Introduction

Banking BPO is the largest and the most mature market within BFSI BPO. As regulatory bodies increase their crackdown on banks’ activities, role of BPO has started to increase further in the banking landscape. Buyers are now looking towards service providers to deliver more than just cost savings. Tools to ensure compliance and prevent banks from faltering in the future are increasingly gaining prominence. However, service providers still need to prove their capabilities to buyers before a widespread adoption can be witnessed. With progressively changing landscape, service providers will be required to make the right set of investments to stay competitive. At the same time, buyers need to identify the providers who clearly understand their unique business challenges and can help mitigate the same.

Scope and Methodology

In this research, we analyze the global banking BPO service provider landscape. We focus on:

• Relative positioning of 23 service providers on Everest Group’s PEAK Matrix for banking BPO
• Service provider capability assessment across key dimensions
• Emerging service provider trends
• Implications for key stakeholders

Content

This report will assist key stakeholders (financial institutions, service providers, and technology providers) understand the changing dynamics of the banking BPO market service provider landscape. It will also help them identify market Leaders, Major Contenders, and Emerging Players for 2014. The report provides detailed analysis of service provider market share, relative position on Everest Group PEAK Matrix, capability assessment, and emerging trends. Some of the findings in the report are:

• There are two service providers in the Leaders category (Genpact and TCS) and sixteen service providers (Accenture, CSC, Cognizant, Equiniti, EXL, HCL, HP, IBM, IGATE, Infosys, Mphasis, Serco, Sutherland Global Services, Tech Mahindra, Wipro, WNS, and Xerox) in the Major Contenders category, followed by four service providers (Dell, Polaris, Syntel, and Xchanging) in the Emerging Players category
• The banking BPO market is getting more competitive. The market share of Leaders has remained static at less than 40% from 2012 to 2013
• Top Quartile performers (by market success) account for over two-thirds of the revenue in banking BPO
• Top Quartile performers (by scope) serve a higher number of LoBs and also have a more distributed FTE mix across the LoBs and geographies
• Top Quartile performers (in terms of delivery footprint) have established a global delivery footprint with a more balanced mix of onshore-nearshore-offshore locations

Everest Group has a complimentary four-page PEAK Matrix preview document for this service provider landscape report.