The Future of Digital Banking in North America: Digital banking trends banks cannot afford to ignore
Brandon McGee
“The size of the digital banking market surged to more than $8 trillion in 2020 and will grow by 5% from 2021 to 2027, according to Global Market Insight. Incumbents will face rising competition in this growing market from fintechs and other new entrants. Big tech has already entered the arena and will play an increasingly larger role in the future. Apple, Amazon, and Facebook are all now offering credit products and are busily creating an alternative lending market that is estimated to be worth $1 trillion by 2023.
According to Juniper Research, consumers will spend $142 billion via chatbots by 2024. In 2019, they spent just $2.8 billion. A separate survey found that 40% of internet users actually prefer interacting with chatbots more than customer service agents. It is easy to imagine this percentage growing in the future as chatbots become more efficient and intelligent enough to deal with even advanced banking functions. They are well-suited to our mobile age, in which customers expect to be able to speak with banks from anywhere and at any time via their smartphones.”
