If there is one industry in which advanced technology has made a significant impact, it’s the finance sector. For years, the finance sector has been dominated by traditional, ‘legacy’ banks. Who’ve built a reputation for long, slow and tedious processes. But with the introduction of digital banking and fintech, there has been a shift and many banks have embarked upon their digital transformation journeys.
One of the main reasons for this shift is artificial intelligence. Innovation in AI and similar technologies has not only disrupted the way we bank. It’s has also changed the way banks interact with their customers. A large number of customers are digital savvy. Studies show that a majority of people, especially millennials (who form a huge chunk of the current global population) prefer to interact with their banks on their mobile phone. This has forced financial institutions to go digital. Conversations are online. And so are transactions. Even, financial management services are available through digital interfaces.
The scope for AI technology in the banks is large. We examine four potential areas in this article.