How Retail Banks Are Being Displaced, Diminished and Disintermediated by Tech Startups and What They Can Do to Survive
James Haycock, Shane Richmond
This is how the scenario plays out: first, the banks are displaced by new entrants offering better customer experiences and price. Then their revenues are diminished, as they’re relegated to a position of an undifferentiated utility in an environment with higher rates of switching. Finally, the arrival of a new technology, like the blockchain, challenges the banks’ core competency, as the new players bypass their services, disintermediating them entirely.