To gain competitive advantage, banks are investing huge amount of money into technology to digitise nearly every aspect of their businesses. However, can they keep up with constant change coming from all directions?
Customer demand for more high-tech services, and for connectivity between popular financial management apps and their primary bank accounts, may finally force banks to set aside their security and competitive fears and strike data-sharing deals with fintechs in 2019.
Meanwhile, artificial intelligence and automation’s impacts will continue to be felt at many companies, though regulators will have a say in the pace of adoption.
Fin-techs, which have been encouraged by regulators as a means of spurring innovation, may have to brace for a consumer-protection backlash in response to mistakes they have made.
The customer profile is changing, too. There are some painful lessons ahead, for sure, in how the youngest customers — Generation Z — differ even from the still sometimes perplexing millennials.
Here’s a summary of those and other banking technology trends to watch in 2019.
- The nature of work, and the ‘workers,’ will change
- Customers will take more control of their data
- Consensus on open banking will begin to emerge
- Expect a showdown over faster payments standards
- Banks will get better (and faster) at online lending
- Blockchain’s uphill battle has no end in sight
- Get ready for more federal probes of fin-tech
- Challenger banks will raise even more money
- Preparations for the rise of Gen Z will accelerate
- Robo-advice will be ubiquitous
Originally published by Penny Crosman et al.
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Tags: fin-tech, banking, technology, trends