X

Thank you for sharing!

Your article was successfully shared with the contacts you provided.

In today’s hyper-connected, highly digitized world, credit unions face greater challenges to their survival than ever before. Members increasingly expect highly-personalized, high-tech services coupled with the convenience of anytime, anywhere banking through any channel. At the same time, credit unions are facing greater competition than ever before from not only banks, but also fintech startups and non-traditional players. These non-traditional competitors are extremely savvy at leveraging digital technologies including mobile, analytics and the Internet of Things to deliver greater convenience and much sought-after services to members, often at a much lower cost than traditional financial institutions can offer. Credit unions must continue to find ways to differentiate themselves in a crowded market, provide the services that today’s digital members want and increase their bottom lines.

Exacerbating the challenges credit unions face today is the threat of digital disruption – the use of digital technologies and business models to improve business performance. Digital disruption is sweeping across industries and has the potential to overturn and reshape markets faster than perhaps any force in history. Cisco and IMD, one of the top-ranked business schools in the world, recently surveyed more than 165 financial services executives to better understand the impact digital disruption will have on the industry and found that roughly four of today’s top 10 financial services incumbents (in terms of market share) will be displaced by digital disruption in the next five years! In fact, 45% of financial services executives surveyed believe that digital disruption “somewhat” or “significantly” increases their risk of going out of business altogether.

Credit Union Times

Join Credit Union Times

Don’t miss crucial strategic and tactical information necessary to run your institution and better serve your members. Join Credit Union Times now!

  • Free unlimited access to Credit Union Times' trusted and independent team of experts for extensive industry news, conference coverage, people features, statistical analysis, and regulation and technology updates.
  • Exclusive discounts on ALM and Credit Union Times events.
  • Access to other award-winning ALM websites including TreasuryandRisk.com and Law.com.

Already have an account? Sign In Now
Join Credit Union Times

Copyright © 2019 ALM Media Properties, LLC. All Rights Reserved.