The just-concluded Mobile and Disruptive Technology Forum (#MoDiTECH2019), presented participants the opportunity to discuss and deliberate on the Power of Digital Services.
One of such discussions was an expository lecture on the impact of digital solutions on financial services led by Global Accelerex Limited, a leading financial technology company in Nigeria.
The MD/CEO of Global Accelerex Limited Mr. Tunde Ogungbade was represented by the Chief Product Officer, Mr Chuks Anakudo.
He started by reminding the audience the history and evolution of payments and transfers in banking; from cheques and passbooks, cards, web and mobile payments, BVN to mobile money and agent banking, revealing how much change has happened in the banking system between the years 2012 and 2018.
He explained that digital solutions for payments and funds transfers have continued to grow because they provide for the consumers’ ‘wants’. He noted, however, that the payment solution of tomorrow must go beyond satisfying the wants of these consumers. They must offer seamless, timely and convenient delivery in addition to the users’ entire digital experience.
He reiterated that banking has become contextual, meaning that it is prone to changes based on the need of the customers, hence the entry of Fintech companies.
Anakudo shared that because of the continually invented digital solutions, the following changes will be noticed in the financial sector, as time goes on;
- Financial Services will be built on trust and utility and more customers will be on the lookout for utility. This will further drive digitalization.
- “The most valuable payment channels will increasingly be based on the digital experience factor. And the question, ‘How easy is the process?’ will be often asked.”
- Bank-led API interactions will be useful in the future
- There will be full biometric authentication processes and reduced cases of Know Your Customer (KYC) processes which have been known to feel like Kill Your Customer with documentation
- Blockchain technology will be used more as it promotes trust, runs on cheaper cost and has no central authority
- There will be opportunities for alternative financing
- AI and IoT technologies will be employed, algorithms coming to play more in the sector
Mr. Anakudo noted that financial sector players must embrace digital onboarding for customers, digital relationships management and digital engagement in order to continue to grow.
He ended by saying, “Disruption is imminent and no one, including the financial sector, will be spared.
Global Accelerex is the platinum sponsors of #MoDiTECH2019.