Amazon has now entered the banking industry in a big way, creating massive opportunities as well as threats to some. However, the threats will be mitigated by the fact that Amazon does not wish to become a bank itself, but simply act as the digital partner to several clients who would be holding all the deposits. One segment of the market where Amazon would be able to make the biggest impact and be benefitted itself is the young-depositor category. Youngsters usually possess lesser money and are used to free-use accounts. This makes them an unprofitable proposition for many, but not Amazon which sees them as an opportunity segment. Youngsters’ usage patterns will provide Amazon a source for enormous amounts of data warehousing. This data will then be used to predict and create demand for futuristic products such as Alexa, which this segment is most likely to use over the years. Once Amazon establishes itself into this co-branded strategy, the company is likely to venture in financial products.


Uploaded Date:16 March 2018

SKYLINE Knowledge Centre

Phone: 9971700059,9810877385
© 2017 SKYLINE. All right Reserved.