1. Digital Banking
1.1 Digital strategy reformed the banking sector
1.2 Landscape design
1.3 Process of Design thinking in banking
2.1 Gamification in Fintech Applications
3.1 Fintech Future
Digital revolution has changed the financial services as Electronic services under the name called Digital Banking. Digital technology is not limited with online accounts where consumers is benefited with more than just a mobile banking app or a credit card to pay their bills. Thus digital banks provide consumers with more conventional branches.
Digital strategy reformed the banking sector
Digital strategy focuses on using technology to improve business performance and specifies the direction an organization as well as the tactics used to achieve these changes. The Digital Strategy provides an ambitious road map for the FinTech industry’s continued growth. The digital skills needed for our sector to thrive are the same as any other, as the digitalization of business continues to transform and enable growth across all industries.
Financial institutions looking to become digital-enabled face of two main challenges as below.
- The business models and personal skills that have served the industry well for decades has been disrupted by digital innovation and not processed in the new banking ecosystem.
- Attempts to create new, practical models for the digital age will stumble unless people and organizations are willing to disrupt themselves.
Because of the existence of current cost-effective business sectors in the past, there is a normal lack of incentive to identify fundamental new ways to business. This results to insufficient decisiveness to commit human or financial resources to experiment with new models.
Landscape design is a self-regulating profession and art of tradition design, practiced by landscape designer. Digital Transformation in organizations is based on the principles of a holistic problem-solving framework like Landscape Design Thinking which aims at practical and creative method for problem-solving evolved from fields as varied as engineering, architecture and business.
Process of Design thinking in banking
Hereby, Let’s see the each stage of design thinking in banking
- Empathize Stage: Digital banking user’s aims to feel and emphasize with the problem and try to solve which is achieved by collection of large amount of data about business goals, customer needs and pain points, and product features.
- Define stage: Analyze and produce collected data to define the core problems and prioritize key data. The Key principle is to understand the value we could bring to customers and reason of cutomer preference.
- Ideate stage aims at uncover the best way to solve the previously defined problems by step out of the box and create dozens of potential solutions.
- Prototype stage: Dozens of previously ideas about end solution could reworked and moving toward designing the final version. Thus, narrow down multiple solutions into one and delivered as visual prototypes and could be tested by users and business owners.
- Final Test stage is to ensure that our visual prototype provides the needed solution by return to the first stage and repeat the process according to the previously defined problem.
Gamification is the process of using game mechanics in situations and for applications that are not conventional games. The main reason for using these techniques within a financial services app is to give people a reason to keep saving. The benefits of saving and hitting savings goals often aren’t enough to incentivize people, leading them to give up or forget about their aims.
Gamification in Fintech Applications
Apps that make use of gamification techniques get people wanting to come back for more each day. They do this by allowing users to set particular goals and the apps then offer rewards to users. The sense of immediacy and gratification they provide drives downloads and usage.
- Has the ability to lower the barrier of entry to financial apps
- Often have more loyal user bases and offer a more complete and satisfying user experience.
- Provides users with extra motivation to focus on their personal finances and work towards their goals.
From a fintech point of view, gamification is best at achieving engagement which is vital important to get people interested in fintech applications. Gamification is becoming ever more common in financial apps which won’t disappear lifetime. It’s helping to engage consumers by app designers and developers.
FINTECH is speculated to be financial technology and unit in the main start-up technology and financial expertise corporations, providing domain-specific merchandise and services that unit already provided by various ancient financial institutions like banks, quality management companies, and insurance companies. FinTech inaugurated among the Nineties once the net and e-commerce business models arose and in future quantity banking in most components was already absolutely digitalized. Financial technology has been worn to switch investments, insurance, trading, banking services and risk management. It’s arising trade that uses technology to spice up activities in finance. Therefore the creation of economic technology and its innovation unit aimed to remain up with ancient monetary ways that among the delivery of economic services.
- Big data: Leading bank uses huge information for improved risk assessment and early warning of risk challenges and giving retirement designing, IRAs, mutual funds, insurance uses huge information Analytics to predict and stop client shake.
- Robotic method Automation (RPA) in Banks can confirm information or business connected causes for exposure movement to manage monetary risk and validate client due diligence info for consumer onboarding
- Blockchain Citibank and Deutsche Bank deploy block chain school for payment and settlement of order currencies, quality registries and derivatives contracts. conjointly information system exposes its blockchain based mostly platform to facilitates shares transfer and sales on its personal market
- Cloud Computing Leading USA bank and Indian Bank hosts its human resources, accounting and operations apps publically clouds exploitation standard, pay-on-demand model
- Artificial Intelligence Leading USA bank uses for risk assessment processes and anti-money lavation watching and supply contextualized responses for sensible client support. Moreover, Fintech uses AI for advanced machine learning algorithms to supply underwriting services to a lot of effectively value personal credit risk
- Cybersecurity applications improved IT governance, risk management and compliance uses security analytics to watch its international locations and bring home the bacon complete visibility into network traffic, users and information for reduced incident response times.