8. Banking for the Next Generation

So far, we drew conclusions and formulated suggestions for the next decade based on the actual state of industry research, studies, and own experiences made in the financial services industry. Throughout the book, we followed a practical method to describe things as fact-based as possible so that findings are realizable. This chapter is different—based on assumptions and projections, we attempt to give you a picture about financial services in 20 or 30 years from now. We admit that the world looks different for the next generation with new economic superpowers China and India and wealth spots in favour of the old money countries in Europe and the United States. It is time to find procedures and tools to systematically explore the far future and extrapolate scenarios on how clients may live, think, and act. We provide an outlook for innovation and ecosystems in which partnerships lay the bases for the next-generation banking, driven by disintermediation and unbundling of financial services. Progressive business models from challenger banks entering the market from outside the financial industry, organized in widely connected ecosystems, may become the new benchmark for incumbents. There is no other option than to learn and collaborate, though, the far future is uncertain and puts adaptability to the test. Lastly, we give you a glimpse in state-led economic ecosystem with social credit systems and wide-ranging surveillance of all the individual’s and businesses’ activities.