In doing this, banks are having to embrace trends and changes to meet customer needs, with the year 2019 is no exception, some main trends to look out for are the following:
Mobile banking is not a new idea, mobile banking is not seen as an extra bonus but now seen as essential. Business Insider Intelligence’s Mobile Banking Competitive Edge Study in 2018 revealed that 89% of those surveyed use mobile banking. With 61% reporting that they would change banks if the mobile banking experience offered is poor.
These stats show how vital mobile banking is and that a simple app is not enough for banks to attract customers. Recent trends are that of additional tools and features that customers require such as the ability to put temporary holds on cards, view regular charges and scanning fingerprints to grant access into the account.
Investment banking services has been in place for a very long time. Traditionally it involves a company guiding investors, both individuals and groups, on a human to human interaction.
Now due to the rapid advancement of AI, Robo-advisers are beginning to make their mark on the industry. AI can use predictive analysis to help assist investors on what decisions to make. AI can also identify and validate the user’s hypothesis leading the AI to learn and present more informed tailored decisions in the future.
BaaS (Banking as a Service) is used for those who are unable to get a bank due to strict regulations. BaaS technology enables fintechs and third parties to connect with banking systems via the use of APIs to create banking offerings on top of the providers’ regulated infrastructure. Therefore, launching BaaS platforms allows the banks to benefit from fintechs entering the finance sector, as they enter as customers rather than competitors.
One of the biggest changes to the banking industry is digital transformation. Technology is one of the major driving factors of the world and the same goes for the banking industry. It has become imperative for the industry to move towards digital platforms. There are no signs of slowing when it comes to the drive towards digital platforms and technology in banking, especially with all the fintech competitors, reducing costs and changing demands of clients.
These are just some of many up and coming bank trends that are soon slowly changing the face of banking as we know it.