Bank 2.0 by Brett King Summary

Bank 2.0 by Brett King examines how rapidly evolving customer behavior driven by technology is fundamentally transforming the financial services industry. Published in 2010, the book argues that the banking system is broken not due to regulation, but because banks fail to understand modern customers who now demand instant, personalized service through digital channels. King provides a roadmap for banks to adapt to mobile banking, social media, and the decline of traditional branches.

Brett King is a banking futurist, author, and co-founder of Moven, the world's first mobile-native neobank. He wrote Bank 2.0 after creating a 2005 internal report at HSBC predicting mobile would overtake branches as the primary banking channel by 2015—a prediction his colleagues thought was crazy. King wanted to hold up a mirror to the banking industry and show them what customers were already doing with technology.

Bank 2.0 is worth reading for anyone in financial services or interested in digital transformation, offering deep insights into disruptive technologies and practical guidance through real-world case studies. The book provides actionable advice for redesigning banking channels, strategic foresight into mobile payments and predictive marketing, and a critical-path checklist for implementation. Community bankers and executives at institutions of all sizes will find relevant, applicable strategies despite some examples drawn from large international banks.

Bank 2.0 is essential reading for banking executives, financial services professionals, and community bankers seeking to understand digital disruption and customer behavior changes. The book benefits marketing teams, technology leaders, and customer experience professionals who need practical strategies for channel improvement and innovation. While examples come from large banks, the principles apply to all 10,000+ banks and credit unions, including retail, business, and commercial banking segments.

Brett King identifies three disruptive phases that fundamentally reshaped banking: internet banking, smart devices (like BlackBerry and iPhone), and mobile payments. Each phase gave customers more control, convenience, and independence from traditional banking relationships. These phases accelerated the rate at which customers adopted new technologies, forcing banks to adapt quickly or risk becoming obsolete as customer expectations departed dramatically from traditional service models.

The "customer is dictator" concept goes beyond "customer is king" to reflect that on digital channels, customers dictate all terms of engagement. Customers now expect banks to deliver products and services instantly, exactly when, where, and how they want them, with complete control and personalization. This shift requires banks to fundamentally rethink their processes, technology, and organizational culture to prioritize customer needs above everything else or risk losing relevance and market share.

Brett King predicts bank branches will transform from transactional centers into advisory and sales hubs handling only complex service needs. The book describes emerging branch models including:

• Flagship megastores
• Bank-shops in shopping malls
• Pop-up branches
• Automated self-service locations
• Third-party franchises

Branches must automate routine transactions, extend operating hours, and segment services to improve customer experience while dramatically reducing operational costs.

The "bank-in-a-pocket" concept describes mobile banking as providing secure, on-demand access to essential banking functions like balance checks and payments through smartphones. Mobile platforms offer robust security while increasing customer engagement and reducing expensive call center and ATM traffic. This channel creates significant cost savings for banks while opening opportunities for targeted cross-selling and personalized offers delivered in real-time to customers.

Bank 2.0 argues that banks suffer from a siloed approach where departments like sales, marketing, and customer service don't share data, severely damaging customer experience. Brett King criticizes the nonsensical practice of customers providing the same personal details repeatedly when applying for different products at the same bank. In the Bank 2.0 world, data is shared and visualized between departments through business intelligence dashboards, enabling faster approvals with zero redundant form-filling.

The "value exchange" concept centers on mutual benefit: customers want products that fit their needs, save time, and reduce costs, while banks seek increased revenue, reduced costs, and profitable long-term relationships. Brett King emphasizes that channels and websites must focus on delivering value to customers first through relevant, personalized content and offers. This customer-first approach ultimately drives the loyalty and revenue that banks need to thrive in the digital age.

Bank 2.0 includes chapter summaries with key lessons, tips to implement immediately, and a comprehensive critical-path checklist for embracing the Bank 2.0 paradigm. The final chapter features a five-year timeline of required changes and a detailed project list to prepare institutions for full Bank 2.0 impact. King provides actionable strategies for improving call centers, redesigning IVR systems, optimizing internet banking for SEO and personalization, and integrating mobile channels effectively.

Bank 2.0 contains 14 chapters organized into three sections across 383 pages.

• Part One examines the evolution of consumer behavior driven by internet, smartphones, and social networking.
• Part Two focuses on channel improvement opportunities and quick wins that justify innovation programs.
• Part Three looks beyond channels to the road ahead, with the conclusion emphasizing that "Bank 2.0 is about change—inevitable, speeding up, and extremely disruptive."