CHAPTER 16Big Data and the Zombie Apocalypse

Picture illustration depicting the rules that big data has to follow in an apocalyptic world, particularly in banking.
Using data to reload!

You are probably wondering what big data has to do with a zombie apocalypse. While I was thinking about the rules of an apocalyptic world, I realized that I follow the same thought process I use to think about what the rules are going to be for the new digital world, particularly in banking. I have said before I am not going to do a book where I try to scare you into doing digital; in fact, what I am trying to do is help to understand how to go digital, and part of it is going to be spending some time going over what data analytics really is.

I am going to recap: If you don't remember why we are going to have an apocalyptic world, let me refer you back to Chapter 13, which discusses the TIONS—interchange compression, cannibalization, digitization, mobilization, and disintermediation. We also talk a little bit about payments and how interchange is not disappearing and is not going away, but it is suffering from price compression, and we're going to see more price compression as time goes on. Alternative payments are going to be cheaper, and that means that as things move to ACH, and we see different models for payments, that's going to cut into our revenue. Lending is going to change. FICO won't be enough. We're going to see higher loan fraud from auto loan fraud rings—more bankruptcy changes, right? Student loans ...

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