John Dimitropoulos on tech innovations revolutionising Australia’s banking and financial services industry

The founder of Liberty IT Consulting Group reveals what’s next for Australia’s banking and financial services sector. 

After an era dominated by technological advancements and a pandemic that fast tracked us into a digital future, Australia’s financial sector is facing a new challenge: how to use these innovations to enhance the customer experience and re-humanise solutions for banking and finance. 

Under the direction of John Dimitropoulos, Liberty IT Consulting Group is modernising management consulting and restoring market trust into consulting services with innovative, forward-focussed, thoughtful, and ethical practices to transformation. Through leveraging advancements in tech, the company is crafting right-tailored solutions for clients to improve everything from online usability for customer convenience for financing home ownership to personalising customer experience far beyond typical transactional relationships that organisations historically hold with customers. 

Given his deep-seated passion for the industry and a genuine commitment to moving tech forward, it is hard to imagine Dimitropoulos in a role other than leading a cutting-edge tech firm. But the entrepreneur’s ambitions weren’t always focused on the digital space. 

“In high school, my passion was sport, and I found technology extremely intimidating,” he says. “It was only because I received some excellent advice about technology being the future that I decided to begrudgingly force myself to study it at the University of Technology Sydney. 

It was until landing his first internship with Financial Network Services (one of Australia’s first tech start-ups in the 90’s) and realised how technology helped improve human livelihood that Dimitropoulos realised his future lay in the rapidly growing industry. Today, he lives and breathes IT. “It’s my passion, and now second nature for me,” he says. 

Today, Dimitropoulos is one of fintech’s primary leaders and an advocate for Australian tech innovation. He believes Australia has the potential to become a global leader in the space. It can’t be done, however, without encouraging, nurturing, retaining, and investing in homegrown talent. 

“For example, all those incredibly bright graduates from universities like the University of Technology Sydney… let’s make sure they stay and work here, let’s help them transition smoothly into the industry, because if we don’t make and retain that IT knowledge here, we will have several problems on our hands, including a workforce shortage and a lack of technological know-how to make the right decisions for our nation and its corporations” he says. “But to do this, we need to make sure that we have a thriving and robust industry which welcomes them, gives them enough job opportunities and makes it affordable and rewarding for them to live in our major cities and help our nation compete in the global stage on tech innovation.” 

One of Liberty IT’s important contributions is the ability to enhance how banks understand and engage with their customers. As tech giants like Amazon set new standards in personalised customer service, financial service corporations are struggling to keep pace. Dimitropoulos points out that while banks may have millions of customers and a wealth of information about their customers, they seriously lag in utilising this information to meet or foresee changing customer needs and preferences. Liberty IT’s approach aims to bridge this gap, enabling financial services institutions offer more personalised services and thereby bolster customer satisfaction and retention. The by-product of customer satisfaction is growth in profitability and shareholder returns but the focus must be on the customer and not the institution. 

He predicts that the next major industry trends will focus on how institutions can protect, engage and retain customers. Dimitropoulos advocates that for banks to thrive and survive they need to “comply, compete, protect and delight.” 

“”We’ve been through the era of digital banking technology, the royal commission, and a pandemic but now we’re entering an unprecedented era of the consumer and true customer centric solutions,” he says. 

The Shift to Customer-Centric Banking 

Historically, tech innovations were primarily designed to enhance operational efficiencies, staff productivity, profitability and cost minimisation for financial services institutions. Dimitropoulos points out that while these innovations did offer some convenience to customers, their primary beneficiary were the moneylenders themselves. He argues that as tech giants like Apple are entering the financial services and payments industries in earnest there must be a pivotal shift for Australian banks and non-bank lenders: “It really needs to be about how solutions improve the livelihood of the human being, whether it’s in health, whether it’s in banking, finance, whether it’s in education, or everyday living.” 

The evolution of banking technology now enters a new phase—focusing on the consumer and merchant rather than the financial services institution. This shift is not just about applying technology but rethinking its purpose to enhance the human experience, he argues. “For instance, is the 10-minute or instant mortgage innovation truly in the best interest of the consumer or the bank? Is such innovation enough incentive for a customer to refinance their mortgage? In my opinion, customer service and interest rates are far more important issues for the consumer than the ability to apply online. Perhaps it’d be more prudent to focus on solutions that enable smoother and less cumbersome refinancing for more cost competitive options. It takes an inordinate amount of energy and time to transition from one bank to another despite open banking, digital mortgages, property valuation solutions and despite the plethora of already known information about the customer’s transaction and credit history.” 

Artificial Intelligence as a Game Changer

AI is central to this new era, with its ability to process vast amounts of historical data to make precise and personalised banking decisions rapidly. Liberty IT is actively exploring how generative AI, which can “think” independently faster than a human ever could, can draw on extensive data sets to make informed decisions quickly. This capability can transform the 

consumer’s ability to budget, borrow or invest and it can enable banks to understand customer behaviours, spending patterns, important life changes, financial circumstance changes and predict future needs. Should a bank develop that intimate and trusted relationship with its customers the use of AI should be able to proactively detect when a customer may be overstretching their borrowing ability or when they might be approaching financial strife or have unexpectedly experienced hardship. For example, AI will know that a business is thriving and perhaps it is time to grow and expand with new capital funding. It should also know that the family situation is about to change or has just changed in the case of a divorce, death, or natural disaster in which case the trusted financial services provider can be of help in a real moment of need. It can be done responsibly and discreetly and within the guidelines and regulation of privacy laws. Dimitropoulos says. 

“For instance, we have a bank that has access to incredible amount and type of information, transaction history information, assets and liabilities information, payments information, needs information … AI can use this information to predict whether this customer is likely to experience strife, or perhaps is suitable for raising capital to expand their business. As circumstances change AI can stay on top and help guide the consumer to making the right decisions. Currently most of the investment in AI for banks is limited on how to improve efficiency in the bank analysing call logs etc. Again, tech for the benefit of the consumer first, the bank second.” 

The Importance of Cybersecurity and regulation

As financial services institutions continue to collect vast amounts of detailed customer data, protecting this information becomes paramount. The focus on cybersecurity is no longer limited to just about setting up firewalls and installing antivirus software but developing sophisticated defence systems to safeguard sensitive customer and financial data against increasingly complex and highly intelligent threats. Dimitropoulos highlights the significant investment and focus on cybersecurity in recent years, stressing that it is both “the present and the future” of fintech. One of the most important reasons why people decide to bank their savings is because they need to be protected from theft or loss. It is the duty of financial services institutions to safeguard that or compensate accordingly in the case of fraudulent access to funds. Compliance to laws and regulations also continues to drive technological adoption in the financial sector. Australia’s robust regulatory environment places Australia in the enviable position of a steady and strong economy. However, demands that financial institutions not only comply with current regulations but also anticipate and prepare for future legislative changes should be the priority of a financial services institution. For Dimitropoulos, compliance and more broadly risk management is not a burden but an opportunity to better service, innovate and secure customer’s information and funds. It also continues to strengthen our nation’s resilience against international financial instability and protect the consumer from inadvertently overextend their financial capacity. “Compliance is one of the key pillars of why our economy is strong and can withstand global headwinds,” he concedes. “Regulation is an added layer of protection for the consumer where the right choices for their circumstances will be made.” 

Looking Ahead: The Integration of Financial Services

Dimitropoulos envisions an environment where financial services are highly modernised, customer focused, integrated, and innovative. An environment that is part of a much larger 

financial, payments and technology ecosystem that encourages competition in the best interest of the consumer. He recognises the proliferation of fintech companies offering smart and solutions that improve human livelihood and lifestyles yet solve various problems in a way that banks have not been able to. He agrees with Bill Gates’ notion that while customers will always need banking, they might not always need banks. 

This approach isn’t just about selling more banking products but about building deeper, trusted and more meaningful relationships with customers. “It shouldn’t always be the customer initiating the contact” Dimitropoulos argues, suggesting financial institutions should use their data to provide tailored advice and services that meet customers’ life stages and personal goals.

The Financial Impact

The implications of this technological shift extend beyond improved customer service. Dimitropoulos advocates for a banking model that motivates regular refinancing, allowing customers to benefit from lower interest rates, improved customer service, and relationship-managed offerings. This practice, he suggests, not only benefits the consumer but also fosters a more competitive environment, compelling institutions to continuously innovate and improve their services and product offerings. “Customers ought to remain vigilant and regularly monitor the market and their home loan. They should change often if it means that they can find a more competitive option,” he says, “and thankfully, Australia offers multiple options for banking needs.” 

Overcoming Industry Challenges

Despite the potential benefits, the journey towards digital transformation is fraught with challenges. Dimitropoulos candidly discusses the high failure rate of technology projects within the sector, attributing it to factors such as apparent lack of executive sponsorship, resiliency, and capability to see through implementation, fluid strategies and the inherent risks of undertaking large-scale transformations. However, Liberty IT’s commitment to seeing projects through from inception to completion, their attitude and experience sets them apart in the industry. The challenges of implementing large-scale technology projects in the sector are significant. Dimitropoulos highlighted that up to 75 per cent of technology projects fail due to various reasons, including lack of executive sponsorship and support. He stressed the importance of having a long-term strategic vision and executive commitment to see projects through to their successful completion, poor choice of technology platforms, overestimation of in-house capacity and capability and also partnering with the wrong partners. Unlike other consulting firms that may spread their efforts across various industries, Liberty IT’s focus is solely on banking and financial services which allows it to bring a depth of expertise and dedication to its projects that is rare in the industry. 

Dimitropoulos’ ambition for Liberty IT is clear: to challenge the status quo within the Australian financial services industry and to offer an alternative to the dominant yet traditional consulting firms that often prioritise their own growth aspirations over client success. He wants to change the stigma of the term ‘consulting’ and rebuild trust in the industry by reminding all that Australian companies are second to none and consulting can be done differently. By placing customer success ahead of its own objectives, being a trusted and ethical partner embracing 

technological innovation, by being an inclusive and fair company and by maintaining a steadfast commitment to project completion, Liberty IT Consulting Group is paving the way for a different kind of consulting. Afterall, Liberty IT is different, by design.