Top Banking Trends for 2020
Here are three of the top banking trends for 2020 which could affect how we handle our money and how we do business. Get ahead of the pack by knowing what to expect from the world of finance in 2020.
Open Application Programing Interfaces and open banking will speed up the changes taking place in FinTech allowing companies to align with new opportunities. We will probably see more automation in 2020 thanks to APIs. Work flow will most likely become faster and more productive with the help of APIs. Delivery of services and information will be progressively more flexible as APIs can access the app components of businesses. APIs of the future will make information from a government level more transparent and available to all. Of course APIs will help with efficiency, by accessing an API the generated content can be published automatically and be available on every channel making sharing and distribution streamline. In 2020 we will see APIs effortlessly allowing content to be embedded from any app or site. APIs will also provide for more personalization and customization of services you use regularly.
Advanced Marketing Performance
As we see more and more new marketing technology being implemented it will become easier to target a specific audience at a specific time to maximize the desired results. Multichannel marketing will also play a bigger role in 2020 stimulating new customers and organic growth. With most companies using multichannel marketing it is becoming increasingly more complex and difficult to accurately measure the effectiveness of marketing. Tools for measuring the effectiveness of each channel and campaign as well as tracing the customer’s journey to understand patterns will become an even more vital part of marketing. Last-touch attribution is no longer enough. We need to understand the path that lead the customer here and the interrelationship of channels and messages so we know where to invest our marketing budget along the customer’s purchase journey.
Although FinTech is no longer the new kid on the block we will be seeing new players in the FinTech world. FinTech will need to put its focus on innovation, consumer relations and speed. FinTech companies have entered the banking sector and even managed to move market shares. With a crowded field of new players in the payments ecosystem, 2020 will see a need for an increasingly diverse consumer. FinTech needs to offer consumers that personal touch they experienced with traditional financial institutions while still giving them innovative technology without being tied to antiquated rules and regulations. FinTech companies will continue to provide increasingly faster, easier and cheaper services.
Legacy financial institutions have always had the advantage of trust that has been built over decades but the large FinTech companies can now also boast years of experience. Some FinTech companies receive trust scores on a par with traditional banks and credit unions. Mid-tier and smaller banks should be aware of this going forward into 2020.