Financial Services is an ambitious industry when it comes to digital transformation. As they lead the charge on IT spending, they have higher expectations from 'third platform' technology than any other sector. Indeed, 93 percent of organisations plan to invest in their IT over the next five years.
The industry is fast learning the importance of technology. Competition is on the rise as traditional banks struggle to keep up with agile FinTech start-ups. These newcomers are fast overtaking the outdated systems, processes and bureaucracy of incumbent banks, which restrict employees and irritate customers.
The need for IT to enable innovation, rapid catch-up and business growth in Financial Services represents an opportunity for partners. Whether you're an existing finance partner or looking to expand into new sectors, ISV partnership can help you expand your services. If you do, not only will you empower the industry's digital transformation, your revenue will rise too.
Firms need IT investments to help them stay agile and competitive
Nowadays, people want more from financial services. They demand the best and they want it now. To respond to this increased demand, the industry is taking a lead in global IT investments. They realise the need to utilize technology to empower customers and employees, as well as attract Millennials. Without this, they won't stay relevant for long.
Financial organisations are looking to attract customers by focusing on:
Mobile banking. One of the reasons smaller, FinTech firms are starting to become successful is their use of mobile apps. In 2017, this is what customers expect. They want quick, easy 24/7 banking that isn't riddled with extra charges.
Compliance and security. GDPR and security concerns are two of the biggest hurdles for Financial Services today. The industry as a whole needs to address these issues immediately.
Automation and collaboration tools. Banks need to update their back-office processes and internal communications. In doing so, they can reduce bureaucracy while increasing engagement and efficiency.
ISV partnership is a great way to offer unique solutions to these problems, while getting a slice of the IT spending cake.
ISV partnerships: Expand your services faster and smarter
Partners can benefit from opportunities within financial services by expanding their services through ISV partnership. This applies whether your company currently provides services to financial firms or is targeting new verticals. Either way, this is a market which can increase your margins, fuelling business growth.
Usually, developing a vertical focus takes a lot of time to build up - especially if you're new to a sector. But, it doesn't have to be this way. ISV partnership puts you in the fast lane as you can utilize each other's strengths and create unique offerings quickly.
Here are some examples of ISVs you could work with:
VeriPark allows banks to keep up with and exceed the pace of digital transformation, without the need for expensive infrastructure.
One of the biggest obstacles to digital transformation in financial services is knowing what the customer wants. VeriPark's product, Next Best Action, provides actionable data analysis allowing banks to improve engagement and the customer experience.
Watch Mark Foyster, VP of Worldwide Sales at VeriPark, explain how they help banks get to know their customers.
BioCatch provides cyber security for banks using biometrics, while maintaining a seamless digital experience for customers. Their product helps banks protect data and identities through web and mobile apps, without lengthy authentication processes.
Watch Richard Perry, VP of Sales at BioCatch explain how the technology works for banks and their customers.
ISV partnership boosts business growth and profitability
By 2018, banks in Scandinavia, the UK and Western Europe are set to have more than half of new revenue coming in from digital channels. Software providers, in partnership with ISVs, can provide financial services firms the digital transformation which keeps them competitive. Why? Because partnership is profitable. According to a 2013 study by IDC, businesses earning 30 percent or more of their revenue through partnership see faster growth than those who don't.
Financial services organisations are craving innovation. They are asking themselves what the next big thing will be in their sector. It's up to you to show them. Invest in your business by bringing banks into the 21st century.