The Superannuation industry has the opportunity to enter an ‘Open Super’ world with the introduction of the New Payments Platform (NPP) and Consumer Data Right (CDR) which will introduce capabilities to create a hyper-connected, real-time world for funds, members and employers. We explore the potential for funds to seize the emerging opportunities to revolutionise the industry and generate genuine member engagement.
Australia's payments and banking landscape is facing unprecedented change and opportunity with the introduction of both the New Payments Platform and Open Data through the introduction of the CDR. These new capabilities are creating a hyper-connected, real-time world for funds, members and employers. For funds, these new capabilities create an opportunity to enter an ‘Open Super’ world, and to revolutionise how they interact with their customers – both members and employers – while driving significant operational efficiencies.
In our increasingly connected societies, the right to data ownership has become a hot topic. Through the legislative push of the CDR, which was passed by the Australian Parliament on 1 August 2019, the Australian government is empowering customers with the rights to own and direct the use of data that organisations hold about them.
While this starts with Open Banking, the superannuation sector is likely to follow quickly. Coupled with new and incoming NPP functionality, these capabilities are opening up a world of possibilities for all firms — including superannuation funds.
It will take foresight, innovation and collaboration to seize the emerging opportunities. Funds will need to decide if they will take small incremental steps to defend current market positions (evolution), or truly change the game by re-defining how they interact with their customers (revolution).
Read more in our report Open Superannuation – Capitalising on the NPP and Open Data.