As per Gartner’s survey, almost half of global financial services organizations are still in a nascent stage of their digital transformation journey. Digital transformation solutions can assist financial services organizations to create value by improving processes and enhancing convenience for their customers. In the coming years, digital transformation will shake-up the finance sector.
Let’s go through the most important digital transformation trends set to bring big changes in the financial industry.
Top Digital Transformation Trends to Watch for the Financial Industry
1. Mobile Banking and Payment
In this digitally-driven world, mobile banking has become a norm. Be it transferring funds or applying for loans, customers prefer mobile apps instead of visiting the bank’s nearby branch. An experienced custom application development company can easily integrate a digital payment solution in the mobile app for your fintech organization. What’s more, you can offer 24/7 access to your financial services and convenience to your customers through a dedicated mobile banking app.
Mobile-based payments are quick and secure. In coming years, we will witness a steady rise in the popularity of mobile payment or eWallet solutions globally. It will bring a drastic change in the way we transact online.
2. Cloud-based Startups
Gone are the days when financial companies worked on legacy systems. Today, many fintech companies and even startups bank on cloud technology for improved scalability and increased productivity. By moving to the cloud, financial companies can reduce costs and minimize organization risks while improving customer experiences significantly.
These days, many banks and financial organizations tend to replace their legacy systems with digital transformation solutions, and this trend is here to stay. Digital transformation can assist the financial industry by increasing operational flexibility and enabling companies to meet regulatory needs. All you need to consult a reputed custom software development company to get agile cloud-based solutions.
3. Cybercrime and Online Frauds
As the world switches to an online platform for accomplishing almost every task, cybercriminals become more active than ever. It is always difficult for every company to protect the confidential corporate data and personal information of its customers. Financial organizations are more vulnerable to cyber-attacks because they have sensitive finance-related data of their customers. Also, the financial industry has to consider the growing instances of online fraud.
In the coming years, the focus will remain on addressing cyber crimes and online frauds effectively. Blockchain technology offers robust security against cybercrimes, and it will be used in financial app solutions in the future.
In a couple of years, blockchain technology has found its place in the financial industry. Custom application development companies build tailored mobile apps to transact in cryptocurrencies and making online transactions more secure using this technology. Blockchain technology has already proven its importance in digital payments, smart contracts, escrow services, and loan processing. It is fair to mention that blockchain technology will not only increase the speed of online transactions but also make the entire process highly secure.
Any financial company that wants to protect its customers against cybercrimes or data breach can integrate Blockchain-based features in the app.
5. Digital-First Experience
This is one of the most important digital transformation trends for the finance sector. These days, customers have become tech-savvy and responsive to mobile-based transactions. They expect personalized and digital experience in financial activities. In other words, a smooth and pleasant customer journey is essential for ensuring the growth of any finance company. There, big data and data analytics technologies lend a helping hand. Both these technologies assist you in fetching and analyzing the customer’s data to make the customer’s journey pleasant.
AI tools and RPA bots can also enable finance companies to provide excellent customer services with a personalized experience. Companies can leverage the data to optimize the customer’s experience.
6. Big Data
As mentioned above, big data can fetch and analyze real-time. In a way, it helps banks and financial companies to serve customers in a better way and save money. Big data can be integrated seamlessly with AI and ML to give your customers pleasant and personalized services every time based on their preferences and habits.
7. Automated Wealth Managers
Reputed offshore software development companies integrate advancements of AI and ML to make financial apps more user-friendly and intelligent. Smart managers or automated wealth managers or wealth bots can be considered as one such innovative app feature. AI-driven wealth bots can consider the best investment options available, interest rates, and other parameters to give your customers valuable insights for investors. In other words, wealth bots can act as an online, virtual financial planner.
Such automated wealth managers not only digitize your financial business but also keep your company competitive. You can also follow the regulations and meet various needs effectively thanks to automated wealth managers.
In a nutshell, digital transformation has become a necessity for the thriving financial sector. In coming years, we will witness the prevalence of these trends to keep the finance companies against any major crisis. It is better to contact a digital transformation consulting agency to know more about these trends and how your financial organization can make the most of advancing technologies.
Silver Touch Technologies develops robust and customized digital transformation solutions for companies across various industry sectors. We create innovative applications by integrating advancements of emerging technologies including AI (Artificial Intelligence), blockchain, Machine Learning (ML), and big data to transform business processes digitally. Do you want to know more about our services or wish to get digital transformation consulting for your company? Simply drop us a line at firstname.lastname@example.org and we will get back to you soon.