Digital banking services are vying to improve the CX factor, given the intense competition that is warranted by the growth of Fintech companies. Traditional banks that were resistant to change have now joined the mainstream of digital banking. The end-user of financial services find their financial needs addressed in a realistic and convenient manner, the likes of which are unthinkable with offline only banking. From paperless cash transfers to API linked payments, from trading on equity to forex, everything can now be accomplished right from your mobile banking app
The Onset of Fintech: Creating Pressing Needs for Collaboration of Banking and Technology
Fintech companies use innovative technology to render the delivery of financial services to end-users in an effective manner. Using mobile technology, robotics, and peer-to-peer payment systems, fintech firms are now placing pressure on traditional banks to join hands with top-notch financial technology and change the way financial services are distributed to consumers.
Delivery of AI-Powered Customer Experiences
AI (Artificial Intelligence) and Machine Learning are the twin drivers of human-enabled transactions in the landscape of digital banking. The absence of face-to-face contact with a credible RM (relationship manager) is no longer a spoke in the wheels of the distribution model of new age online-only banks. The chatbots are equipped to use intuitive technology and answer customer queries by building on human intelligence.
How Digital Financial Services Influence Core Players in the Financial Value Chain
The financial value chain is dynamic. Some of the important stakeholders impacted by the digital transformation include the fintech companies, credit unions, providers of digital banking services and the capital markets. Customer facing apps are being increasingly used by banks and credit unions, while the financial firms of the capital market deal with analytics and insights.
At The Cusp of Digital Disruption
Finance has traditionally been a slow reactor to the digital wave when compared to other sectors. However, the change now has become inevitable in major areas like wealth management, insurtech, trade financing, forex management, taxation, crypto currencies and many more. As recipients of these financial services, the new age bank-goer is enlightened with personalized information regarding his banking needs, served right on his smart screen.
The Evolution and Sustenance of Open Banking Services
The banking sector has now opened up its core – that is- the once sacredly protected customer data is now made available to third-party vendors – at your instance, permission and validation, across a safe and secure platform. In a word, above process is termed as open banking services. The bouquet of advantages includes better engagement with customers, enhanced UX and a great deal of time and cost saved over global financial transactions. The technology-aided open solution has decentralized traditional banking and the power of customer data is being enjoyed by them like never before.