Retail banking to become increasingly virtual
Banks are likely to further embrace new technologies including mobile phone applications in their search for economic delivery methods to retail customers, according to new research out of the United Kingdom.
A new report by London-based researcher Lafferty, Retail Banking 2020, points to the use of mobile phone devices, the expanded use of the Internet and “a growing array of cell phone application services” as being on the banks’ radar.
The report suggested “the key attributes of the plastic card have been replicated by mobile devices”.
The author of the new report, Jerome Svigals, said survival as a banker would depend on the ability to understand and catch up with emerging customer sets.
“New customers will not know paper cheques, paper money or even plastic transaction cards,” he said. “Banking success will depend on the ability to develop and use the new electronic and Internet facilities.”
Svigals suggested that cell phones were the key catalyst for banking in 2020, claiming that in 10 years time face-to-face transactions, bank branches and their staff would be a remote memory.
“The branch functions of sales, tellers and ATMs will be replaced by virtual and paperless branches accessible via your mobile banking unit,” he said.
AUTHOR
Mike Taylor
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