A Case Study On The Transformation Of Ping An Bank’s Retail Business Driven By Fintech

With the acceleration of economic transformation and the continuous promotion of interest rate liberalization,the business environment of commercial Banks has undergone great changes.The traditional business model of earning profits by interest margin is difficult to maintain,and retail business is playing an increasingly important role in the business of commercial Banks.At the same time,financial technology enterprises started cross-border competition and seized the retail banking business one after another.Under this background,all major commercial Banks accelerated the pace of retail business transformation.Fintech not only brings potential competitors to Banks,but also provides new development opportunities for Banks.Embracing fintech and actively transforming retail business have become the strategic choices of major commercial Banks.Taking Ping An bank as the research object,this paper studies the transformation of Ping An bank’s retail business driven by fintech through literature research and case analysis.Under the guidance of the theory,this paper analyzes the motivation of ping an bank’s retail transformation in the age of fintech,the main measures of driving ping an bank’s retail transformation by fintech and the effect of transformation.The analysis shows that:(1)In the fintech era,the motivation of Ping An bank’s retail transformation comes from three aspects:(1)Customer behavior characteristics change,more the pursuit of networking,experience,personalized;(2)Changes in the retail market pattern,cross-border competitors to bring challenges to Banks;(3)The change of the underlying technology base,the application of fintech makes the intelligent transformation of retail banking possible;(2)Driven by fintech,Ping An bank mainly conducts retail transformation from three aspects:(1)Production system: product development,technological innovation,and risk control;(2)Delivery system: OMO service system of online mobile clients,offline outlets and connecting lines;(3)Supporting system: transformation strategy,institutions,corporate culture,talent team;(3)After the staged transformation,Ping An bank has achieved remarkable results in the overall size of its retail business,core business,risk control ability,customer acquisition ability and scientific and technological layout;Finally,it draws inspiration from the case of Ping An bank’s retail transformation,and puts forward four Suggestions for other commercial Banks to deepen the retail transformation driven by fintech:(1)Based on their own advantages,the development of technology-driven strategy;(2)Customer-centric,constantly enrich the retail product system;(3)Improve the channel system construction,actively carry out scene layout;(4)Construct data-oriented thinking,improve the ability of big data risk control.Through the research and analysis of Ping An bank’s retail business transformation,this paper hopes to provide feasible ways and guidance and Suggestions for other commercial Banks to help retail business transformation through fintech in the intelligent era.Of course,there are still some limitations in this paper.For example,Ping An bank is backed by the powerful ping an group,and its transformation experience is of limited reference significance for smaller commercial Banks.However,this paper provides a relatively complete case guide for the intelligent transformation of the retail business of commercial Banks,and provides strategic direction and Suggestions for the transformation and development of the retail business of the banking industry.