Artificial intelligence (AI) is the driving force behind most of the trends that you should watch right now. It will affect the way most industries approach and enhance their business, and fintech is no exception.
According to McKinsey and Company, fintech alone is expected to invest over $30 billion in 2020 in an attempt to embrace new technological trends. Like fintech, other industries also continue to invest in AI and other tech trends in order to ensure time and cost savings, while they also aim to enhance the services that they offer their customers.
These are the top 5 trends to watch:
Offering personalized services at the right time
Big data and AI allow industries to collect information pertaining to their customers. The ability to process, store, gain insights from the data and offer customers highly personalized services are facilitated by AI. Customer behavior and browsing history can be captured across multi-channel integration and the insights gathered can be used to deliver them with product options and services that are personalized and offered at the relevant time.
RPA and AI continue to offer more efficiency to organizations
Robot process automation mimics human abilities and can perform a multitude of computer-based tasks. Artificial intelligence is enabling companies like SnatchBot to operate RPA and AI in tandem so that they can offer enterprises intelligent systems that can do more than just the mundane tasks like data collection.
RPA is now so advanced that they can even undertake tasks like creating an automation process after just observing humans. They can also offer suggestions for improvements to processes. Financial institutions are already implementing these sophisticated systems to perform risk assessments and security checks for prospective loans. Machines can perform these tasks in a fraction of the time than people would need and require no over-time benefits or holidays. This contributes to time and cost savings, allowing for business to make investments in other areas.
RPA also perform tasks like customer onboarding, verification, data analysis and compliance, repetitive tasks that are essential to administrative processes in fintech and other organizations.
Increased use of blockchain by fintech
Fraud and identity theft cost financial institutions billions every year and blockchain can efficiently eliminate this. Decentralized and distributed, blockchain is a computer file that cannot be attacked and fintech is set to spend more money on this technology over the coming three years. The aim is for it to assist with smart contracts, digital payments, identity management and share trading.
Chatbots will provide the ultimate customer service
Businesses and banks are set to rely more heavily on chatbots for customer interactions which take place on conversational interfaces. Chatbots are efficient and reliable and according to a report, they save 4 minutes off every interaction. Natural language processing (NPL) and speech generation are the driving force behind the reliability of chatbots and they can now provide 24/7 support and services for companies by providing an instant response to queries and complaints. Meanwhile, they are also an economical way for busies to receive feedback. NPL technology is making it exceedingly difficult for people to distinguish whether they are speaking with a chatbot or human, but it matters far less to people now than ever before, and many prefer it.
Consumers are eager to go cashless
The mobile payments industry is on the rise as more people now do everything online, including their shopping and banking. Besides instant payments, consumers expect them to be invisible and to not pay charges. Mobile payment platforms have been created by many of the world’s largest companies like Alibaba, Apple and Google and they continue to introduce new features. These help to make the user experience seamless and yet provide them with transaction security. They include biometric access control, fingerprint and face recognition. User purchase history is another feature that has been widely adopted where users can place repeat orders or get recommendations according to previous purchases.
Businesses in all sectors are constantly looking for innovative ways to improve their customer services. These trends and technologies also help them to streamline their business operations. Those businesses and fintech that stay ahead of trends and adopt them timeously have a better competitive edge in their industry.
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