Consumers are rapidly abandoning traditional banks in favor of institutions that are lower cost and more consumer-centric. Between the pace of financial regulatory reform and the cloud computing revolution, the old banking model is on the fast track to extinction.

Virtual Banking: A Guide to Innovation and Partnering offers a hands-on approach to understanding and competing in the modern electronic banking environment. Written by Dan Schatt—the former Head of Financial Innovation for PayPal—this vital resource explores the reasons behind the massive consumer migration away from traditional banks and provides clear, actionable guidance for beating the new banking models at their own game.

Virtual Banking is filled with the information and tools needed to compete in the burgeoning electronic, mobile, and virtual environments and details how to implement the proven strategies that will lead to success. The book discusses real-world innovations from banks, non-banks, and emerging platforms, and explains the changing point-of-sale landscape and the need for digital wallet partnerships. Schatt shows how to identify and shift gears to green field market opportunities and veer away from unprofitable markets. In addition, the book outlines the digital best practices that will ensure superior customer experiences and keep consumers coming back for more. The author also includes information on when to outsource and what capabilities are best to own.

The book is filled with illustrative case studies from such industry leaders as PayPal, Google, Square, and Facebook. These examples clearly show the acceleration of innovation through banking partnerships, as well as the mechanics behind banking's most credible threats. The trick to surviving the paradigm shift is to embody innovation while providing a superior customer value proposition.

Virtual Banking gives bankers and anyone determined to tap into the power of digital payments the inside track on managing the shift and dominating the new marketplace.