Research gurus Juniper are predicting a whole lot of wrist worn banking by 2020, finding that ‘the use of smartwatches to access ‘push’ banking information services has been steadily gaining traction over the past 12 months,’ to reach that 100 million app figure globally by 2020.
This follows a number of global banks having launched apps for the wrist, while the launch of Apple Watch in April 2015 further accelerated the demand for wearable banking apps.
So, what are the ‘Wearable Banking Use Cases?’
Juniper’s new research, entitled ‘Worldwide Digital Banking: Mobile, Online & Wearable 2015-2020,’ and naturally on sale to relevant parties at relevant prices, notes that ‘while wearable based banking information services has emerged as a key trend, it is perceived by many as a gimmick at present.’
Thus, Juniper believes that while wearables, including smartwatches and glasses, are not suited for conducting complicated financial instructions, wrist based wearables will become a key device for multi-factor authentication - for banking transaction approval in the future.
Research author Nitin Bhas said: “Digital banking has experienced a substantial progression towards personalised computing. We do believe that, keeping pace with technology evolution, wearable banking will witness a faster adoption rate than mobile banking especially amongst millennials.”
More below, please read on!
So, what is the ‘Future of Digital Banking?’
Juniper’s research ‘also observed that although banks have introduced a number of innovative new services in the space, such as AR (augmented reality) banking apps and a cashless money box, these generally have a short life span with the consumers.’
Juniper says it believes that ‘banks and financial institutions will need to offer customers more targeted services, aimed at specific user needs. This will be enabled through customer analytics and big data management platforms from vendors such as Oracle, Infosys, Fiserv and SAP.’
Other key findings include:
- Juniper estimates that the global mobile banking user base will reach 2 billion by 2020, representing 37% of the global adult population.
- SMS based push banking services are on the decline with banks noting a decline in average number of messages sent to mobile banking users.
As per usual, a whitepaper is availabe to tempt you further into considering purchasing the full report.
The whitepaper is entitled ‘Futureproofing Digital Banking’ is available for free download from Juniper’s website together with further details of the full research.