Digital has been a buzzword in the ever-evolving banking industry across the globe. This evolution focuses on designing a seamless, versatile and collaborative experience for the end consumers. Technological advancement anchored this transformation by upgrading retail and mobile banking to neobank startups, propelling banking into a digitalized future.
The rapid advancement in technology has created many challenges for the traditional brick and mortar branches. Though they are well equipped with financial resources and consumer relationships with a decent reach, they need to adopt digital ways for banking to stay relevant in the future.
Here are some ways how digital can shape the banking landscape:
Frictionless banking through utilization of B-a-a-S or API Banking: Legacy institutions are best positioned to succeed if they commit to full-fledged digital transformation by introducing extremely adaptable solutions and can utilize Open APIs to integrate new financial systems and open banking software, allowing faster expansion. The most common of these solutions is Banking-as-a-Service (B-a-a-S), where digital banks and other third parties can connect with the bank’s system directly via APIs.
Emergence of Personalized banking tools — The emerging digital banking solutions focus on providing self-learning digital banking software tools sensitive and intuitive to customer needs by utilizing a range of cutting-edge technologies to increase consumer engagement, including AI-powered chatbots, wearable assistance, personal finance Management, P2P Payments through voice bots, and QR code scanning.
Data Analytics for Customized Solutions: — Financial service providers will get a deep insight into customers’ lives owing to Big Data, IoT, Blockchain and Open Banking. They can better the lives of their customer by employing the following techniques: -
- The technologies such as IoT tend to track the real lives of customers rather than relying on manual submissions, the customer data will be safe and secure through blockchain technology which would be further authenticated via AI. This would lead to the complete elimination of human error.
- With banks having a better grasp of the customer data they gather, they would be better equipped to make informed decisions providing customers with relevant advice and information in their best interests and designing products and services that align with their immediate requirements.
Are you looking forward to modernize your banking business model with powerful digital capabilties? You can explore online banking software solutions with Arttha. Arttha digital banking platform empowers banks to create highly differentiated virtual banking experiences and seamlessly respond to the ever-evolving digital needs of their consumers. Write to us at [email protected] to know more.
