFontan Phone: +34 618 082 968