4 trends to expect in banking in 2023
Ondřej Slivka
how totrends
3 minute readIn a few years, banking will look much different than it does today. Here are four trends to expect in 2023. First, mobile banking will continue to grow in popularity. In fact, many banks might eventually move entirely to a digital-only platform.
In a few years, banking will look much different than it does today. Here are four trends to expect in 2023. First, mobile banking will continue to grow in popularity. In fact, many banks might eventually move entirely to a digital-only platform. Transactions will be faster and more secure, and bank regulation will become much more efficient. That is why the traditional branch model will slowly disappear as more and more people opt for online banking instead.
The green finance market is growing
Global green finance is expected to reach $1.2 trillion in 2023, after experiencing little growth over the past year. The market will recover from 2022 as governments and financial corporations increase their financing activities for economic recovery purposes while meeting climate goals. 75% of this amount is to be represented by bonds (green loans). Between 2021-2022 alone there was an investment rate double what it had been before. This is expected to grow not only due to green technology and emission reduction projects such as the Inflation Reduction Act in the US.
More opportunities for fintech
More and more people see traditional banks as gatekeepers to innovation, but fintech companies offer an easier way for those with different needs. In order not to be left behind in this new era of technology-driven competition, many financial institutions have jumped on board partnerships with these innovative startups that can help them stay competitive while still providing consumers access to their favourite services from multiple sources under one roof or via mobile application.
Finance was once seen only by big businesses with enough money to pour into it; however, now smaller organisations across all industries are participating in financial market transformation.
Data-driven digital banking
The data-driven approach is the way of tomorrow and many institutions are already using it in their work. In order to create a better customer experience, guide the decision-making process more efficiently or reduce development time costs. They tap into information embedded within internal and external sources like the location of purchases that can make the customers’ habits clearer – all this will drive engagement & loyalty if done correctly.
With consumers embracing digital solutions for their financial needs, it is an essential part of choosing the right provider. Not only do they want easy access and more secure banking on tablets or smartphones but they also want experience with these platforms that can be tailored specifically to them – like providing faster service because some people may not have enough time in a day for long conversations over the phone calls!
Customer-centric approach
The banking industry is transforming as consumers demand more personalised experiences and the ability to do things independently. As digital transformation progresses, many self-service offerings (e.g. mobile account opening) will be available at bank branches or ATMs near you which enable customers open accounts quickly without having to visit a branch in person! The rise of Digital Banking has brought about an exciting change within retail finance by giving them increased opportunities for revenue through cross-selling products – it’s leading towards better customer engagement that could lead to this coming generation’s business growth.
While the future may be uncertain, we can prepare for what’s to come by understanding the trends that will shape it. Staying on top of these 4 predictions for finance in 2023 will ensure that your business is ahead of the curve and ready to take on whatever comes next. And TapiX is here to help you do just that. As a leading provider of transaction labelling and other transaction data enrichment, we are uniquely positioned to help you stay on top of the latest trends and technologies. Contact us today to learn more about how we can help you stay ahead of the competition in 2023 and beyond.
