LONDON—Banking and financial services firms plan to increase their IT spend significantly over the coming 12 months to improve both front and back-end technology, a new study shows.
Tech firm Yobota commissioned an independent survey among 250 senior decision-makers within banks and financial services companies globally. It showed the vast majority (65%) plan to invest heavily in technology over the coming year, with 67% also planning to diversify the kinds of technologies they use, the survey stated.
Improving the quality of their core technology systems is a priority for 74% of firms. Similar numbers (73%) plan to invest in better data analytics to enable more informed decisions, while 67% will invest in application programming interfaces (APIs), and 65% in payment technologies, noted Fintech Times in its analysis.
Additional Findings
Other findings include:
· Three quarters (74%) of banks and finance firms intend to improve customers’ digital experience by upgrading their website or app. Meanwhile, 63% plan to automate customer interactions through chatbots and robo-advisors.
· However, only 48% are confident they have the right approach to adopting new technology to ensure they can adapt quickly to changing customer demands over the coming year.
· In terms of goals, Yobota’s research found that 73% of finance companies are looking to invest in new tech over the coming 12 months with a view to improving their ability to acquire new customers, with 67% doing so to increase sales to existing customers.
· Three in five (59%) said they intend to pursue a partnership with a technology provider to achieve their digital transformation projects, Fintech Times added.