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Top Fintech Trends: 5 Things Boosting Financial Technology in 2019

Liudmyla Kyryliuk
Liudmyla Kyryliuk
Marketing Content Manager

Fintech is a new area evolving and drawing attention. Every year Fintech trends change, but it always tends to qualitative innovations. Following up the newest tendencies, we formed top 5 trends in Fintech to watch in 2019.

What Are The Top FinTech Trends for 2019?

1. Finance Goes Mobile

The financial sphere is becoming more client-focused. As the result, mobile technology is more entrenched in this sector. The finance industry, like many others, is being driven by mobile technology. And in the future, this tendency will continue to rise. There are predictions, that by 2019 mobile banking and payments will cross the $92 billion point.Mobile Fintech simplifies some crucial financial process for customers, thus saving their time. For example, mobile allows people to manage their finances without visiting the branch. Customers crave for technologies that will ensure accurate data management eliminating human-intermediates.Mobile app N26 is a vivid example of such changes. This is a financial application that enables to manage personal expenses via a mobile device.

top fintech trends

2. Millennials are The Key Audience

Millennials are the largest part of financial consumers. This group has already reached the age of significant financial decisions. Thus, they become the target audience for all banks and financial institutions. These people are involved in digital technologies and do not image their lives without mobile communication. To connect with millennials, banks need a comprehensive approach engaging them as customers. 67% of Millennials want digital banking tools from their banks. This stat shows a great gap between Y generation and financial institutions. At the same time, this is an incredible opportunity.

Yet, financial companies are taking some steps toward engaging Millennials. They, for example, integrate financial services into popular digital tools. An example of a startup that matches the needs of the younger generation is Paykey. It is the first payment keyboard. The startup is designed to fix the gap between applications and social networks. Thereby, make banking operations more effective. PayKey technology allows banks to offer P2P-payments through any social network or messenger.

top fintech trends
 

3. Shift to Conversational Banking

Financial industry intercepted some trends from a retail sphere. Among others, we want to draw attention to conversational banking. With emerging AI solutions, retailers started to put it in place for sales reasons. They integrated chatbots into messaging application. Thus allowing users to buy goods and services during chatting. It calls conversational commerce. Banks modified the idea and started using AI for own purposes. Now, conversational banking enables customers to make payments via messaging apps. AI-powered banking apps can handle answering customer questions, servicing accounts and other banking tasks. Consumers are also into conversational commerce. They want to keep in touch with the companies and get an immediate response. And using ordinary for users application for financial purposes brings successful results. So, in 2018, we expect to see significant growth of conversational banking.

top fintech trends

4. Biometric Identification Comes in Handy

After moving to mobile, security became the top priority for financial services. Banks start to refer to biometrics for ensuring full data protection.  Banks try to find technologies reducing the friction and make customer’s life easier. It could be a combination of voice, face identification, fingerprints. Biometrics force out traditional means of security. For example, customers with newer iPhones model can ditch the password for fingerprints or face scanning.

 It looks like biometric identification is becoming mainstream in the financial sphere. Although, near 80 % of respondents from the financial sector already perceive biometrics as a mainstream.

5. The Blockchain is Becoming Mainstream

Blockchain technology is at the top of popularity in the Fintech industry. Due to security reasons, the financial institution switching to blockchain solutions in their operations. This makes blockchain an important tool in building trust between consumers and business. In 2018 blockchain technology will be in great demand among the financial industry. According to PWC survey almost three-quarters of financial services industry plan on adopting blockchain technology by 2020. Such popularity will benefit specialists who have strong knowledge in this area.

To sum up

FinTech has reshaped the traditional financial services sector and it seems technology will continue disrupting the industry in 2019 and so on. We have witnessed how the general concept of finance transformed. Fintech opened the way for institutions of the new generation: startups and digital banks, which approach their costumer using unusual tools.

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