Regional Deep Dive: Digital Transformation in Banking Across Key Markets

Digital transformation is reshaping the global banking sector, but the journey is far from uniform. Banks in the U.S., U.K., France, Germany, Southeast Asia, Canada, and Australia are all accelerating their digital agendas, yet each market faces distinct challenges, priorities, and opportunities. Drawing on the latest benchmark studies and insights from senior banking leaders, this deep dive explores both the universal drivers of change and the unique regional nuances that define the current state—and future direction—of digital transformation in banking.

Universal Drivers: What Unites Global Banking Transformation

Across all major markets, several themes consistently emerge as the foundation of digital transformation:

  1. Customer Experience as a Top Priority
    Improving customer experience is the leading digital transformation goal worldwide. Banks are investing in personalized, omnichannel journeys, leveraging data to tailor products and services, and seeking to deliver seamless experiences across digital and physical channels. For example, 44% of U.S. banks, 40% of U.K. banks, and 43% of Australian banks cite personalized customer journeys as a leading priority. Southeast Asian and French banks are also focused on combining customer data for richer insights.
  2. AI and Intelligent Technologies
    The adoption of AI, machine learning, and generative AI is rapidly moving from experimentation to enterprise-wide deployment. In the U.S., 53% of banks cite AI and emerging technologies as their top priority for the next three years, with similar focus in the U.K. (45%), Germany (47%), and Australia (31%). Internal, non-customer-facing use cases—such as credit analysis, risk measurement, and document automation—dominate current investments, with 50-66% of banks in major markets pursuing these applications.
  3. Operational Agility and Cloud Migration
    Legacy technology and lack of agility remain persistent barriers. Banks in Canada (48%), the U.S. (38%), U.K. (32%), Australia (31%), and Germany (34%) all cite legacy systems as a major hindrance. Investment in cloud-based core banking systems is a top operational priority in Germany (34%), U.K. (35%), Australia (31%), and Southeast Asia (35%).
  4. ESG and Diversity
    Environmental, social, and governance (ESG) considerations are increasingly driving transformation, especially in France (50%), Southeast Asia (65%), and Australia (57%). However, there is a notable gap between intention and action, with many banks lacking the data and processes to measure ESG performance. Diversity, equity, and inclusion (DEI) commitments are highest in Southeast Asia (42%) and Australia (36%), but lag in the U.S. (22%) and France (37%).

Regional Nuances: What Sets Each Market Apart

United States

United Kingdom

France

Germany

Australia

Canada

Southeast Asia

What Sets Transformation Leaders Apart

Actionable Insights for Banks

  1. Benchmark Against Global Peers: Use these insights to assess your bank’s progress relative to global leaders. Identify gaps in customer experience, operational agility, and technology adoption.
  2. Prioritize Data and AI: Invest in modern data architectures and AI capabilities to enable personalization, efficiency, and innovation at scale.
  3. Accelerate Cloud Migration: Modernize core banking systems to unlock agility and support new digital business models.
  4. Embed ESG and DEI: Move beyond intention to action by developing robust data and processes for ESG measurement and DEI commitments.
  5. Foster a Culture of Agility: Break down silos, empower cross-functional teams, and invest in talent development to drive transformation at pace.

Conclusion: Charting a Path Forward

While the pace and focus of digital transformation vary by region, the direction is clear: banks must become more agile, data-driven, and customer-centric to thrive. The most successful banks are those that know their competitive landscape, transform people and culture alongside technology, build strong partner ecosystems, and embrace AI and intelligent technologies. As the industry continues to evolve, those who act boldly and decisively will define the future of banking.

Publicis Sapient partners with leading banks worldwide to accelerate digital transformation, helping them navigate local complexities while adopting global best practices. To learn more about how your bank can benchmark itself globally or adapt best practices from other regions, contact us today.