6 Best Mobile Banking Trends of 2022 and Beyond
The wildfire penetration of tech advancements and digitalization in almost every industry is evolving businesses digitally at a lightning speed. The BFSI industry is no exception where mobile banking and finance app development is making waves among consumers for its statement making features that voids physical presence in the banking infrastructures. Such app advancements are elevating customers’ expectations at a rapid pace, minimizing long waiting queues, and reducing time.
Now, the customers can perform almost every banking-related process just in a few clicks on their smartphones. However, to maintain the banking apps service quality the businesses need to follow mobile banking trends to stay updated in the market and always be motivated to serve their customers in the best way possible.
Before we get into the mobile banking trends of 2022, first let’s analyze the market statistics of the banking and finance industry.
Market Statistics of Mobile Banking Trends
- As per Statista in 2018, the Global Mobile Banking market is valued at $715.3 Million and is expected to reach a figure of $1824.7 Million by 2026 with a CAGR of 12.2%.
- The number of worldwide active online banking users in 2020 was 1,903.2 and is expected to reach a figure of 2,551.8 by 2024.
- Total transaction amount through Digital Payment mode is projected to reach $10.7 Million by 2025, with a CAGR of 12.24% from 2021 to 2025.
- In 2021, the biggest FinTech segment in digital payment in the USA and Canada is estimated at $1.2 Trillion.
- According to Fidelity National Information Services (FIS), in April 2020 the mobile banking traffic rose to 85% and the fresh mobile banking registrations swelled up to 200%.
Best Mobile Banking Trends of 2022
1. Biometric Security System
The biometric security system is one of the prominent and reliable tech-integration in mobile banking app development. Biometric authentication analyzes biological & behavioral traits and automatically recognizes and verifies the user’s identity. The accurate and correct verification of biometrical identity provides access to use the mobile banking app.
With the rising security concerns and password vulnerability, the demand for a unique identification process to access the system has increased by multiple folds. The biometric security system includes identification of fingerprint, retina, iris, face, etc. as the biological characteristics. Whereas, in behavioral system, it analyzes voice, gestures, typing rhythm, and other behavioral characteristics.
All biological and behavioral traits are unique for every user, thus it minimizes the cases of digital frauds and promotes to feel confident while making online transactions. Due to this, the biometric security system is one of the most preferred and reliable mobile banking trends of 2022.
2. Integration of Artificial Technology
Artificial Intelligence automates the banking process and streamlines the overall customer experience. AI increases FinTech industries productivity, reduces manpower, stays competitive in the market, and allows the customer to use banking services 24x7. The efficient mobile app development companies can integrate AI with the system to ensure easy data analysis and collection.
The FinTech industry is overwhelmed with a variety of data, so it is quite a tedious process to manage or requires a lot of manpower to handle it. Therefore, integrating AI with the banking system, ease all the process and minimizes the need for manpower along with eliminating the chances of human errors.
AI also supports chatbot integration that improves customer experience by delivering instant customer assistance and query resolution. Chatbots are the most preferred assistance among users, which makes AI the most appropriate mobile banking trend to integrate into the system.
3. Digital Wallets
Digital wallet is a new entrant making in the list of mobile banking trends but has already marked its presence among a great number of users in minimum time. Basically, the digital wallets are a digital mode of payment system that allows secure transactions by storing banking details or credit/debit card information. Through these wallets, users can make payments to any other individual, a vendor, at any supermarket, and many more instantly with their smartphones.
There are numerous digital wallets that exist in the market, such as Google Pay, Paypal, Apple Pay, Venmo, etc. Apart from these wallets, the banks offer their personalized wallets as well. All these wallets can be easily accessed through smartphones and eliminate the demand of carrying cash or the risk of a wallet being lost.
These digital wallets are very convenient for customers to use, with enhanced security features and efficiency. These apps are equipped with multiple features, provide offers and discounts, and the customers can easily and instantly clear all of their bills and dues within a few seconds without any error. So, make sure to hire an efficient banking app development company that seamlessly integrates wallets within the app along with trendy techs.
4. Blockchain Technologies
Blockchain is a new technology and is the latest addition to the mobile banking trends of 2022. It can provide efficient and streamlined banking services which reduces human labor and supports automated banking processes to deliver quality customer services. Blockchain technology is spreading its presence very well in the fintech market, and experts believe it is going to stay.
Blockchain is a distributed ledger, which keeps track of the ownership of non-transferable assets among unknown parties. It eliminates the exigency of cumbersome paper work and authority permissions. It also provides indispensable data security at different levels to maintain data sensitivity along with enhancing user authentication.
Banking services experience a hard time in dealing with data management, therefore such issues can also be resolved with blockchain technology by speeding up the data management across financial institutes. Overall, it enhances the efficiency and the digital banking experience.
5. Cardless ATM Withdrawals
Cardless ATM withdrawal allows customers to access their bank account and perform a transaction without using the physical card. But, the cardless system requires user verification through a text message or a banking app to execute transactions. The cardless transactions can also be performed with QR Codes (Quick Response Codes) and NFC (Near-field Communication).
The NFC devices communicate on radio waves to stage the transaction process, the devices should have to be in close proximity and use additional security to authorize the transaction. On the other hand, the QR code transaction also requires the smartphone to scan the code from the cash dispenser machine and then perform the further process with their smartphone. After the correct process, the machine dispenses the amount.
Cardless ATM withdrawals are highly secure, as it avoids instances of fraud or card duplication because you are not swiping your card on machines anymore. Hence, you don’t need to carry cash or an ATM card forever with you. The cardless service allows you to start the transaction process by initiating the request through your smartphones before nearing around the machine which ultimately saves your time.
6. Machine Learning & Smart Bots
Machine Learning works effectively while in association with Artificial Intelligence. AI and ML are new in the FinTech industry yet are the best technologies to prevent fraudulent activities. Hence, it requires the best banking app development company to develop a highly innovative app while integrating this advanced technology.
FinTech industry deals with a pool of data at a time, which Machine Learning can handle effectively in addition to identifying the market insights to boost investment opportunities among customers. ML and AI together can conclude valuable results for investors to assist them in trading.
The ML technology makes it easier to understand market trends to analyze and prevent any kind of financial loss. It might even educate customers to keep track of risks associated with the predicted market trends.
ML also assists in quality customer services through chatbot integrations by studying the query patterns of customers or by figuring out the keywords and based on that frame the answers. The technology effectively delivers quality customer assistance and enhances the overall customer experience with the banking apps.
Final Thoughts
The integration of new technologies in the banking apps is delivering high security, stability, and an intuitive mobile banking app. These new technologies are most prevalently used by banks to remain competitive and be a leader in the banking industry.
Well, smart and intelligent businesses are those who instantly tap into the new tech trends to attract and retain customers. Undoubtedly, these technologies enhance the user experience by introducing an innovative and ideal mobile banking solution.
So, if you are planning for mobile app development, then you must integrate these advanced technologies to remain competitive in the market while maintaining the app quality and best customer assistance.
