Retail banking industry Archives - Business Intelligence

Tag: Retail banking industry

ATM Managed Service

Understanding Evolving Perspectives Due to COVID-19 in ATM Managed Service and Retail Banking Sectors

The global financial sector is constantly evolving its business outlook and strategies to cope with regulatory and competitive pressures, stressed interest rates, and dynamic customer expectations. The COVID-19 pandemic poses greater challenges to companies in ATM managed service and retail banking markets as they strive to manage daily operations while ensuring services are not disrupted. Amidst these changing market conditions, retail banks are encouraging customers to leverage online banking facilities or rely on ATM centers for basic transactions. As a result, ATM service providers need to upscale existing technology to prevent fraudulent practices and ensure seamless transactions to their customers.

During this time of upheaval, it is essential to have the right guidance and market information to plan your next course of action. Is your business unprepared to face the ongoing crisis? Request a FREE proposal from our industry experts to know more about our COVID-19 support solutions for business.

How the retail banking sector will be affected

Decline in Cash Flow and Credit

Government restrictions due to COVID-19 across countries have disrupted business operations in the end-user sectors. This includes industries such as retail, logistics, and manufacturing. Also, due to lockdowns and economic uncertainty, businesses have restricted spending (new investments). Also, they are not willing to avail credit from banks, which in turn is leading to a decline in cashflow in retail banks.

Increasing Focus to Reduce In-person Meeting and Physical Interactions

Banks are evolving by implementing digital technologies such as remote operations, advanced kiosks, and virtual meetings (video KYC) to replace in-person meetings and minimize physical interactions. For instance, a prominent multinational investment bank and financial service provider has mandated work from home for its employees in the UK from February 2020 due to the COVID-19 pandemic. This ensures a reduced physical interaction between both employees and customers.

ATM managed service providers need to be aware of

Introduction of Advanced ATMs

The ATM managed service providers are introducing Mobile Cash ATMs, a new contactless ATM, enabled with QR code-based operations. Mobile Cash ATMs allow customers to scan the QR code with the help of smartphones to reduce contact with ATMs. Globally around 325 companies are currently working on advanced ATMs equipped with a voice-enabled feature for entering the PIN and restricts contact with ATMs.

Struggling to stay relevant amidst the fast transformations in the banking industry? Get in touch with an industry expert to know how our market intelligence solutions can help you keep a close watch on the changing market trends and make strategic moves to adapt.

Difficulty in ATM Service Operations

The COVID-19 pandemic has affected operations across the ATM service market globally. Cash replenishment and on-site repair services is a major challenge for ATM operations and service providers. Take the example of an ATM service provider in India. It faced disruption in servicing and refilling during the lockdown. During normal circumstances, the company used to service and refill around 60,000 ATMs. But during the lockdown, it was able to serve only approximately 30,000 ATMs in two weeks’ duration.

Download Infiniti’s FREE resourceKeeping up with transformations in the ATM managed services market, for comprehensive insights.

Banking industry

Coping with emerging trends in retail banking 2020

Although many have predicted the doom of traditional retail banking with the rise of new entrants especially in fintech that focuses on superior customer experience, we believe that traditional banking companies still have a bright future. The emerging trends in retail banking such as AI and RPA are aimed at enhancing customer experience and matching performance with that of innovators in the banking industry. Apart from these, we can also expect several transformations in the approach and operations of banking companies. Infiniti Research has worked with dozens of banking companies across the globe and played a pivotal role in helping them to adopt agile business strategies to survive the dynamic market conditions. Based on our observations and expertise, here are some of the emerging retail banking trends that players need to be prepared for in 2020.

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Emerging trends in retail banking 2020

Emerging trends in retail banking

Reorganizing around customers rather than products or channels


In 2020, an interesting emerging trend in retail banking that we can expect to see is that banks will gradually move their focus away from products and services and begin organizing themselves around creating exceptional customer experiences. They will aim to develop the ability to view customers as a single unit by recognizing their uniqueness and tailoring offerings to suit their needs rather than being ‘pushy’ to buy banking products or avail different services.

The growth of social media

Social media is not just one of the emerging trends in retail banking, but it has become widely popular across industries. In 2020 and beyond, retail banking companies will embrace social media platforms as a primary source to connect, engage, inform, and understand their customers. It is also expected to become an important platform where customers research banking products/ services and make a purchase decision. Mastering social media capabilities will be a core competency for retail banking companies to cope with the emerging trends in retail banking.

As the pace of change is increasing in the retail banking space, companies must ensure that they are well positioned to align with the emerging trends in retail banking. Get in touch with an expert to learn how we can help you stay updated and cope with the retail banking trends.

Cybersecurity in building customer trust

Security of transactions is one of the most crucial factors that banking customers consider while choosing their banking partner. To avoid cybersecurity glitches that have occurred in the past, we can expect to see several top banking companies investing heavily into preventing cyber-attacks. This year onwards, you can expect to see leading banks develop cyber-security strategies that are aligned with their business objectives, risk-management protocols, and regulatory requirements. Since several retail banking companies lack the ability to tackle this issue, they might partner with third-parties to provide cyber-security assistance.

Two factor authorization to become common in transaction authorization

Although biometrics is believed to be unique, it can often be replicated and can result in fraud. As a result, two factor authentications will soon become mandatory and one of the most notable emerging trends in  retail banking industry. This means though retail banks will allow fingerprint or voice recognition in transaction authorization, it will remain tied to a replaceable physical device such as a smartphone.

Know more about our services for companies in the retail banking sector.

The Evolving Retail Banking Landscape in Canada

Retail banking

Over the past couple of years, Canadian banks have set a global standard for their stability and best practices. However, the pressure on retail banking companies and other financial institutions in Canada remains high. This is making innovation and customer satisfaction more important than ever before for players in the retail banking sector. Innovators in the retail banking industry are moving towards a seamless, one-stop-shop approach to service and engagement via digital platforms that bring products and services together to provide a unified customer experience. Interestingly, technology is not the only factor that’s disrupting the industry; it is also characterized by the rising need for customer-centric experiences, and this is driving every transaction and touchpoint for companies in the sector. Here are some critical retail banking trends that experts at Infiniti expect will lead the momentum of the financial sector in Canada.

Canada’s retail banking sector will see several opportunities to capitalize on and challenges to dodge this year. Not prepared with the right strategies to thrive? Request a free proposal to know how our solutions can help you keep a close watch on the market and formulate effective strategies to succeed.

Retail banking trends in Canada

Unbundling services

Canada will soon be exposed to open banking regulations that will fragment traditional retail asset and liability gatherings. Open banking refers to common interfaces among banks and third parties to facilitate more competition and also create new business opportunities. Although retail banking companies had sought a vertical approach that offers services from top to bottom over several decades, now several new entrants in the retail banking industry want to be ‘horizontal’ and dominate an attractive specialty.

Planning to Invest in Canada’s retail banking industry? Get in touch with our experts for more insights on the benefits of leveraging our solutions for better decision-making and choosing the right market entry strategies.

Rising interest rates

Interest rates are gradually rising from historic lows and consumers are soon bound to be challenged by debt levels. The retail banking industry will reflect the changing environment with an increased focus on the impact of rising interest rates, transparency in lending, and innovative new value propositions. The continuing rise in rates may result in personal loan offers to decline, however lending solutions such as installment loans and point-of-sale financing will shift the market towards time-sensitive credit sources.

Platformification

Innovation is vital for retail banking companies to effectively meet consumer demands. The financial services industry in Canada now largely revolves around the digital age and rising consumer expectations of convenient and frictionless digital access. As a greater number of consumers seek streamlined solutions, retail banking companies in Canada will soon shift their focus to providing ‘one-stop-shops’ that bring both products and services on a single platform.

Learn more about Infiniti’s solutions for companies in the retail banking industry.

retail sector

Why Sweden’s Retail Sector is Captivating International Retailers

Sweden is considered as an ideal market by several international retailers, primarily due to factors including highly skilled labor force, sophisticated consumers, innovation and technological advancements, smooth business procedures, and stable economy of the country. Sweden has been consistently ranked as one of the most competitive, globalized, and productive countries in the world despite having a relatively smaller population. Furthermore, the country’s dominance in the Nordic marketplace raises the attractiveness of retail sector investments in Sweden. The country also has the highest retail sector attractiveness when it comes to establishing new business ventures, and international retailers continue to selectively expand in the Nordic region at a slightly faster rate when compared to Europe’s key cities at an aggregated level. Moreover, Sweden’s central location and strategic gateway to Northern Europe have also made it a convenient logistics hub and place for consolidated business operations.

Whether you want to gain access to the market or world-class R&D competence and innovation, our specialists will provide you with data, information, and advance market intelligence solutions for everything you need to know about the retail sector in Sweden.

retail sector

Why is Sweden an ideal market for international retailers?

Strong retail sector growth

Fueled by steady population growth and rising disposable income, the Swedish retail sector has enjoyed consecutive growth over the past two decades. Growth in both private consumption and retail sales is stronger in Sweden than most of the European countries and is forecast to outperform most of these countries in the next few years. Swedish consumers have increased retail spending for more than a decade and retail sector sales account for nearly 40 percent of the total household expenditure.

Rising population

Sweden’s population is growing steadily, especially in the urban areas. Net immigration, increasing birth rates, and low mortality are key factors that are contributing to this growth. This trend of rising population is expected to continue in Sweden, creating a broader set of audience for the retail sector companies here to target and serve.

Growth of e-tail

Online sales account for a sizeable portion of the total retail sector sales. Items including consumer electronics, clothes, and books tops the list of most sold of items through e-tail. The consumers in Sweden also indulge in shopping from international sites, especially in the case of fashion items and accessories.

Based on your company’s special needs, our experts can provide tailor-made solutions to overcome your key business challenges. Get in touch with our experts to know more.

Shopping tourism

The fashionable lifestyle and five-star culinary adventures are garnering the attention of travelers from around the globe to Sweden. Also, tourism is the fastest growing industry in Sweden. This has had a significant impact on retail sector and shopping culture in the region. Revenues from international visitors have doubled in the last five-years and visitor volumes have increased faster than the European average. This trend can be observed in Stockholm, where luxury brands compete for the affluent traveler’s attention.

Growth of e-tail

Online sales account for a sizeable portion of the total retail sector sales. Items including consumer electronics, clothes, and books tops the list of most sold of items through e-tail. The consumers in Sweden also indulge in shopping from international sites, especially in the case of fashion items and accessories.

Opportunities for different retail segments

Sweden is well suited to new retail concepts and there are several opportunities available in most segments in the retail sector. The retail market here is unregulated, proving to be highly favorable to international retailers. However, as the global retail industry has expanded rapidly into new markets, the Swedish and Nordic markets have been relatively untapped by international retailers. Traditionally, domestic, and Scandinavian brands have dominated the country, but in recent years new brands have entered the market with further expansion plans. There have been a number of new openings during the last five years. There is also an increasing interest from premium brands among retail sector consumers in the region. Additionally, several international food and beverage players are also increasingly entering the market.

Favorable logistics hub

Sweden ranks top as one of the most trade-friendly and logistics efficient nations in the world by smoothly moving goods and connecting manufacturers and consumers with intentional markets. Sweden is the preferred choice when companies consolidate distribution and warehousing activities in Northern Europe to one central location. From Sweden, major cities in Sweden, Denmark and Norway are accessible by road transport in less than 12 hours, while Finland, Latvia, Lithuania, and western Russia are accessible within 24 hours. Several Swedish locations are used by foreign retail sector companies for centralized distribution in Northern Europe.

Get more insights on Infiniti’s solutions for companies in the retail sector

financial services industry

Enhancing Market Share by 31% for a Retail Banking Industry Client – Market Research Study

Retail Banking Industry Overview

Despite several uncertainties in the financial sector, the retail banking industry in the US has been experiencing positive growth. However, the industry is not free of challenges. Companies in the retail banking industry are facing a new set of challenges over the past decade including rising competitive pressures, organizational obstacles, and customer experience management hurdles. Moreover, with millennials and Gen Z consumers becoming the highest-earning groups soon, companies in the retail banking industry are compelled to adapt their solutions to match young customers’ digital preferences and needs.

RETAIL BANKING INDUSTRY

Recent studies show that around 70% of companies in the retail banking industry have adapted a customer-centric business model. So, have you revamped your traditional banking models to meet the demand of the rising population? If not, our market intelligence experts can help. Request a FREE proposal.

Business Challenge

The client is a retail banking company based out of the United States. The rising competition from community banks, FinTech organizations, and national banks made it difficult for the client to acquire new customers. Also, with the amount of turbulence in the U.S. political landscape, navigating the regulatory and compliance landscape was becoming challenging for the company. Furthermore, the client faced difficulties in creating a personal connection with customers in an increasingly digital world.

As such, the client approached the experts at Infiniti Research to leverage their expertise in offering market research solutions. With Infiniti’s market research solution, they wanted to keep pace with the retail banking industry trends and innovations to serve customers better and build more advanced information security systems. Furthermore, they wanted to win market share and improve customer experience by delivering personalized banking services.

Traditional, time-intensive market research cannot help you to keep up with the needs and demands of a more demanding, smarter world. Contact us to know how our custom market research solutions can help you gather data-driven insights into a new or existing market.

Solutions Offered

As a part of the retail banking industry analysis, the experts at Infiniti Research conducted a competitive intelligence study. Factors such as competitors’ services, communication channels, customers, and pricing structures were taken into consideration. Also, our experts conducted a comprehensive market scanning and monitoring analysis. This phase of the engagement helped the client to identify the retail banking industry size and understand the regulatory landscape in the US.

Furthermore, a customer intelligence study was conducted to help the client understand their customers’ needs and devise personalized service offerings for them. Also, by understanding the latest market trends and innovations, the client was able to change their processes in order to adapt to the fast-changing marketplace.

Results Obtained

With our market research solution, the client was able to optimize their processes, reduce cost, and better serve customers. Also, by keeping pace with the market transformations and trends, the client was able to speed-up decision making and sustain a leading edge in the US retail banking industry. Furthermore, by understanding the entire customer lifecycle, they were able to drive better customer experience, increase customer loyalty, and reduce customer churn.

The company in the retail banking industry was even able to eliminate cyberthreats by building a more advanced information security system. With Infiniti’s market research engagement, the client was also able to devise personalized service offerings for their lucrative customer segments. In addition, the company was able to enhance their market share by 31%.

To sustain a leading edge in today’s competitive marketplace, companies in the retail banking industry will need to keep pace with the market changes and differentiate their service offerings. Request for more info to gain detailed insights into the US retail banking industry.

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