New Age Banking Defying Traditional Models with the Power of Technology

By CIOReview | Wednesday, July 17, 2019

Tech-savvy customers and guaranteed results are attracting banks to a technological fold.

FREMONT, CA: Technological advancements have revved up developments in the banking sector. Banks have responded to the current scenario and have come up with technology-assisted products, services as well as business models. There are significant benefits of adapting to transformations like better revenue, more cost-saving, innovative products, and enhanced customer satisfaction.

Digitalization and connectivity mandated that banks shift to online platforms in addition to the brick and mortar ones. E-banking is the result of this shift, and both the service providers and the consumers are now having better experiences. Many of the banking facilities are now available to customers in instant mode through bank websites and mobile applications. This accords a great deal of convenience to consumers and cost-saving to banks. People can have access to their bank accounts, transfer money, pay interests, installments, and bills, get information about new products, and do a host of other activities without having to visit a bank.

Technology has helped banks overcome many limitations. Artificial intelligence opens up a lot of opportunity for development in banking. With algorithms that can study and predict the market, decision making is becoming intelligent rather than being intuitive. Data analytics is assisting financial experts in dynamic ways. Banks are also able to gain deep insights into individual customers' pattern of behavior. This allows the creation of personalized customer profiles and customized services and products.

Technologies like natural language processing and machine learning clubbed with automation have led to the creation of chatbots, which are being deployed for communicating with customers. Many of the banking jobs might lose relevance soon as banks consider transferring reiterative tasks from human beings to machines as they can do it faster and more accurately.

With the right steps to combat security risks, banks can make the most of the technological spurt and drive up growth while reinforcing customer satisfaction.