As Fintech continues to change the way that we bank, in 2019, there is a reason to suggest that it can affect a number of other behaviours as we move into 2020 with blockchain technology and other investment software changing the business sector as well as the way that people handle private information. In this article, we will be looking into some of the ways that Fintech will drive behavioural change and how this could mean the end of traditional banking in the future.
Fintech Will Change The Pace Of The Business World
When looking into the ways that Fintech will drive behavioural change in 2020, there is no denying that faster payment will be one of the biggest changes. With payments being made with the simple tap of a card or holding the phone to the card machine, customers can make payments faster than ever. But what about international B2B payments?
With a payment made more secure with the implementation of fintech technology as well as in international investments on the forex market, Fintech is making the business sector a lot faster and a lot more reliable. However, with the increased use of fintech technology such as this, there has also been an increase in the regulations placed on Forex trading to make the platform more transparent for those using the service. This along with further technological advancements has helped to further regulate the market and ensure the best possible return of investment for customers.
Better Customer Service
In addition to faster payments, Fintech technology is also providing customers with faster payment methods and immediate refunds if they are needed. With payment methods such as PayPal, Google Pay and other banking applications, customers and investors can make payments in an instant in a secure way. This will influence behavioural changes as we move into 2020. This is further solidified by the CACI that reported the number of banking app transactions will increase by 121% in the next few years, with the total number of and visits also increasing by 54% in the next 5 years.
Blockchain Technology Will Revolutionise Business Models
In addition to the increased customer service, there are a number of business models that benefit from blockchain technology. With a number of sectors benefitting from the implementation of Blockchain technology this is set to change the business sector for the better helping to increase the security of a number of different business models. Below, we have listed some of the sectors that will benefit from the implementation of blockchain technology:
- Internet Advertising
- Car Leasing And Sales
- Music And Entertainment
- Supply Chain Management
Each of these business models will benefit from better customer interface as well as increased security. This is highly beneficial for a number of business sectors as this will help to prevent fraud and keep all customer information as safe as possible for a prolonged period.
The Increased Risk Of Cyber Security
Though there are a number of benefits to the implementation of Fintech technology, there is one risk that could affect it all and this is cybersecurity. This not only presents a risk to company information, but it also suggests an increased risk to customers as their information can be compromised. However, this increased risk comes more ways that businesses can reduce the risk of cybersecurity threats. Whether this is the implementation of additional passwords and security checks this can all help to prevent fraud and improve the overall operations of your business as a result.
Online Banking Will Be The New Norm
As online banking becomes the new norm, more and more people will begin to make transactions regularly. This is a behavioural change that will implement society massively as transactions will be made quickly and easily through mobile devices. This, in turn, lessens the dependency on banks and opens up the door for mobile-first banks to take control over and become one of the most popular lines of credit in the future, therefore shaping the finance industry.
The Future Of Fintech For 2020
Though fintech technology has begun to expand, it is important to remember that the future of Fintech is still relatively undecided. With the full implementation of artificial intelligence as well as conversational banking for customers all over the world is set to make a huge impact when it comes to Fintech technology and its implementation in everyday life. But could this mean the end to traditional banking as we know it? Only time will tell as we head into the new year, making this an exciting time for not only those using the technology but developers also.
With this in mind, there are a number of ways that fintech has already begun to create behavioural change but with a number of new programs as well as some of the best technological advancements the future of fintech technology is looking bright for both the customers and the industry as a whole.