Since Medieval Ages managing money and exchanging currencies has beenone of the fundamental part of society.
Exchanging money by people working inbanks have defined the way commercial banking works. The old hand to handexchanges are becoming a thing of past thanks to new advances in technology.One of the biggest investors in technology is the Financial Industry. In thepast 10 years, spending on tech has drastically increased and is currently $19Billion. In the Banking sector Citibank is one of the leading giants in this TechRevolution. In addition to that Citibank came up with an idea of Smart Branchesin 2010. A Smart Branch is basically an advanced bank which has similaraesthetics to current apple stores.
And with this Citibank becoming moredigital (CNBC 2018). To prove that the impending change is needed and genuine,one only need to look at China handling the banking sector, for organizationssuch as Alipay and Tencent have more customers than nation’s best banks. ACitibank official said “Our consumer bank business in Asia draws some 20 Millionvisits every month and between 90 to 95 percent of all transactions alreadyhappens outside a branch” (Citigroup Inc. 2018).
The SWOT Analysis of theevolving banking business model is as follows:Strength· Solid Brand acknowledgement· Persistent interest in innovation· Expansion of products and ServicesWeakness· ERP function fails· Difficult to do analytics andreportingOpportunities· Expand Global banking· Offer new ways of BankingThreat· Substantial Rivalry· Large Investment required in tech