Banking has been left behind in many ways by the digital revolution, this is mainly due to peoples distrust of technology and the importance of looking after their money.
However with millennials growing in terms of a customer base, these institutions are going to be sorely tested over the coming years to keep up with rising customer expectations.
Fintech start-ups are recognising this and are bringing to market new and innovative products to to service this profile of customer. You only have to look at the arrival of new players in the market like Tandem or Atom bank to see that investors see this as a huge opportunity to disrupt the established brands.
All in all this should be a good thing for banking in general, the increased competition should lead to an increase in the focus on customer requirements and hopefully we should all receive a better service because of it! :)
The reason this is happening is because millennials expect their smart phone devices to do everything from their financial affairs to their social media activities. Agile software start-ups are recognising this trend and satisfying the demand. Interestingly, not all customers are millennials, older customers are adding momentum to the demand for greater levels of service and extended product ranges. Traditional banks are now challenged on all fronts.