Major Trends That Are Changing our Perspective Towards Banking

The banking sector is perennially evolving. And the revolution in the banking sector promises to make the industry both innovative and secure. With numerous banks implementing these technologies already to their financial products and services, customers are benefiting globally.

Some of the novel strategies to improve the banking sector are piloting crowdsourcing, piloting, collaborations, and partnering to find major banking solutions. Among the many changes, Digital-banking is one of the most prominent changes that has impacted banking and the way it works.

Customized Banking

Digital banking and various facilities introduced as back-office cloud and analytics can help customers get better service. Besides that, banks can also customize the interface, fees, support services, etc., that a customer avails of, basing on their past interactions. Banks’ future seems interesting as you can fully customize customers’ needs with the best products and services. They can do this by using analytics to gather specific customer information.

Data Monetization in Banking

In the future, banks will use data analytics to make proper stock predictions. Banks can also gain proper market insights by including AI tools for making credit decisions. Besides that, they can use it to create numerous marketing campaigns and join retail companies. They can provide special deals to customers holding accounts. Data monetization uses data to gain new customers and create novel revenue streams and new products for existing customers.

Cyber Security

The banking industry has to be careful as they handle sensitive information daily, and it may cause security breaches from within.  They need to take steps and stop the external criminal elements from affecting the banking security system.

Cybercrime is rife thanks to websites, mobile apps, other third-party financial service providers. One of the trends to note in 2020 is to prevent security breaches as far as possible with the introduction of advanced technology. It is necessary to intensify security standards and adopt some of the best cyber-security programs to reduce comprehensive risk. Compliance and banks across the world must maintain specific security protocols to minimize cyber protocols.

Mobile Banking

We cannot imagine our lives without mobile banking as it is destined to become one of the most popular trends in 2020 as financial institutions are trying their best to meet up with the growing consumer requirements. Banking nowadays is heavily dependant on mobile devices.

Mobile banking expansion may mean less land-based banks’ involvement and may potentially offer a solution to slow and heavy back office. The quick change in mobile banking is most obvious to the industry’s key players, showing us a way to follow.

Robotic Process Automation

Banking trends in 2020 are all about RPA as it is used by most financial institutions to help minimize costs, drastically reduce human errors, and ensure that customers get the most efficient service. Robotic Process Automation or RPA provides virtual assistants; to handle common questions, and perform redundant tasks labor-intensive tasks without human help.

Banking Regulations

We may see several changes in the banking sector in 2020. With innovative banking technology intervention, we need a change in the regulations to bring about data privacy changes.  The introduction of PSD2 helps customers in managing their finances with the help of third-party providers. This has brought about greater competition in the market. Changes in regulations are coercing banking software to make core banking technology a key issue in helping banks in the future.

Voice Banking

The year 2020 is all about voice banking. However, it is mainly because of the ease of use. Everyone uses voice-controlled devices as it is a user-friendly way to adjust search on the web. Besides that, banks are trying to meet up with this growing trend. Voice technology can go a long way in improving the customer experience for this-generations customers who are technology-dependant to a large extent.

The future looks bright for voice banking as future customers will use voice technology in various banking aspects, such as opening a new account and interacting with customer services via novel technologies as chatbox solutions.
These are some of the major trends impacting the banking sector this year.

We bet there will be many more such trends in the coming years to make banking easy and customer-friendly. And with the increasing focus on personalization and customer-centric banking, we can be sure that banking will become seamless. Besides that, the advent of technology is also promising to reduce fraud in the financial sector.