5423 ISSN 2286-4822 www.euacademic.org EUROPEAN ACADEMIC RESEARCH Vol. I, Issue 12/ March 2014 Impact Factor: 3.1 (UIF) DRJI Value: 5.9 (B+) How do banks gain competitive advantage nowadays by using the latest technology trends? ORKIDA ILOLLARI European University of Tirana Tirana, Albania Raiffeisen Bank, Albania Abstract: With the latest technology developments, there is a pressure for the banks to keep up-to-date. One of the main reasons that makes this change necessary is the fast growing innovation in the international market, which increases the competition. The demand is rapidly growing from the market and the customers to innovate and invest in technology. The way that the banks innovate is by investing in better products and services that they offer to the customers. This investment is beneficial for both. On one hand, the banks benefit because of the automated services that become available and on the other hand is beneficial for the customers because they have improved services and can access their account 24/7 even out of the banks working hours. But, how do banks manage to keep their competitive advantage regardless of the rapid changes in technology and the customers’ demands? How is that possible and how do they achieve that? Beside implementing the new technology and services the banks need to make sure that their investment is not wasted, at the contrary, it is used efficiently. Offering what the clients want and need is the one of the main drives behind all these investments. The rush to keep up-to-date and offering the best services to their clients is what helps the banks to maintain their competitive advantage. Key words: Strategies, ATM, Retail Banking, IT, Innovation