Sep 2, 2019
Finance and Banking: What is the future? Welcome to the Onffline World.
In this article, we intend to show you what is the future of finance and banks in the online panorama and the onffline trend which is imposing itself.
Finance and Banks Status
But we also have those banks that have suffered in the last two decades from processes of globalization and rationalization which have done quite the opposite, advocating for an adaptation increasingly closer to the local context of each country or region.
That is, banks such as HSBC or Citibank, global to some extent, which act as a sum of local banks since they do not offer standardized services that provide customers between different countries.
It sounds paradoxical and it is. Finance and banking like N26 or Revolut are born in the middle of this decade and since then, the way in which financial services are provided begins to change radically in order to adopt a global vision and, of course, an online one.
Given all this context, it is essential, for banks and Finance, to know which direction the market is heading to, not only in its global / local perspective, but also in its online / offline side.
What is the real trend: online vs. offline?
We still cannot assert which will be imposed, but we do have certain data which confirm that most daily transactions are still carried out offline.
However, in the panorama that will be presented to us, we will have the financial sector creating face-to-face businesses in order to adapt to the market and, for their part, the most traditional banks will have to improve their online services in order to compete.
For example, in the retail field, Amazon has already taken the lead by connecting the online world with the offline one through its recent investment in, for example, Deliveroo, the home delivery disruptor.
In short, an undeniable current trend is the increasingly close connection between the face-to-face world and the digital one. Welcome to the onoffline world.
Why offline remains?
Simply because we have social and physical components that make the presential offline processes undeniable, such as going to the massage therapist, going for a beer or catching a plane. And all these processes require the use of financial services: a payment, the request for a loan or the opening of insurance.
Therefore, we have two challenges in the financial sector for both Finance and banks:
- Create global initiatives that allow breaking the borders when it comes to offering services, as the most disruptive Finance already do.
- Connect this global experience with the social needs that take place face-to-face.
Towards a frictionless and onffline consumption for banks and Finance
I am a Madmen fan and this series introduces the concept of “Sales Carousell”, which sells the idea of consuming a product systematically and without friction.
Based on this concept, we tell our customers what they can do with our technology:
Once you are identified, you can consume and contract a multitude of services, through any channel and at any time.
Above all, this will change exponentially with facial authentication. According to an AT Kearney study, since Apple introduced FaceID on its iPhones, payments through its wallet have increased 45% in just the first year.
How important is VideoIDentification in these changes?
Thanks to our Video IDentification technology, performing any onboarding process to gain a new customer in just few seconds from a cellphone, PC, kiosk or ATM is now a clear reality.
VideoIDentification is becoming the new world standard for onboarding processes, selfies’ technologies are not sufficient due to their lack of security.
In fact, there are already 38 countries on 4 continents that have approved VideoIDentification as a process for digital onboarding of customers.
What about the facial biometric authentication?
The biometric facial authentication allows a frictionless experience. SmileID is our biometrics service that facilitates the contracting and connection between channels through a simple and happy gesture: smile.
In short, the concept of “Sales Carousel” is more possible than ever, smiling at life.
From here, we leave some information that may be of interest:
If you want to see all the cases of use in the financial sector that allow biometrics, you can click here.
If you want to know how 38 countries are regulating the video to do the onboarding, contact us and we will comment on it.
For a more complete information you can visit the full post here: The future of Finance is onffline.