In every field, the growth of digital transformation and innovations such as smartphones, the Internet – of – things, AR, VR, Cryptocurrency has reshaped the global economy. Similarly, there is no lag in the FinTech market. As per the current situation, with the growth of digital finance, the FinTech industry is booming. This is an indication that it will continue to thrive in the years ahead.
We all know very well that the technological revolution has changed how service providers approach consumers and customers to access goods and services with no trouble easily.
In the same way, digital transformation has entirely transformed the FinTech industry. In about every sector of finance, there has been a steady adoption of technology-driven technologies. The convergence of finance and technology has contributed to a revolution in phenomena that has begun to ramp up change and redefined the financial sector’s power structure.
Henri Arslanian, writer, instructor, and president of the Hong Kong FinTech Association, discusses how FinTech is reshaping the financial businesses to produce innovative, user-friendly financial services in his TEDx Talk.
His introduction looks at how FinTech can modify how customers enter banking and discusses how it can relate to all those who have accessibility. Are the latest generation of bankers prepared for the digital-first finance industry with so much transition occurring in the banking industry? That is today’s most important topic to be discussed.
Although FinTech is reshaping the finance industry and, for the first time, providing millions of people access to banking services, new banking structures are evolving, potentially changing the status quo of FinTech start-ups and tech companies. Yet business colleges and teachers do not train potential bankers for these developments, says Henri, the thought leader of FinTech.
And what’s FinTech?
At the juncture between financial services and emerging technologies, FinTech is the name for the field. This effectively promotes emerging technologies based on start-ups and potential industry players aiming for goods and services to be creative.
Consumers do not currently go for services offered by the conventional field of financial services. They search for services that, based on their question, will give them a fast and comprehensive approach. Thus, FinTech gathers tremendous traction in the market and leads the existing supply chain to be broken.
FinTech generally entails a small start-up firm focused on advancing creative technology technologies such as internet banking, electronic payments, data analytics, alternative financing, and general financial management.
Recent financial service firms applaud the FinTech revolution as it promises improved customer productivity and reduced service provider prices. The end product of the FinTech push encourages creativity that both customers and retail banking firms can conveniently reach.
Let’s have a closer view of the FinTech market and how it shapes the banking sector’s shape.
Customer Experience Improved
The banking business is all about driving greater consumer loyalty and leadership. FinTech stresses the convergence of emerging trends with consumers’ preferences, resulting in customers’ digital control. Many traditional players are now dealing with obsolete customer-oriented strategies, which is not the need of consumers today.
FinTech provides bank customers with 24/7 connectivity and offers services accessible through the new digital platforms such as social media, Internet, smartphones, and others. It is projected that social media will become the leading platform for communicating, interacting, educating, and knowing clients by the end of 2020. It will also be the channel where clients will study and analyze the offers of banks.
Today, it’s all about supplying clients with efficient solutions. The consumers’ ever-growing need and no time clause has compelled the banking industry to search for solutions that are generally quick, abrupt, scalable, and versatile.
Having observed banks’ latest deals, the market decided to concentrate on FinTech solutions to analyze consumers’ urgent and oriented needs. FinTech technologies have begun to create established and highly efficient solutions for banks that have moved into and take over those segments that banks have ignored in terms of bids.
As per Deloitte’s estimates, the overall investment in the FinTech sector had increased by nearly $46B by the previous year.
Banks are also concentrating on increasing the use provided by FinTech vendors of open development and Software-as-a-Service (SaaS) solutions. This encourages banks to quickly consolidate and streamline the banking system’s operating capabilities and process them into a mobile distribution advantage.
The application software (APIs) allows FinTech to create real worth solutions and capabilities easily incorporated with banking channels.
Rivalry in the financial service provider market between banks and potential competitors paves the way for direct collaboration in the FinTech community to be considered.
Both the players are looking for a fair profit in such a situation. Potential prospects range from start-ups’ product design and growth to banks’ logistics and technology capabilities.
The advanced application of FinTech technologies encourages financial service providers to look more holistically at the demands and desires of their clients while implementing creative solutions without losing sight of their introductory offers and revenue streams.
The Final Word
The future of the financial technology markets and businesses has started to be formed and developed since FinTech advances. It is also a mandate for organizations to prepare and invest in new technologies to support both enterprise and end-users.
Finance dominates the world, but finance will be dominated by technology eventually. You’re still lagging if you’re not aware of how technology is already changing finance. Also, you’re never going to keep up if you’re not training the next generation of leaders to accept creativity. It is essential to educate students for the future of finance as FinTech progresses from an upstart trend into the mainstream.
DMware is a renowned supplier of fintech products delivering personalized services? We have supported many of our clients with solutions and resources. We have helped many solopreneurs in their start-up journey by acting as a tech advisor and carrying out their marketing strategies.