Traditional brick and mortar banks are slowly but surely becoming a thing of the past. Even before the pandemic, physical branches have been disappearing from our streets at a frightening pace. The trend of physical bank closures has largely been driven by the rapid increase in online and mobile banking, followed by a rapid decline in the use of physical branches.
In this article, Traderoot outlines how banks can move into the digital age.
Adapting to evolving customer preferences
The main reason for the shift away from brick and mortar in the banking sector is far greater than a simple cost-cutting strategy. The primary reason for the closure of physical banking branches is the banking industry’s response to evolving customer preferences. While physical banks will not disappear completely, there will definitely be fewer.
Traditional banks need to adapt to customer demand and harness the extraordinary technological progress we are currently experiencing if they wish to remain relevant. Nowadays, people are simply too busy to wait hours in a physical bank when the service or product they require or need assistance with can be provided digitally. Digitisation can not only play a massive role in helping banks become more efficient and boost profitability, but it can also lead to greater customer retention by providing more sophisticated products and services.
How Traderoot can facilitate digitisation
New competition from fintech startups are intensifying the competition within the banking industry. Banking organisations of the future will leverage the power of technology to simplify the access to products and services for customers. We’re not saying that physical branches don’t have a future. There will, however, be fewer of them, and they will look and feel different compared to the branches we know today.
Banking is evolving, so banks will need to adapt in order to remain relevant. Traderoot’s Fintech solutions have the ability to help banks automate countless manual processes, increasing efficiency, enabling more strategic allocation of resources, reducing costs, and decreasing human errors. Our modular fintech products can help banks deploy these solutions more quickly and at a lower cost than if they were to try to develop these solutions themselves.
Traderoot offers a broad range of products throughout the payments and issuing spectrum, including our Payment Service Provider – Channel and Payment Service Provider – Acquirer, our Card Management Solution and our Universal Issuing Platform.
We work together with card associations and payment regulators, and have a well-established footprint of clients throughout the world.
We licence solutions across the entire value chain, from payments to core banking and issuing, both on a traditional licensing model and by offering a managed services platform as a service to clients.
Is your bank ready to move into the digital age? Email us at firstname.lastname@example.org.