Report
376
Number
Oct 26 2015

Trending: Credit Unions in 2025

In the year 2025 credit unions will operate on a financial landscape that bears little resemblance to the system of today. Technological disruption, increased regulation, changing consumer behaviors, and asset growth will all contribute to the reshaping of the global financial ecosystem.

Ben Rogers
Managing Director, Research
Manpreet Nat
Research Associate
Filene Research Institute
Report Number 376

Executive Summary

The story of Netflix can be summarized as follows: Incremental change is easy to foresee; monumental changes are harder to catch. When Netflix began to offer streaming video on demand, everything changed. In the late 1990s it was easy to dismiss Netflix’s business model. In a world where convenience seemingly always takes precedence, who really had time to wait for a DVD to arrive in the mail? In real time this was a notion expressed by many, but, in hindsight, Netflix has proven itself to be more calculated and innovative than anyone could have imagined. Mailing DVDs was just the tip of the iceberg of what was to come in the world of home entertainment. By the time video rental giants like Blockbuster caught on, it was too late to join the party.

Fast-forward to 2015 and video rental stores are ancient relics. DVD sales are at an all-time low, and the smart-phone is king. While the home- entertainment and streaming media industries have evolved, so have countless others—including financial services. The credit union system of tomorrow will have little resemblance to the system of today.