Can Technology Transform Banking Services?

Heather Bellini, a managing director of global investment bank, Goldman Sachs says she expects virtual and augmented reality to turnover US $80 billion by 2025.

She’s not alone in estimating that immersive technologies are the lighthouse that will help guide ships of industry to undiscovered territory.

The UK government is so convinced immersive technologies are the future that they are prepared to invest more than £150m to help pioneer the next generation of creative products and services.

It is expected that by pushing immersive technologies into the public consciousness, it will spark a wider uptake of the technology and shape the perception and behaviour towards virtual and augmented reality.

Investment banks are well-positioned to drive the adoption of immersive technologies by enhancing customer experience on digital platforms. Not only is VR and AR beneficial for financial institutions, it’s also a solution for your business clients.

Immersive Technology Improves Efficiency

New research reveals that VR/AR solutions help deliver better efficiency, drive productivity and improve security. According to the report, 82% of companies trialling AR/VR confirmed the technology exceeded expectations.

Thanks to the ubiquitous smartphone, trends in mobile banking are accelerating at a rapid pace. According to a study performed by Citi, banking apps offer convenience, speed and financial insights.

Established financial institutions are also coming under increasing pressure from fintech startups that have the agility and technical know-how to transform traditional banking standards.

A report commissioned by Immerse UK concluded that immersive technologies have the potential to help drive the UK economy. In the wake of Brexit, UK companies will look to AR/VR to overcome the productivity gap.

Investment banks now find themselves in a position where consideration has to be given to audiences of the future and commit to delivering solutions to key sectors in both the personal and public space.

How Investment Banks Are Integrating Immersive Technologies

Google anticipate there will be a mass adoption of augmented reality over the next three years. With millions of mobile devices calibrated to AR, the banking and finance industry has the opportunity to enhance customer experience and employee engagement.

Engage and Inform Customers

Engaging customers is a challenge the financial sector struggles to overcome. The challenge to convince new customers to invest in your products is becoming increasingly difficult in a competitive where customers distrust investment banks.

AR provides financial services with an exciting tool that can be used to educate and entice customers in an entertaining way. For example, the National Bank of Oman has developed an app that uses augmented reality to showcase the latest deals and offers as customers walk down the street.

Enhance Customer Targeting

The Halifax has incorporated immersive technology to target customers that are buying or selling property. Their AR app provides rich data about the property market, historical information, price advice and current listings among other things.

As investment and capital growth trends emerge in other financial verticals, AR can be used to provide individuals with key information in a fun and engaging way.

Financial Education

The introduction of new technologies that are reshaping the financial landscape can be confusing for employees and customers. AR and VR are ideal solutions for teaching people how to use new systems in a safe environment.

Customer Service

Immersive technologies are being used in a variety of ways to enhance the customer’s banking experience. From AI-powered VA’s to mobile wallets, banking is evolving at a fast pace to meet the demands of customers.

AR is having a significant impact also. So far banks have used technology to help customers locate the nearest ATM and see a visual representation of their balance.

Recruitment and Training

The millennial workforce is more interested in career prospects and job satisfaction than monetary compensation. Firms that provide immersive technologies to improve training and working conditions are favoured by leading candidates.

Companies across numerous industries are using AR to recruit, train and entertain employees. Immersive technology is being used to deliver inductions, provide staff training and encourage employees to read internal communications.

The Technology Turnaround

The adoption of immersive technologies within the financial industry is still in the early phases. Just because the technology is there, it doesn’t mean you have to use it across every faction of your banking services.

Consumers or employees, on the other hand, have rarely experienced banking solutions they have embraced. AR is proving to be an exception.

AR provides more touchpoints for investment banks to interact with customers and enhances analytical data to help improve performance. When the technology is used appropriately, there are huge benefits for employees and customers.

If you would like to discuss how you can integrate VR and/ or AR into your projects  contact us here.