Skip to main content

Fintech is Driving the Digital Banking Services Market

While many people now prefer digital banking and online channels, a sizable group still prefer an in-branch experience -- particularly when compared with a call to the bank's customer service center. While this continued to be the case in the past 12 months, it will change as more banks utilize multiple channels.

This transition is likely to be centered on the mobile device as banks enhance their smartphone apps with more functionality and increased security. It's a trend that will coincide with the declining workforce and the number of bank branches.

Mobile Banking Market Development

"Recent industry shifts highlight why traditional banks must respond rapidly to retain market share by cultivating new revenue channels and enhancing existing base through sustained innovation," said Nitin Bhas, head of research at Juniper Research.

Over 2 billion mobile users will have used their devices for banking purposes by the end of 2021 -- that's compared to 1.2 billion this year globally.

Growth in mobile banking is being driven by consumer adoption of banking apps and the changing way consumers manage their finances.


According to the latest worldwide market study by Juniper Research, the number of mobile banking logins are now exceeding that of internet banking logins in many markets.

For example, the British Bankers' Association announced that banking app logins in the UK reached a record 11 million per day during 2015, compared to 4.3 million internet banking logins during the same period.

Meanwhile, a recent survey conducted by Juniper Research found that around 65 percent of mobile banking customers in the U.S. and the UK markets use an app to conduct banking services.

Outlook for Online Banking Growth

The study also found that banks are becoming increasingly concerned that their market position is being undermined by new fintech vendors that are enabled by evolving technology and regulations to enter the marketplace.

For example, in the UK alone 5 new digital banks received licences or launched services so far in 2016, with a reported 20 additional banks currently in talks with regulators to receive a new licence.

Furthermore, by 2017, banks in the EU will be compelled to open their software APIs. This will result in many innovative new products that analyze user data to create more attractive financial services for customers.

Popular posts from this blog

How Edge Computing and AI Applications Drive IoT

The global pandemic has accelerated the adoption of emerging technologies, including edge computing and TinyML. As more CIOs and CTOs seek ways to capture and process data at the edge of their enterprise IT network, the demand has fueled investment for Internet of Things (IoT) applications. According to the latest worldwide market study by ABI Research, the global edge Artificial Intelligence (AI), Software-as-a-Service (SaaS), and turnkey service market will grow at a CAGR of 46 percent between 2020 and 2025 to reach $7.2 billion. This is 25 percent of the global edge AI market, which is estimated to be $28 billion by 2025. The market is comprised of edge AI chipsets, SaaS, and turnkey services, as well as professional services. As the benefits of edge AI becomes more obvious, enterprises are searching for edge AI solutions that offer low latency and are fully secured to assist them with data-based analysis or decision-making. Edge Artificial Intelligence Market Development "The

How the COVID-19 Pandemic Advanced Telehealth Adoption

The global COVID-19 pandemic has accelerated digital transformation across many industries. As an example, consider the healthcare sector. Some routine medical situations can be diagnosed and resolved online. While the trend was already in motion long before the pandemic arrived, the adoption of telehealth increased rapidly in 2020. Around the world, many governments responded to the disruption and inaccessibility of healthcare facilities by loosening previous regulations and restrictions on the practice of telemedicine apps, and teleconsultations. This decision resulted in the mass adoption of these medical services among patients and providers. According to the latest market study by Juniper Research, telemedicine will save the healthcare industry $21 billion in costs by 2025 -- that's rising from an estimated $11 billion in 2021. This increased app usage represents an anticipated growth rate of over 80 percent in the next four years. Telehealth Services Market Development The co

Hyper-automation Propels Superior Business Process Redesign

When the world was disrupted by a global pandemic during 2020, many CEOs and their board of directors were consumed by reacting to immediate problems. Meanwhile, a few forwarding-thinking enterprise leaders also paused to invest in accelerating their prescient digital transformation agenda. What enables executives to envision an opportunity while others see only challenges? Strategic foresight, and a willingness to embrace the apparent changes that are transforming the legacy status quo. During this period of uncertainty, hyper-automation investment has gained new momentum. Hyperautomation is the application of advanced technologies that augment humans by helping to streamline processes in new ways that are significantly more impactful than the legacy approach. Hyperautomation Market Development The global market for technology that enables hyperautomation will reach $596.6 billion in 2022, according to the latest worldwide market study by Gartner. This is up from $481.6 billion in 202