How Will Big Data Impact Financial Services?

Huge stores of data can be read by computers to identify patterns that directly link to our behaviour and interests.

11:54 20 February 2019

The information that’s examined is widely known as Big Data — and it has the power to transform how money is used.

As a result, it could impact financial services across the globe. Let’s explore how.

Financial Technology

Data can enable banks to enhance their performance. However, it’s redundant if you don’t have equipment to analyse it with.

To keep up with transformations in the data world — which includes Big Data — businesses are being encouraged to invest in specialist data analytics tools. These Financial Technologies (Fintech for short) could help companies to master big data analytics.

Fintech experts work to improve financial services — and seem to be succeeding in this goal already.

Because of Big Data and other Fintech facilities, banks can gain a clearer insight into customer experience. In turn, they could dramatically improve performances within the financial sector.

Customer Satisfaction

Big data can be used to read and analyse client satisfaction rates. And so, banks could benefit from this tool.

Drawing on results from data analytics, they may have the potential to heighten the quality of their services. Big Data could even revolutionise the customer banking experience — without any face-to-face interaction.

As banks become more internet-focussed (it was reported last year that 69 per cent of UK adults bank online), online services have become a high priority within the sector.

Thanks to Big Data, it is easier than even to improve client contentment for financial services in the digital age.

Simpler Banking for Everyone

With Big Data analytics tools, banks don’t need to wade through paper copies or PC documents to locate client information — they can access it within seconds.

Because of this, they can speed-up customer response times. In turn, they can amplify their overall performance and boost people’s experiences across the industry, from personal customers to business professionals.

In addition, this technology transformation could raise levels of inclusivity in banking. Those who rely on mobile apps or the web for money management can reap the rewards that Big Data brings to online financial services, such as faster response rates.

So, it could increase how many people banks are able to support.

Technology is rapidly changing — and its advancements can affect our lives. Therefore, it’s no surprise that it has started to influence how we bank.