The shift to digital is transformational: We are here but to serve

By Theodora Lau and Bradley Leimer of Unconventional Ventures 

When we talk about digital banking nowadays, chances are, the conversation might quickly turn to one of the challenger banks launched the past few years — one likely positioning themselves as a new way of “X”.  This would come along with their simplified user experience and bright colors designed just perfectly for those always-elusive millennials drawn like moths to a flame toward that ever-present metal card. The conversation would drift toward user engagement, bundles of perfectly unique user workflows, how much better these metrics were compared to incumbent banks, and how technology was changing the very dynamic of the business.

But is this why the industry is working so hard on digital transformation? To compete with metal cards and hybrid value propositions driven by APIs? Maybe that’s part of it, but there’s a whole lot more as financial needs of regular people still aren’t being met. The shift to digital — especially during this pandemic — is a transformational one for our customer relationships, our cultures, and our mindsets, as we work to meet the changing needs of our communities.

Digital banking should focus on utility and value over beauty as digital relationships have become a tablestake for any entity wishing to call itself a financial institution. For many, being able to bank digitally is a necessity rather than simply a preference. Such is the case for truck drivers, who are nomadic due to the nature of their work. Similarly for those who do live in areas without access to local branches, commonly referred to banking deserts. In such cases, how we serve these customers and figure out what they need becomes more paramount.

Our relationships have changed. Technology has become the conduit, and a means to an end. A means to exploit; or a means to help; a means to benefit one’s bottomline, or a means to offer a lifeline. It is a choice that every business — every type of business — has had to make. And this is especially true for financial services.

“We have extended them credit that they otherwise wouldn’t have access to” is a phrase we often hear. And we pat ourselves in the back, congratulating how great a job we have done as an industry. But does anyone stop to think if that is the right type of credit, the right amount of credit, and the right form of credit? And we don’t mean plastic, metal, or — as recent weeks have shown — wood, or a new form of Buy Now Pay Later (don’t get us started). Does anyone care to look in retrospect, to see if we are doing so responsibly, regardless of form factor?

Where does one draw the line?

As the fintech community celebrates one record funding round after another, we can’t help but wonder — what does this mean for the 20 million Americans who are receiving unemployment aid, and struggling to make ends meet when their checks keep dwindling the past few months? Does this really matter for the millions who will find themselves unable to suddenly pay back three to six months of rent at once after the eviction moratoriums end on December 31, and face eviction in the middle of winter and a pandemic? How are we improving the financial condition of our communities? And how does a pretty user interface help put food on the table for the 50 million Americans (including 1 in 4 children) who are food insecure?

The answer is simple. It doesn’t. And the tidal wave is yet to come.

As we approach the end of the year that was 2020, one that is anything but normal, we are truly thankful; thankful for the frontline healthcare staff, who are working tirelessly to keep us safe, the essential workers who keep our nation running, and the gig workers who deliver a seemingly endless supply of groceries and online orders. How we best serve their needs — the people and communities that need it most — is reflective of our industry’s values — and of our own.

Let’s hope 2021 will bring a renewed commitment to use our real superpowers to lift up those whose voices are not being heard, whose needs have been ignored for far too long. As an industry, we bear enormous responsibility — and yield outsized power — to help create a more equitable future for all.

If we are willing.

________

In this week’s episode of One Vision, Theo and Bradley chat with Curt Queyrouze, President of TAB Bank, a passionate believer in equality, and whose philosophy is uniquely human. This conversation will warm your heart. We promise. Listen in to this special episode on iTunes and Spotify. Please consider subscribing. From our family to yours, have a happy holiday season.

________

Unconventional Ventures helps drive innovation to improve systematic financial wellness. We connect founders to funders, provide mentorship to entrepreneurs, strategic advisory services to a broad set of corporates, and broaden opportunities for diversity within the ecosystem. Our belief is that anyone with great ideas should have a chance to succeed and every voice should be heard. Visit unconventionalventures.com to learn how you can partner with us today.

More about Irish Tech News and Business Showcase here.

FYI the ROI for you is => Irish Tech News now gets over 1.5 million monthly views, and up to 900k monthly unique visitors, from over 160 countries. We have over 860,000 relevant followers on Twitter on our various accounts & were recently described as Ireland’s leading online tech news site and Ireland’s answer to TechCrunch, so we can offer you a good audience!

Since introducing desktop notifications a short time ago, which notify readers directly in their browser of new articles being published, over 50,000 people have now signed up to receive them ensuring they are instantly kept up to date on all our latest content. Desktop notifications offer a unique method of serving content directly to verified readers and bypass the issue of content getting lost in people’s crowded news feeds.

Drop us a line if you want to be featured, guest post, suggest a possible interview or just let us know what you would like to see more of in our future articles. We’re always open to new and interesting suggestions for informative and different articles.

If you would like to be featured in our podcast series drop us a line & don’t forget to sign up for notifications for our latest episodes and follow us on Twitter, Linkedin, SoundCloud, iTunes or your own favourite podcast platform.

Contact us, by email, twitter or whatever social media works for you and hopefully, we can share your story too and reach our global audience. We are agile, responsive, quick and talented, we look forward to working with you!

If you would like to have your company featured in the Irish Tech News Business Showcase, get in contact with us at [email protected] or on Twitter: @SimonCocking