How Global Banks Can Boost Profits
with Smarter Pricing
How Global Banks Can Profits
Profitability in global banking is under strain. Traditional growth levers don't deliver the returns they once did. Margins are compressed, compliance demands are escalating and clients expect more value and transparency. At the same time, competition from fintechs and non-bank lenders is proliferating, reshaping the market and raising the bar for client experience. These modern pressures are converging to expose the limits of traditional revenue models—and an intensifying need for change.
Global financial institutions cannot rely on inefficient legacy systems to sustain performance. To lead, they must adopt dynamic strategies that respond to market needs and opportunities in real time.
And for banks, the greatest immediate opportunity is hiding in plain sight.
Pricing: The Hidden Engine of Profitability, Risk Control and Client Experience
Pricing isn’t a technical afterthought or a backoffice function—it's the industry’s most overlooked When banks embed pricing across the entire lifecycle—from quoting and negotiation to billing and customer care—they achieve more than Smart pricing is a financial, risk and experience transformation that gives global financial institutions strategic control
Banks that treat pricing as a growth engine instead of a cost center will outperform those that remain stuck in the past. The shift is already beginning. Now is the time to dismantle roadblocks that stand in the way of progress and profit.
Learn how to overcome common pain points and turn pricing into a front-line profitability driver that uniquely positions banks to benefit from the forces redefining the industry today.
Pricing isn’t a technical afterthought or a back-office function —it's the industry’s most overlooked competitive advantage.
Pricing Pain Points in Modern Banking
Many banks believe their current pricing processes—manual workflows, spreadsheet-driven approvals and siloed systems—serve them just fine. After all, these methods have been in place for decades. They feel familiar, controllable and low risk.
But they’re not built for the realities of today’s market.
The banking and financial services industry has shifted. Pricing decisions now require speed, precision and transparency. Clients aren’t satisfied with delayed response times or hidden fees. Regulatory scrutiny is heightened, and internal stakeholders want to understand deal profitability in real time. The traditional systems simply aren’t equipped to meet these modern demands.
Here’s where the cracks are showing:
Disconnected pricing frameworks
Pricing logic varies wildly across product lines, geographies and channels. Without a unified framework, banks struggle to enforce consistency, manage exceptions or scale innovation.
Inadequate profitability visibility
Many institutions lack real-time insight into deal-level margins. This blind spot leads to overdiscounting, margin erosion, and missed opportunities to optimize pricing for value.
Manual deal structuring and compliance risk
Pricing decisions are often spreadsheet-driven, with limited auditability. Manual workflows increase the risk of errors, slow down approvals and expose banks to regulatory scrutiny.
Relationship-based discounting without ROI Discounts are frequently granted based on perceived relationship value rather than measurable outcomes. Without clear ROI tracking, these concessions dilute profitability and set unsustainable precedents.
Regulatory and margin pressures
Fee transparency mandates and margin compression are colliding. Banks must navigate complex compliance requirements while defending profitability—often with tools that weren’t built for either.
CX gaps and onboarding friction
Clients expect seamless, digitalfirst experiences. Yet pricing and billing journeys are often fragmented, slow and opaque— undermining trust and loyalty from the start.
Remediation costs from pricing failures
When pricing implementation errors occur, the fallout is expensive. From client disputes to internal investigations, remediation drains resources and damages reputations.
These challenges are systemic. They won’t be solved by incremental fixes. Banks must confront them headon with a strategic pricing transformation that aligns financial outcomes, risk controls and customer experience.
The New Realities Driving Pricing Transformation
The pricing challenges banks are facing may not be new, but they’re becoming harder to ignore. What used to be tolerable inefficiencies are now exposed by a changing operating environment as roadblocks to profitability. Pricing strategies that once fit the business now fall short of what its future success requires. The trends shaping today’s market are already influencing how banks will fare amid growing competition.
Trends Reshaping Pricing – The Strategic Impact of Financial, Risk and Experience Shifts
Trend
Transparent, Real-Time Pricing from Fintechs and Neobanks
Use Case Implication for Banks
A client compares their bank’s pricing to a fintech’s intuitive subscription model and questions the lack of transparency.
Banks must rethink legacy pricing models and accelerate digital transformation, or risk losing relevance.
Commoditization of Core Services
Client Demand for Value-Based Pricing
Clients view basic banking services as interchangeable and negotiate purely on price.
A corporate client requests pricing tied to liquidity optimization rather than transaction volume.
Banks need to differentiate through bundled offerings, value-added services and pricing innovation.
Banks must develop new pricing logic tied to client value delivery and performance metrics.
Regulatory Pressure for Fee Transparency
Digital Self-Service and Billing Expectations
Internal Margin Analytics and Cost Transparency
Customer Experience as a Differentiator
A regulator demands itemized billing across product lines, but the bank’s systems can’t deliver.
A client wants to simulate pricing and view billing in real time, but can’t because the bank’s tools are manual and fragmented.
Finance teams uncover margin leakage due to inconsistent discounting across regions.
A client abandons onboarding due to opaque pricing and slow approvals.
Banks must upgrade billing systems and adopt transparent pricing governance.
Investment in digital portals and integrated billing engines becomes essential to meeting client experience expectations.
Banks must align pricing flexibility with profitability discipline using analytics for internal accountability.
Pricing and billing journeys must be redesigned to look intuitive, transparent and digitally native.
This isn’t about liability—it’s about opportunity. The leading banks—those that secure profitable deals, successfully manage risk and deliver exceptional client experiences—will differentiate themselves through agile pricing that’s deeply embedded with clientcentricity and digital-first operations.
7 Strategic Imperatives for Profitable Pricing Transformations
The pricing opportunity is real, but it’s not automatic. Banks that recognize pricing as a strategic lever must also commit to the operational shifts that make it work. That means moving beyond fragmented systems and manual workarounds to prioritize the functions that drive measurable impact: deal lifecycle orchestration, digital client engagement and data-driven governance. This is where transformation begins. By focusing on the capabilities that align pricing with financial performance, risk mitigation and client experience, banks can turn a latent advantage into a lasting one. The following strategic imperatives outline where to start—and what to scale—to lead with pricing in a market that demands more:
End-to-End Deal Lifecycle Platforms
Why it matters:
Static pricing sheets and manual discounting slow deal velocity and erode margin. Banks need intelligent pricing engines that apply configurable rules based on client tier, volume, risk and relationship value. These engines replace guesswork with precision, enabling real-time decisions that protect profitability and respond to market conditions.
Key Capabilities:
Real-time integration of credit risk, revenue attribution, cost allocation and capital usage
Embedded compliance checks and audit trails
Enables proactive margin management and regulatory adherence
Dynamic Pricing Engines
Why it matters:
Static pricing sheets and manual discounting slow deal velocity and erode margins. Banks need intelligent pricing engines that apply configurable rules based on client tier, volume, risk and relationship value. These engines replace guesswork with precision, enabling real-time decisions that protect profitability and respond to market conditions.
Key Capabilities:
Generate real-time pricing recommendations
Automate discount controls tied to margin thresholds
Benchmark pricing against competitive market rates
Support for Client Self-Service and Digital Deal Portals
Why it matters:
Clients expect transparency, speed and control. Traditional pricing workflows—dependent on manual back-andforth—no longer meet expectations. Digital portals empower clients to simulate pricing, configure service bundles and initiate deal discussions on their own terms. These tools accelerate negotiation cycles, reduce friction and create a more personalized experience.
Key Capabilities:
Interactive pricing simulations
Bundled service configuration (e.g., payments + liquidity)
Integration with relationship manager workflows for seamless follow-up
Billing
and Fee Analytics Modernization 04
Why it matters:
Outdated billing systems create revenue leakage, billing disputes and client frustration. Modernizing billing infrastructure allows banks to deliver real-time, usage-based billing driven directly by the negotiated prices. This shift not only improves accuracy and transparency but also strengthens trust and reduces operational risk.
Key Capabilities:
Charging and billing fully integrated into pricing
Line-item billing across product lines
Embedded analytics to detect discount misuse and margin leakage
AI and Predictive Deal Profitability Tools 05
Why it matters:
Relationship managers are under pressure to structure deals that are not only competitive but profitable. Yet without predictive insight, pricing decisions often rely on gut feel or historical averages. AI-powered profitability tools change that. By modeling margin outcomes based on historical behavior, cross-sell potential and client stickiness, banks can proactively shape smarter deals by identifying risks before they materialize.
Key Capabilities:
Predictive margin modeling
Alerts for unprofitable deal structures and excessive discounting
Scenario planning to optimize pricing and deal configuration
Integration with Treasury and Core Platforms
Why it matters:
Seamless integration with enterprise resource planning (ERP), treasury management systems (TMS) and core banking systems supports embedded finance models and enables real-time pricing based on client cash positions. By connecting pricing logic to treasury data, banks can trigger dynamic offers that reflect actual liquidity and transaction flows. This imperative ensures pricing is not only accurate and timely, but also context-aware and operationally embedded.
Key Capabilities:
API-based data exchange
Dynamic pricing triggers based on treasury data
Embedded services within client workflows
Enterprise-Wide Pricing Governance
Why it matters:
A centralized governance framework for pricing decisions and exceptions ensures consistency, accountability and strategic alignment across the organization. Without it, banks risk margin erosion, compliance gaps and reputational damage. Enterprise-wide governance enables automated approval workflows, standardized audit trails and clear oversight—making it easier to enforce policy, manage risk and scale pricing innovation with confidence.
Key Capabilities:
Automated approval workflows for exceptions
Centralized audit and reporting
Alignment with compliance and risk mandates
The Smart Pricing Solution Built for Banking’s Modern Demands
CSG Deal Manager is the architectural foundation that enables banks to operationalize smart pricing across the entire deal lifecycle. Purpose-built to support the complexity of modern banking products and pricing scenarios, the solution eliminates the silos and manual handoffs that slow deal velocity and limit profitability.
CSG Deal Manager unifies pricing logic, negotiation workflows, profitability analytics and billing traceability into a single, modular platform. This integration empowers banks to:
Launch dynamic pricing models with speed and precision
Reduce revenue leakage and remediation costs
Embed compliance and margin controls into every deal
Provide real-time visibility into profitability and risk
Improve client trust through transparent, accurate billing
Empower front-line teams with tools that enhance negotiation and deal structuring
Whether global banks are digitizing deal origination, automating approvals or modernizing billing infrastructure, CSG Deal Manager is designed to scale with the institution’s needs and integrate seamlessly across products, channels and systems.
At its core, Deal Manager offers:
Multi-dimensional pricing logic that supports tiered, usage-based, and value-driven models
Configurable negotiation and approval workflows that embed compliance and margin controls
Real-time profitability views to guide discounting decisions and protect revenue
Embedded billing traceability to ensure pricing accuracy and reduce disputes
In today’s banking landscape, clients expect transparency, personalization, and speed. Smarter pricing solutions enable banks to deliver tailored offerings that strengthen relationships, while ensuring deals are consistently profitable across the lifecycle. CSGi Deal Manager product allows Virtusa to help global institutions move from reactive price setting to proactive, insight-driven strategies that fuel innovation, customer trust, and long-term profitability.
—Amit Bhute Global Head - BFS Consulting Virtusa
CSG Deal Manager Key Capabilities
Capability Area
Bundle Management
Enterprise Scalability
API-First Hybrid Architecture
Smart Pricing & Charging
Lifecycle Continuity
Audit & Validation
Ecosystem Monetization
Contractual Alignment
Key Features
Catalog-based pricing with embedded logic, discount rules, and product configurations
Negotiated pricing workflows for exceptions and overrides
Real-time profitability analysis for transparent deal economics
Regulatory configurability across jurisdictions
Autoscaling to handle 20X normal transaction volumes
Real-time processing eliminates batch dependencies
Supports on-premise, cloud, and hybrid deployments
Designed to process billions of transactions daily
Modular, containerized microservices compatible with AWS and Azure
Multi-tenant architecture for faster innovation
Staged implementation alongside legacy infrastructure
API-first design for seamless integration
Permission-based deal approvals aligned to team structure
Transparent charging and fee calculation for real-time revenue accuracy
Margin analysis at product, deal, and portfolio levels
Quote, charge, and bill at the speed of business
Maintain pricing continuity across the client lifecycle
Ensure alignment between proposals, delivery, and invoicing
Full traceability across products, deals, and clients
Simplified reporting and record inspection
Streamlined error handling and dispute resolution
Monetize pricing catalogs across fintech partnerships and channels
Scalable pricing logic for multi-channel delivery
Confidence in pricing accuracy across integrated ecosystems
Negotiated prices embedded in the contract and implemented into charging and billing
CSG Deal Manager gives banks the infrastructure to act on every strategic imperative—from smarter pricing and faster approvals to real-time profitability and transparent billing. And it’s not just theory—leading institutions are already seeing measurable results.
Real-World Impact: How Leading Banks Are Winning with Smarter Pricing
Tier 1 Australian Bank: Complex Pricing and Deal Management
Using CSG Deal Manager, this institution transformed its pricing strategy across multiple product lines in the Business and Institutional Banking domain. By leveraging dynamic pricing factors—such as location, sector, risk and customer value—and implementing a catalog-driven approach, the bank achieved:
Differentiated pricing driven by profitability
End-to-end assurance across pricing and billing
Improved customer experience
Global Payment Network: Data Management & Processing at Scale
With CSG, this network processes billions of records per week across 15,000+ transaction types and 60,000+ matching rules. The platform enables:
Massive data enrichment and transformation
Accurate rating, billing and invoicing at scale
Improved operational efficiency and full audit
Latin America’s Largest Neobank: Faster Onboarding & Revenue Diversification
CSG’s SaaS-based business support systems helped this neobank enter the telecom vertical as an MVNO brand. By onboarding multiple banks onto a single platform, the solution enabled:
Positioning to meet MVNO market demands
Monetization of new digital services with dynamic charging models
Reduced onboarding complexity and enhanced client satisfaction
CSG’s solutions are helping global banks turn pricing into profit—boosting margins, cutting costs and accelerating growth. And with faster onboarding and smarter billing, they’re elevating the client experience along the way. The advantage is real for those banks that quickly adapt to industry trends and capitalize on the smart pricing opportunity.
Profitable Pricing Starts Here
Pricing can be a powerful catalyst for growth rather than a constraint. For banks ready to lead, it offers a direct path to stronger margins, smarter risk management and better client experiences. But it must be modernized to reach its fullest potential as a strategic driver.
CSG provides the architecture to make that opportunity real. With proven solutions and deep expertise, we help global financial institutions align pricing transformation with their internal capabilities and roadmap—turning complexity into clarity and potential into profit.
Ready to grow revenue with every deal?
Explore what’s possible with CSG’s Smart Pricing Solutions.
About CSG
CSG empowers companies to build unforgettable experiences, making it easier for people and businesses to connect with, use and pay for the services they value most. Our customer experience, billing and payments solutions help companies of any size make money and make a difference. With our SaaS solutions, company leaders can take control of their future and tap into guidance along the way from our fiercely committed and forward-thinking CSGers around the world.
Want to be future-ready and a change-maker like the global brands that trust CSG? Visit csgi.com to learn more.