ANZ bank reveals its big consumer data push to NSW govt

ANZ bank has revealed plans to supply the NSW government with de-identified aggregated data pulled from consumer transactions made during major events as part of its recent deal to become the state’s second transactional institution.

The move fires the starter’s gun on financial institutions monetising their vast data holdings on consumers as a value-added service as public sector agencies look for more accurate and up-to-date numbers and trends to inform policy decisions ranging from transport scheduling to social services.

The bid to use consumer data as an institutional differentiator was revealed by the head of ANZ’s Institutional bank, Mark Whelan, as the agile-heavy corporate tries to swing more big accounts after a three year push to refocus on “core strengths and key customers and our exit from commercial and retail banking in Asia.”

Under former CEO Mike Smith, ANZ had sought to expand its operations into a fully-fledged regional bank, but has since pulled its operations back closer to home shores.

In an extensive strategy rundown posted on ANZ’s corporate blog, Whelan talked-up the bank’s recently revealed tie-up with Google Cloud on big data  saying it could now “de-identify aggregated data 250 times faster than before” which it shared in the form of “business insights” with clients.

In the case of the NSW government, that data includes “demographics, travel and spending activities at major events” – information that can be used to more accurately measure the economic contribution or cost of destinational fixtures.

“Providing such data actually helps shape decisions made by people in government about where they should invest more,” Whelan said.

“We’ve done similar work with major retailers where we can advise them on whether they’ve got the right stock mix based on aggregate data.”

The NSW government is regarded as a public sector leader in its use of advanced analytics having established a state Data Analytics Centre around four years ago.

The NSW Treasury has also shifted its budget reporting to an outcomes-based footing rather than a purely expenditure-based model so that the value and pay-offs from government policy initiatives can be factored in.

ANZ’s win of the NSW institutional account, which broke Westpac’s long-running exclusivity, turned heads in local financial markets because it pipped the Commonwealth Bank which had been widely regarded as the closest contender.

The institutional update from Whelan also conspicuously talked-up ANZ’s efforts to gain a substantial foothold in the traditionally paper heavy global trade finance segment, where it is pushing ahead with selective blockchain implementations.

“In Singapore ANZ is one of nine global banks working on a ‘one-stop shop’ trade and logistics ecosystem known as the Networked Trade Platform,” Whelan said.

“That platform will enable the digitisation of the trade supply chain from freight, financing and customs and through to payment reconciliation.”

“More than 30 per cent of our trade processing documentation work is automated – and that also supports improved financial crime detection and increases access to international trade finance,” Whelan said.

“We do expect that part of the business to eventually become fully automated.”