Since the subprime mortgage crisis that originated in the United States of America and led to the ﬁnancial crisis,
businesses and consumers are asking ﬁnancial institutions to become more humane and empathic instead of self-
interested and lacking in compassion. Banks and insurance companies need to add community facilitation services to
their core value propositions in response. By doing so, business and consumers will reestablish relationships with
traditional ﬁnancial institutions. If established banks and insurance companies are not successful in reestablishing these
relationships, national governments and supranational institutions are more likely to allow new entrants from technology
and services industries. Because online and mobile channels are fastly becoming dominant, oﬃces and agents become
more and more obsolete instead of a valuable resource for high switching costs.
Businesses and consumers want banks and insurance companies to facilitate
them in local communities. Customers need to feel in control, know the facts and
receive 24/7-advise via online and mobile channels. Transparency is reliability.
Businesses and consumers in local communities place a high value on choice and freedom and want to be responsible for
all aspects of their own activities. However as ﬁnancial products and services become more complex, many ﬁnd it
increasingly diﬃcult to make the right choices. This means that customers are interested and willing to learn about how
to best manage their ﬁnances. In addition, ﬁnancial institutions can’t go wrong focusing on innovations that save
consumers’ time and make their day-to-day lives simpler and easier. In mature markets, contactless technologies such as
NFC (Near Field Communication) enable smartphones to store payment details that, in turn, allow users to pay instantly
for smaller transactions. In developing countries, where mobile penetration is high yet banking infrastructure is poor,
consumers heavily rely on these innovations for every day transactions. Driven by lower costs, increased trust and
transparency, and the desire for a new approach, businesses and consumers are increasingly turning to, and dealing with,
other businesses and consumers. They are asking banks and insurance companies to facilitate them in doing so.