It’s around a decade now, the traditional SMS banking is getting transformed into Mobile Banking. According to Insider Intelligence’s Mobile Banking Competitive Edge Study, 89% of survey respondents said they use mobile banking. Further, a massive 97% of millennials indicated that they use mobile banking.
Exponentially increasing usage of Smartphones for Banking transactions has further accelerated during the pandemic. The adaptability for Mobile Banking is crossing the boundaries of Age, Geography & even Literacy since most of the ‘Dream-to-have’ features & functionalities such as ‘Banking-on-go’, ‘Remote-Banking’, ‘Banking-24x7x365’, ‘Banking-Anywhere’, etc. are getting encapsulate in Mobile Banking.
Today, the choice of the Bank also depends on the availability, simplicity & extensivity of the Mobile Banking offered by the Financial Institute.
1. The Coverage
Today, most of the Banking operations can be initiated/processed from Mobile Banking.
a. Opening an Account
Now Customer just downloads the Mobile Banking App of the Bank that he wishes to open an account with. He doesn’t even need to go to the Bank
b. Creating an investment
Yes, from the same Mobile Banking interface, customer can manage his funds beyond just creating traditional Fixed Deposits
c. Non-Financial transactions
Balance-check transactions are now on Smartphones instead of ATMs. Even checking your Credit Score features are also made available from the same Mobile Banking interface.
d. Consolidated View
Customers can access all their accounts with the Bank from a single Mobile Banking app which otherwise was tedious.
In nutshell, Mobile Banking is now covering almost all Banking operations with more simplicity and quick response, and ease of operations.
2. Increasing Adoption of Mobile Banking
As more & more features of Mobile Banking create wider Acceptance, the Built-in Security features of a Smartphone also makes the Bank easy to integrate within Mobile Banking to make it ‘Safe and Secure’. OTP, Biometric Authentication, Facial recognition, etc. to name a few which gives better comfort to customers as well as to the Bank for executing even large financial transactions.
Beyond security, some key benefits for the Banks such as lowering the per-transaction cost, manpower cost-saving, and less footprint at the branches make the equation more lucrative and preferred.
3. Mobile Banking Trends@2021
Financial institutes have to observe and imbibe the latest technology features in their Mobile Banking. Some of them do have more than 1 Mobile Banking version with different sets of functionalities and for better penetration. The current trends include,
a) Biometrics++
Beyond just a Biometric, to implement multi-factor authentication (MFA), Mobile Banking is also integrating with facial recognition, Eye retina features available in smartphones. This ensures better protection against fraud and extends a more secured environment for the customer.
b) Voice Commands
Quick navigations can be achieved through Voice Commands. Mobile Banking can be enabled to accept and execute Voice commands for a better experience. This can also be used as a security feature and used as a Lock with Individual Voice.
c) AI/ML Algorithms
Augmented Reality kind of features will guide the customer about nearby branch/ATM networks which helps to a great extend in an unknown place. Machine Learning algorithms help to reflect customer behavior analysis and many such use cases are mutually beneficial.
d) Chatbots
An Integral part of every customer touchpoint, nowadays. Intelligent Chatbots can be programmed for quick response for inquiries & similar services
e) Open Banking
The revolution of Open Banking is almost at the doors. From the same Mobile Banking, Banks do offer a UPI interface for other Bank accounts of the customer. The single-point access will have a large acceptance & usage
f) Blockchain
A Bank need not have physical branches, Virtual branch is now visible and operational. Leveraging the cloud infrastructure and blockchain concept the Bank can very well execute Virtual Branches.
g) Advanced Security
App-lock, Personalization kind of features offers a more secured environment while transacting. This comfort should be increasing with the latest security innovations. Customers would be inclined to continue with the Bank that follows such practice.
Multiple such trends will advance the usage of Mobile Banking. As the competition among the Financial Institutes is very stiff, they have to update their Mobile Banking regularly and allocate a reasonable budget for innovations which in turn continues better market share.
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Global iTS is a leading Microsoft Dynamics 365 ERP and CRM Partner, headquartered in the UK. With 300+ clients, successfully proven implementations, an excellent support system by our experienced domain specialist, and a good track record of customer retention. Also, it has a strong foothold and customer base across other GCC countries (Bahrain, Saudi Arabia, Oman, Kuwait, UAE, and Qatar).
Global iTS is mainly into the specialized requirements in Financial Services and Insurance sectors focusing on Digital Transformation journey in Retail Banking, Commercial Banking, Insurance Providers, Private Equity, and Investment Banking by bringing Artificial Intelligence, Machine Learning, Blockchain, and Robotic Process Automation technologies and enhanced their productivity and profitability. We bring in over 15 years of international expertise to digitally transform any aspect of a client’s business.
