The future of finance lies in a customer segment of one, as Google, Citi, and Stanford Federal Credit Union partner to offer financial services through the Google Pay app. This model is similar to those struck between Apple and Goldman Sachs, Amazon, and Chase. As competition heats up, Square is offering small business lending and other banking services, threatening banks with disintermediation. The industry is evolving, with platforms emerging as the new foundation for commerce. Financial services companies need to align to this new paradigm and come up with defensible competitive positions. To remain relevant, they must know their customers and act on data-driven insights in a timely manner.
