Caroline Gass
German Public Auditor, Partner, Financial Services
Retail Banks & Consumer Finance
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Retail Banks & Consumer Finance
The retail banking sector in Germany is currently facing considerable challenges driven by technological change, rising regulatory requirements and the market entry of new competitors that have intensified competition. In addition, macroeconomic factors such as inflation and a changed interest rate environment are weighing on the industry, while a growing shortage of skilled personnel threatens banks’ operational capacity. At the same time, digital and sustainable financial products are becoming increasingly important. This requires the development of new financing solutions and services to meet the evolving needs of customers. Changes in financial and consumption behaviour, driven by digital technologies and growing environmental awareness, underscore the need for the sector to adapt proactively.
Retail Banks & Consumer Finance is undergoing a continuous shift in customer needs. Customers increasingly expect products and services that adapt to their individual lifestyles. Whereas cash purchases or loans were central for many people in the past, rental solutions, leasing and instalment payments are growing in popularity today, for example in automotive financing. Banks are confronted with the challenge of setting interest rates and maturities in line with market conditions, while simultaneously offering flexible disbursement and repayment models.
At the same time, there remains a demand for traditional financial services such as current accounts, instant access and fixed term deposit accounts, online banking, credit cards, mortgages, loans and investment products. Consumers demand transparency regarding terms and costs and, alongside fast processing times and attractive interest rates, expect a high-quality user experience as well as personalised financial products that are fully tailored to their individual life situations. These new customer needs meet newfound possibilities for digital financial products driven by AI and big data. With increasing competitive pressure and a challenging market environment, banks are often under significant pressure to digitalise and automate processes.
What is an opportunity on the one hand is also a challenge. Customers not only expect comprehensive advice on the various digital products, but also the highest level of security and protection for their personal information and data. As a result, data security and Cyber Security are becoming increasingly important for banks. Our experienced experts provide you with comprehensive information and support you in implementing appropriate defensive measures. Alongside digital financial products, sustainable investment options are also increasingly in focus for customers. In the field of Sustainable Finance, we advise on sustainable lending products and ESG ratings.
You can rely on our many years of experience and recognised expertise in the field of Retail Banks & Consumer Finance. We understand the challenges facing your industry and provide tailored, future proof solutions for your business. The pace of change in consumer finance is accelerating, so we continuously monitor developments for you — from shifting customer expectations to new regulatory requirements. In Financial Services we combine expertise in Audit & Accounting , Governance, Risk & Compliance, Regulatory Reporting and AML / AFC. We also collaborate closely with specialists from other areas, such as IT and Tax. Our experienced teams are available to support you efficiently and reliably.
Caroline Gass
