Abstract
Over the past two decades, there has been an increase in the use of Big Data Analytics (BDA) in the
banking and Financial Services Sector (FSS), especially regarding trend analysis, increasing
efficiencies in banking business processes, and as an enabler of competitiveness. Recent research has
shown that FSS organisations that do not actively employ BDA are not overly competitive.
Significantly, the FSS is involved daily in processing vast sets of data and information, to understand
different dimensions of their businesses. Therefore, Big Data (BD) and BDA are significant factors in
the back-office processes of Financial Services providers (FSPs) who manage their success and
continued existence. Specifically, FSPs show an increasing interest in the use of data because of the
high quality and volume of data stemming from Internet purchases and social networks. Most of this
data is analysed to learn more about customers and get indirect feedback on their use of Financial
Services. In South Africa, larger banks such as First National Bank, Capitec, and Standard Bank, have
embarked on continued BD and digital transformation.
However, despite the research done in this area internationally, predominantly in the USA, China, and
India, and the traction BDA has gained in many countries, no significant research has been done on
BDA in the South African FSS. Most of the research done in South Africa focuses on digital
disruption by BD in the South African FSS, particularly financial inclusion. This study was motivated
by the need for an extensive investigation into how banks in South Africa are using BDA and the
impact it has on the FSS. The results of this study will go a long way in producing a blueprint that will
position South African FSOs at the competitive edge.
A targeted in-depth analysis is needed to figure out how BDA can be used in the South African FSS,
especially when figuring out how to gain a competitive advantage (CA) by applying them. Hence, the
study focuses on understanding available skills and knowledge, BDA resources and technologies,
strategies, privacy, and security. This study is exploratory in nature and uses in-depth interviews and
open-ended qualitative questionnaires as crucial data-collection techniques. This mono-method
exploratory study is anchored on an interpretivist philosophical paradigm and uses a dedicated
thematic analysis approach. The study's results show that BDA is a possible source of CA. This
advantage results from a large amount of data that FSOs can access. Because BD is still in its infancy
in the South African FSS, it is regarded as a possible source of CA.