Many companies are integrating their payment systems, applying blockchain technology, and re-aligning their delivery channels. Heading into the new year, analysts predict that large companies will help the financial services arena evolve. Analysts also predict that banks will implement new mobile apps and other accessories to help improve their services. With that being said, here is a closer look at five innovative trends that will impact the banking industry next year.
Regulatory bodies throughout the World are mandating that banking organizations enable customers to share their data with third parties. This will help enhance the banking industry by creating competition. By using safe application programming interfaces, people will have freedom regarding their relationship with their banks. Open banking leads to more innovation. Open banking relies on the consent of every customer. The massive potential of open banking allows financial services organizations to enhance their relationships with their clients. Ultimately, open banking will give people control of their information.
Increased Artificial Intelligence
In 2019, predictive banking will take another step forward. The banking industry seems poised to merge every piece of data, which will create real-time profiles of customers and members. This allows banks to have a clear understanding of their customers. The enhanced data will create a better experience for every customer. Banks will be able to give consumers real value. Virtual agents can assist customers in real time. Analysts believe that universal cash management solutions will emerge to meet every problem that a customer may have.
More companies are implementing digital only banking entities as a way of dealing with the expenses of operating a traditional branch network. Some banks are launching digital-only banks, while others are creating digital platforms to enhance the customer experience. Some banks are seeking to improve their customer retention numbers, while others will seek to expand their market share. Banks will continue to balance the physical and digital aspects of their operation heading into 2019.
The payments industry will continue to evolve. Banks are noticing the change in consumer expectations. Delivery, technology, and data will be major points of emphasis. Cryptocurrencies, mobile wallets, and The Internet Of Things will change how people receive payments. In order to continue serving customers, banks must be able to process different types of payment data.
Banks are starting to target customers based on their values, goals, and lifestyle choices. Banks are now focusing on the segment of one. Banks are relying on analytics to create a new level of personalization. Banks are also targeting the small and medium enterprise segment. Banks are now using insights and data to develop strategies to boost their businesses.