Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 

Disrupt or be disrupted


New research from global information services company Experian has revealed that although 70% of Australian and New Zealand businesses view Open Data as a force for good for both industry and consumers alike, an overwhelming 72% say it’s creating challenges for them as they rethink their processes and relationships with their customers.

In fact, the research identified an increased sense of urgency to overhaul businesses’ originations processes – the way they approve credit and other loan applications, with the imminent Open Banking regime accelerating the need to transform across the customer lifecycle. Two thirds (67%) of Australian and New Zealand businesses admit the need to make significant improvements to their originations performance in the next 12 months to protect customer retention and revenue.

Experian’s Optimising Originations report surveyed key decision makers with responsibility for, or input into, consumer credit risk analysis in Australia and New Zealand across financial services, telecommunications and utilities.

Nearly half (46%) of business decision makers would expect a revenue up lift of up to 10% in the next two years if they invested more into originations performance, including necessary tools, analytics and skills, the report discovered.

Yet most businesses are constrained by the challenges they face within their credit application procedures, with the key pain points including:

• The increasing volume of applications (89%)
• The need for tailored approaches to credit risk analysis depending on the financial product (90%)
• The lack of efficiency in credit risk analysis (87%)
• The increasing or evolving fraud and security risks (85%)
• Keeping up with the latest credit risk analysis methods / dynamic credit risk ecosystem (84%).

Poli Konstantinidis, Experian’s Executive General Manager of Credit Services & Decision Analytics A/NZ, emphasises the importance of business capability to transform traditional credit processes:

“Comprehensive Credit Reporting (CCR) and Open Data provides organisations with an opportunity to enhance customer experience and improve operational efficiency. This is most pronounced at the point of origination, reinforcing the need to invest in agile and adaptable capabilities to process, govern decision and ingest data.

“As Open Banking gains full momentum, customer expectations will continue to grow, expecting faster approvals and more value. If businesses are unable to keep up with the changing landscape and transform their credit processes, it’s likely they will see their competitors surpass them.” Mr Konstantinidis continued.

Readiness for Open Data varies across industries, but only 11% of businesses say they have a business plan agreed and funding allocated, while only a quarter (25%) are actively discussing preparations within the business and with external partners.

“Ultimately, businesses must challenge their traditional credit processes and become proactive in addressing the identified pain points, as nimbler competitors readily embrace technology and data to enhance the whole customer lifecycle and retain customer loyalty,” Mr Konstantinidis concluded.

© Scoop Media

 
 
 
Business Headlines | Sci-Tech Headlines

 

Energy Sector: Meridian Spilled Water To Hike Electricity Prices - Authority Ruling

The Electricity Authority has found that generator Meridian Energy manipulated the power market, costing consumers about $80 million. More>>

ALSO:

XE Data Update: RBNZ Official Cash Rate Decision

The RBNZ will keep the Official Cash Rate (OCR) at 0.25%. T he key points in the RBNZ statement are: RBNZ keeps the OCR unchanged at 0.25% Maintain the LSAP (large scale asset purchase) at NZD$60 billion. Committee prepared to use additional monetary ... More>>

ALSO:

Electricity: Kiwis Ignore Promise Of Cheaper Power

Electric Kiwi and Flick Electric Co are joint winners of Canstar Blue’s award for Most Satisfied Customers | Electricity Providers From putting on an extra layer – rather than turning on a heater – to turning off lights and choosing the energy-saving ... More>>

ALSO:

Economy: COVID-19 Contributes To 1.6 Percent Fall In March Quarter GDP

Gross domestic product (GDP) fell 1.6 percent in the March 2020 quarter, the largest drop in 29 years, as the initial effects of COVID-19 restrictions impacted on economic activity, Stats NZ said today. This quarter’s GDP results showed a widespread drop ... More>>

ALSO:


Electricity: Transmission Pricing For A Low Carbon Future

The Electricity Authority has decided on new guidelines for transmission pricing. James Stevenson-Wallace, Chief Executive of the Electricity Authority says the new guidelines will deliver significant benefits to consumers, through lower electricity ... More>>

ALSO:

ASB: Investor Confidence Falls To Four-Year Low

As the world grapples with the fallout from the most significant pandemic the world has seen in a century, economic concerns are weighing on investors, dragging investor confidence down to a four-year low in the first quarter of the year. For the three ... More>>

ALSO:

Science Media Centre: Funding For R&D In New Zealand – Expert Reaction

Research, Science and Innovation Minister Dr Megan Woods has today announced $401.3 million funding for research and development through Budget 2020 and the COVID Response and Recovery Fund. The fund includes $150 million for an R&D loan scheme, ... More>>

ALSO:


Science: 2019 Prime Minister’s Science Prizes Announced

The 2019 Prime Minister’s Science Prizes have been announced in a digital livestream event today. The Prizes recognise the impact of science on New Zealanders’ lives, celebrate the achievements of current scientists and encourage scientists of the ... More>>

ALSO:


RNZ: Fuel, Alcohol Costs To Go Up From Today

The increase today in the taxes on fuel, road user charges and alcohol is being called a tone-deaf move. More>>

ALSO:

Stardome Observatory: Young Kiwi Astro-Photographer Shoots For The Stars

Matariki by Josh Kirkley. The stars are aligning for up-and-coming Auckland-based astro-photographer Josh Kirkley (Kāi Tahu). During lockdown, one of his images was picked up by NASA and shared on the space agency’s Instagram to its 59.2 million ... More>>


DCANZ: Time For EU To Commit To A Level Playing Field For Trade

The Dairy Companies Association of New Zealand (DCANZ) has welcomed New Zealand Trade Minister David Parker’s statement that it is unacceptable for New Zealand exporters to continue facing an ‘unlevel playing field’ in the EU. Details leaked ... More>>

ALSO:

Potatoes New Zealand: Protecting NZ Fries As Part Of PNZ Pandemic Recovery & Transformation Plan

Potatoes New Zealand has met with Minister Faafoi this week to discuss investigating the potential importation of heavily discounted frozen potato chips into New Zealand. With MBIE’s support we are undertaking an investigation to gather evidence of the ... More>>

ALSO:


New Zealand Government: Supporting Kiwi Businesses To Resolve Rent Disputes

The Government will legislate to ensure businesses that suffered as a result of the COVID-19 response will get help to resolve disputes over commercial rent issues, Justice Minister Andrew Little announced today. More>>

ALSO:


Science Media Centre: Understanding 5G Concerns – Expert Q&A


Recent attacks on cell phone towers have brought concerns over the rollout of 5G technology into sharp relief.
While scientific research has consistently shown that the technology does not adversely affect human health, public concerns about its impact have spread around the world, fueled in part by growing misinformation online. The SMC asked experts to comment... More>>

ALSO:


Trade: Record Monthly Surplus As Imports Dive

Imports in April 2020 had their biggest fall since October 2009, resulting in a monthly trade surplus of $1.3 billion, Stats NZ said today. “This is the largest monthly trade surplus on record and the annual goods trade deficit is the lowest ... More>>

ALSO: