the need for financial firms to adapt to changing customer expectations and technological advancements. It then goes on to outline five key strategies that financial firms can adopt to drive digital transformation:
Embrace cloud technology
Leverage data analytics
Invest in mobile technology
Adopt artificial intelligence (AI)
Collaborate with fintech startups
For each of these strategies, the article provides a detailed explanation of why they are important and how they can be implemented. It also provides examples of financial firms that have successfully adopted these strategies and reaped the benefits.
Overall, the article provides valuable insights into the digital transformation of the financial industry and offers practical advice for financial firms looking to stay competitive in the digital age. The article is well-researched and well-written, making it a useful resource for anyone interested in financial technology and digital transformation.
Strategies For Digital Transformation In Financial Firms That Lead Them Ahead!
1. Strategies For Digital Transformation In
Financial Firms That Lead Them Ahead!
Banking is essential, but do you think banks are?
Of course, not!
The thing we believe today has predicted by Bill Gates some
years ago. Digital transformation in the finance industry has
genuinely modified how we operate and interact with our finances.
Moreover, this paradigm shift from finance into fintech has turned
huge with something magnificent like cryptocurrencies and other
digital coins.
2. To accommodate more significant shifts in the market, a vital
necessity is to change the landscape in which we regulate our
financial institutions.
But why?
Because digital-savvy consumers are in search of digital-savvy
companies, and the UAE fintech market is likely to reach USD
39.3 billion in the current year. That’s why you must become a
digital-savvy company.
Are you wondering how digitization proves helpful?
Move into the section and learn what vital roles digitization has
played in revitalizing the conventional finance sector.
Digital Transformation in Finance Sector
Digital banking has been capturing the space for conventional
banking with the arrival of top-notch technologies like Blockchain,
smart contracts, Artificial Intelligence, IoT, and others.
Implementing this tech ensures a higher level of convenience,
security, and services to users and lets entrepreneurs accelerate
their business growth. To serve customers better, leveraging the
tools and resources from a top fintech app development company
can do wonders.
3. Also Read: FinTech in Investment Banking: How It Can Help the
Unbanked Population?
As technology evolves and customer expectation changes, it is
the right time to create more exceptional opportunities and
enhance efficiency and the customer experience while enabling
digital transformation in finance industry.
Stats about Digital Transformation in Finance
Sector
What makes digital transformation a compelling force in the
finance sector? Here are some stats:
● 51% of financial institutions have revised long-term strategic
vision.
● New digital projects of 61% of finance companies have been
in motion.
● 48% of companies are accelerating digital transformation
plans.
These stats are valid enough to show you the incredible growth
finance sectors are planning to turn into fintech. With digital
4. transformation in finance industry, you can bring multiple benefits,
like enhanced agility and increased customer experience.
Transform Finance Sector with These Key Areas!
Now that you have decided to modify the banking sector digitally,
it’s time to improve those key areas where you find the most
challenges:
● Security and Compliance
Do you know what is the primary reason people are moving to
fintech?
Yes, it is poor security.
When it’s about dealing with a large amount of data, only tech
integration can add some relief to us. The users can seamlessly
5. check the balance in their bank accounts without visiting the
banks or physically presenting themselves.
This is what brings the most assurance to users. They feel more
securer when they have everything in front of their eyes.
However, to ensure robust security, you must invest in reporting
capabilities, infrastructure, and compliance.
● Upskilling Workforce
Your financial institution will not turn into fintech unless you have
a skilled workforce who knows how to automate repetitive tasks
using the best tools. But for that, you need to train your
employees.
Giants like Bank of America and Wells Fargo 2020 trained around
70% of their employees remotely while utilizing virtual reality and
other tools, which turned out to be a gain for employees.
To become a team player in the market, ensure you have an
upskilled workforce that can tackle all tasks seamlessly.
● Digital and Contactless Payments
6. With the arrival of Covid-19, digital and contactless payments
have become the most prominent solutions among consumers.
Whether it’s about booking a flight, buying some products,
receiving services, or bank transfers, everything becomes
contactless and digital.
That means the role of traditional banks failing to embrace
technology has been reduced. So, don’t you think it is the time
when you should begin a new revolution for your organization with
contactless payments?
Strategies that Conventional Banks Should Follow
for Digital Transformation
The transition you all dreamed of is not impossible with the
execution of the right strategies. So, what are you waiting for?
7. Follow these right strategies and get into a roller-coaster ride of
digitization.
● Gather Insights and Analyze Data
Use the structured and unstructured data of how customers
interact on your social media page, website, and customer care
team. Master data management and data warehouses can let you
extract data from different sources into a centralized repository
that you can break down into:
● Customer Sentiment
● Competitive Insights and benchmarking
● Product Insights
● Media Monitoring and analytics
8. ● Critical Industry and market trends
Now you have the data, build a digital strategy that lets you
understand the following:
● What digital channels do your consumers prefer?
● How do they like about your brand
● Which practices should you consider to enhance customer
experience
● Get to know what other competitors are implementing.
Once receiving everything in a clear, crisp, and 360-degree view
of your customers, competitors, and industry trends, you can have
the most deriving digital initiatives that cater to users’ needs
conveniently and seamlessly.
Interesting, isn’t it?
If the insights you gained, at last, are about customers asking
questions and sharing their feedback, then you must ensure a
solution while integrating AI chatbot that provides answers to all
their queries quickly. However, for that, you must need the
support of a top app development company.
● Leverage Social Media
9. Social media is one of those resources consumers prefer to view
the truth of many enterprises. In 2022, there were 5.27 billion
people worldwide using social media.
So what about social media for financial services?
Before relying on a brand, customers usually interact with
businesses while learning more about them through their social
media profiles. Feedback, questions, and reviews everything can
be shared or read, thus increasing the transparency between the
consumers and the entrepreneur.
Most importantly, the conversation across different platforms
allows businesses to enhance their customer experience. Thus,
digital transformation in finance industry helps.
● Choose the Right App Development Company
To digitize your financial institution, you must need a dynamic
solution like a top-notch fintech app that goes parallel with the
evolving needs of consumers.
That’s not it!
The assistance and support of the top app development company
can help you build a dynamic solution. Not only do they have a
10. knack for technology, but also the futuristic trends disrupting the
industry like never before.
What does it take to connect with the best developers?
Only a consultation over a coffee. Yes, we will listen to your idea,
bring our suggestions, and help you create your masterpiece with
our expertise in the field. From consultation to support &
maintenance, we promise the best of our knowledge and help you
enhance your business reach.
Why Should We Consider Digital Transformation
in Finance Industry?
Still trying to decide whether to integrate tech into your financial
institution?
Here are all the benefits that digital transformation in finance
industry helps you achieve;
What are the Leading Benefits of Digital Transformation for
Banking?
● Time and Cost Savings:
11. Cashless transactions do not involve intermediary channels; thus,
cash can be delivered from one party to another seamlessly and
quickly.
What’s next?
All the cost incurred in physical infrastructure and manual
processes gets reduced with the onset of digital transformation in
finance industry. For both users and consumers, it’s no more than
a marvelous thing to transact in a way that saves time and cost.
● Insight-Based Decisions:
AI (Artificial Intelligence) and ML (Machine Learning) let
entrepreneurs make decisions faster with accurate and real-time
data availability, thus helping to derive valuable insights and
optimize growth.
Don’t you want to enjoy this benefit that fintech provides?
If yes, connect with our expert today and build your own AI-
enabled fintech solution.
● Seamless Data Management:
12. Whether it’s about collecting, managing, and storing data,
effective cloud technologies enable a smooth and seamless
transition. While traditional banks can have compatibility issues
while managing data, digital banks can have multiple benefits.
Interesting, isn’t it?
● Accelerate Innovation:
While creating new products and services that cater to
consumers’ needs, digital transformation in finance industry
enables dynamic opportunities for financial institutions to create
dynamic business models.
● Enhanced Customer Experience:
Today, tech-savvy customer expects high-quality services, and to
help them get the same, it becomes essential for businesses to
invest in a digital solution that delivers the same.
Don’t you want to be in this age of digitization?
If yes, connect with a leading mobile app development company
in Dubai like Techugo; you will get a pool of high-skilled
developers who are always ready to provide you with the best
13. assistance possible. Moreover, our choice of tech stack can help
you lead a drastic change in your industry.
Top Digital Transformation Trends in Financial Services
Digital transformation is not going to stop anytime soon.
What’s more?
The deriving technologies will transform the whole landscape in
which we are operating our business and introduce the most
significant place for entrepreneurs and consumers to bridge all
their gaps and come in front of each other. Here are all deriving
tech trends that prove this statement.
● AI and ML
14. To enhance customer experience, eliminate risks, and automate
processes, various financial institutions have their hopes on these
two technologies, AI and ML. Whether you want to analyze a
large amount of data, enhance data-driven decisions, and
strengthen customer relationships, AI and ML can do everything
and thus significantly improve operational efficiencies.
● Cloud
Cloud technology eliminates the complexities and improves
business agility while allowing banks to get a space into a more
robust and scalable platform from outdated infrastructure. Most
banks use this technology to run applications, host services, and
store data. Moreover, the modernized infrastructure has
streamlined processes in an enhanced way.
● Blockchain
A game changer in the finance industry.
Yes, that’s the definition we can give to this dynamic technology.
Blockchain is all here to revolutionize the entire financial system.
It is way beyond what we think for its security, transparency, and
15. robust features. Using Blockchain, it becomes easier to craft new
products like digital currencies.
What’s more?
We can enhance the speed and efficiency of cross-border
transactions.
● Robotic Process Automation
To automate repetitive tasks and routines, various banks are
using RPA. This technology enhances customer experiences,
reduces cost, and enhances the accuracy of processes, which
makes it a perfect companion for multiple businesses to
computerize back-office operations.
For more accurate and faster customer transactions, RPA is a
must-have tool for futuristic banks.
● Big Data
Another great tool is here to let banks make decisions and stay
ahead of the curve.
The use of big data can enable banks to gather, store, and
analyze data from different sources like social media, customer
16. transactions, and others. Moreover, this tech trend helps identify
customer behavior and thus prevents fraud.
Get a Digital Space with Techugo!
Now that you have learned the benefits of incorporating digital
transformation in fintech industry, it’s time to find the best
technology partner.
And guess what?
No one can help you like Techugo, a top-notch fintech app
development company. The developers here know what’s suitable
for your project and what kind of tech integration will prove fruitful
for you to succeed in this digital age.
You can check out our portfolio and learn about our experience
building 750+ robust applications for industry verticals if you are
still in doubt.
If that does not work, you can book a consultation with us and
have our back for your dream project.
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