The Application Of Big Data In Retail Banking

Nowadays, as the slowdown in growth become "new normal" for Chinese economy, the external environment for the banks'development is quietly changing. Internet finance and interest rate marketization put forward a giant challenge to the traditional business model of the bank. How to strengthen the retail business has become a key to take up market share in the new round of competition. Because of the system, the retail services of domestic commercial banks developed slowly. How the commercial bank break through the encirclement has become a hot topic in the banking industry. Due to features of stability, anti-risk and high-growth property, retail financial services has been an important guarantee for the advanced international banks to cross the economic cycle and find a new source of profit increase. And it is becoming more and more important for the development of the commercial bank. In recent years, internet finance and interest rate marketization have a big impact on the commercial bank. With the narrowing of the spread, Chinese commercial banks' profit margins have been falling or even negative growth. To find a new driver of profit growth point has become the key issue for the leading commercial banks. Big Data analytics has been a powerful tool for the bank to find and forecast customer's requirements, then provide customers individualized product to achieve precision marketing. Ma Yun said:"The big data will be the most important source in the future." In the age of big data, the retail financial services of the commercial bank have to connect with the data and based on the data. Apply big data to customer relationship management, products and service marketing, risk management, and so on.So far, the researches on large data mainly biased toward technocratic. The study of the application of large data to retail banking business is scarce, only a few introductory reports available. In recent years, as the large data thinking gradually received and recognized, many banks started to explore the applications and practices of the big data analytics. China Merchants Bank, as the well-known domestic retail bank, started earlier in the application and practice of the big data. There are many innovative attempts and ripe experience available for other commercial banks to study and research. In this context, we've chosen China Merchants Bank as a case study the applications and practice of the large data in retail banks. Against the background of internet finance and interest rate marketization, we hope to 'throw out a minnow to catch a whale' for the future researches on the transformation of the commercial banks' retail financial services.The creative point of this thesis is to analyze the applications of the large data in banks, based on the study on commercial banks' retail financial services. After analyzing the sources, composition, application status and value of retail large data, this thesis mainly makes a theoretical analysis of the strategy of the big data on bank retail marketing C theory. This thesis comprehensively introduces and analyses the study and the application of China Merchants Bank' retail big data. Hope to provide new thought directions for the transformation of the commercial banks' retail financial services.