Chances are, your smartphone has a finance app that you have used for transactions. The ease of mobile banking is all set to grow. According to a new global SAP study, the UAE is one of the world’s top three countries in mobile banking adoption.
More than six out of 10 participants in the study said that mobile is the most important trend for the future. Industry leaders spoke of mobile banking, faster payments and open banking APIs becoming the norm.
According to Deloitte’s 2019 Banking and Capital Market Outlook report, over one-third of banking institutions have invested in technologies to speed up digital adoption and modernise their offering. These include data engines and chatbots.
This means seamless engagement between banks and customers. Efficient customer-centric features and services. And enhanced customer loyalty and rewards programs.
What, then, is the future of mobile banking? Here are the aspects to watch out for.
Five Mobile Banking Trends
Research shows that most customers visit branches only to meet specific and complex needs. They prefer to deal with the rest online.
How are banks responding to such behavior? Here’s what you can expect in the days to come.
1. Purely Digital Propositions
An increasing number of consumers are open to digital-only offers for financial products and services. Purely digital banks with no physical branches may also become increasingly popular, offering innovative, app-based services.
2. Voice Technology
Banks have already introduced voice recognition as an authentication and security feature. Access to banking services through voice-activated systems such as Alexa or Siri could be on the cards. Customers could conduct money transfers or inquire about transactions using only their voice.
3. Machine Learning and Smart Bots
Banks could make use of smart bots to help consumers conduct financial transactions. Such bots will use machine learning and predictive analytics. Decisions could thus be made better and faster. This could also give banks fresh insights into consumer behaviour.
4. No-Card ATM Withdrawals
Transactions could be validated by an app-generated code or near-field communication on the consumer’s smartphone. With QR codes or just tapping the sensor, you can take out money from an ATM without needing a card.
5. Increased Security and Personalisation
Banks could share user app data with third-party providers through open application programming interfaces. This will create a completely personalized customer experience, with tailored products and services. For greater security, some banks are already looking at blockchain, with its properties of distribution and encryption. This will protect assets and improve efficiency.
These are five of the most visible trends in mobile banking. Many more are on the horizon in the UAE, to transform the way that you bank. And it’s all in the palm of your hand.