Beyond Banking for Consumers: The Next Frontier

Beyond Banking for Consumers: The Next Frontier

Summary

This report provides an overview and analysis of the current state of beyond banking and ecosystem banking. It highlights some of the existing beyond banking solutions global incumbents have implemented across the likes of financial wellness and education, marketplace and lifestyle benefits, community engagement and education, and housing-related services. The report also provides an outlook for the beyond banking space, including future opportunities and considerations for stakeholders across the current banking products and services value chain.

Beyond banking involves banks increasingly offering an unconventional range of non-core products and value propositions that expand beyond the core set of financial products and traditional banking activities, to provide a more enhanced and holistic value proposition. The growing pressure for incumbent banks to innovate comes in one part from both financial and non-financial challengers entering and disrupting the financial services industry with innovative products and services. The likes of PayPal and Nubank brought about permanent disruption in the payments and banking industries respectively, while Big Techs increasingly move into the industry as some aim to build superapps. Added financial pressures persist in 2025 as monetary easing decreases interest margins, with costs already spiralling.

Scope

• Incumbents remain the preferred provider for traditional banking products for over half of GlobalData’s 2024 Financial Services Consumer Survey respondents globally; just under half would use them for non-traditional activities.
• The remaining product market shares (42-56%) are fairly evenly split between challenger types, showing that they are past being just a single-use tool and rather serve as a complete provider for all financial needs.
• Although SME beyond banking initiatives lead the space currently, retail banks will continue to be pushed to innovate and diversify products due to disruptions from AI, fintech firms, Big Tech companies, superapps, and potentially thinning lending margins.

• Understand how beyond banking, once focused on SMEs, can be adapted to meet evolving consumer needs.
• Explore opportunities for banks to embed lifestyle, wellness, and value-added services into consumer offerings.
• Gain insights into how financial institutions can build deeper relationships by supporting broader life goals, not just financial transactions.