Technology Trends in Retail and Digital-only Banking in 2022
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Technology Trends in Retail and Digital-only Banking in 2022

By CIOReview | Monday, May 23, 2022
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The banking industry is continuously thriving in today’s world. Due to digitalization, people find it convenient to use online or mobile technology for daily banking purposes.

FREMONT, CA: The world is increasingly becoming digitized and changing the way people interact with each other. This influenced the day-to-day business of people’s lives and other associated affairs. The advancement of digitalization also influenced the development of the banking industry and enhanced banking technology. From retail banking to mobile banking or neobank startups, technology has affected every aspect of the banking industry or financial services worldwide.

- Retail Banking’s Future.

Technology has boosted the importance of retail banking, which operational coherence is increasingly impacting the market. About 39% of retail banking executives 39% agree that reducing costs is the area where technology has had the most impact, compared with just 24% who say it only improves the customer experience. Retail banks are too initiating platforms in the Banking-as-a-Service (BaaS) space to stay competitive. For example, the New British Bank Starling offers exclusive retail banking services for business-to-customer (B2C). After launching its BaaS platform, Starling has diversified its products and revenue streams, making it relevant in the neo banking space.

● Mobile Banking’s Future

Mobile banking has become the preferred method for users to deposit, transfer accounts, and track their expenses and income and is an essential differentiator for banking executives. Nearly 80% of users said that this is their primary way of accessing their bank accounts. Efficient mobile banking options include money management features that help users reduce costs and increase savings. The leading consumer concern for mobile banking is the security factor. Worrying about data breaches is increasing demand for user data privacy services - allowing customers to block credit or debit cards, schedule travel alerts, and file and consider card transaction disputes are some of the successful security features of the bank.

● Online Banking

The popularity of mobile banking has overtaken online banking, and the number of online customers, in general, has slowed down around the world. Online banking, including mobile banking, refers to the overall banking experience through digital channels, including mobile apps, desktop computers, live chat robots, etc.

● Digital-only banking

Mobile banking tools are well known as they are the critical factors in the high rise of US anchor banks and have become more prominent amid the COVID-19 pandemic. Financial institutions, new banks, and incumbents can benefit from understanding exactly how leading new banks are raising the level of customer expectations and confidence to thrive in their business.