Customer data is still a misunderstood and underused asset at European financial institutions, seen by many as a purely compliance issue rather than a potential source of revenues, according to a Finextra survey commissioned by Capco.
Of 80 European financial executives quizzed by Finextra, nearly a quarter do not understand the impact of data management on a company's profit and losses.
Meanwhile, 42% of respondents admit they manage customer data as a regulatory compliance issue without considering its revenue potential.
The vast majority - 80% - are also failing to tap social media data, revealing that they have not yet fully explored its use or understood its value.
Capco says that the ways data are managed vary substantially from one institution to another and even within firms and that the industry needs a constructive, cross-organisational and practical approach to the issue.
Mark Record, Capco partner, says: "Looking ahead, strong and clear goals can be set in order to improve control and efficiency and enable the growth of measurable data value and competitive advantage. The challenges here are significant, but so are the opportunities."