Standard Blog

There were four frequently made predictions by industry experts, financial institutions and technology providers at the beginning of 2019, according to the recent Digital Banking Trends Progress Report from D3 Banking Technology.

Long gone are the days when credit unions could consider the community institution down the street, or even the biggest national banks, as their only competition. Large technology companies and retailers continue to dip their toes into the financial industry waters, causing concern for traditional institutions. What these entities lack in proven financial services experience, they’re trying to make up for with seamlessness and convenience. While these competitors haven’t won yet, if credit unions aren’t careful, they just might.

Not all consumers crave having their financial affairs run by a “Netflix” that knows what they want before they do. And only the largest banking players can afford to offer state-of-the-art digital service plus the ultimate branch experience. So mid-size banks like Zions, Synovus and TCF seek a middle path.

Merger and acquisition (M&A) activity in the credit union space has been on the rise, and this trend is expected to continue in 2019 and beyond. In addition to being a great way to grow credit unions’ assets and extend geographic reach, M&A also presents a valuable opportunity for institutions to reevaluate and solidify their digital strategy before merging what was once two separate organizations.

D3 Banking Technology (D3), provider of the industry’s most advanced digital platform, shares predictions on how digital, AI and personalization will transform the financial industry in 2019. In the coming year, financial institutions will focus on improving member service with better digital features and data analytics.

Research reveals a sobering assessment of the challenges community banking providers and smaller institutions face with respect to their digital capabilities. Experts weigh the results and offer advice.