Banking on digital disruption

The future of financial services is all about digitalization. This much is well known. What is less well known is that this is also the reason why banking transactions might be driven by non-bank disruptors in the coming years. How well will future innovations such as e-currencies be integrated into the banking industry? Will cash become obsolete? Jeffrey Bahar, Deputy Chief Executive Officer of Spire Research and Consulting, reflects on the drastic changes happening in financial transactions today.

The combination of digital cash and virtual currencies has inevitably curbed the usage of cash in developed markets and across many Asia-Pacific countries. Cash as we know it might lose its status as the dominant form of payment by volume in the coming years – unless banks create innovative new modes of payments to counter the trend.

Bahar opined that mobile penetration would continue to rise in the developing Asia-Pacific markets. Unbanked and under-banked market segments would increasingly experience banking services for the first time via their mobile devices. Indonesia, for example, was a leader in micro-payments to previously untapped customers in the underbanked market.

At the same time, more and more non-traditional players, including Google, Amazon and Apple, were set to enter the market and provide mobile wallets to the growing customer base. For instance, Singapore’s DBS Bank combined Near Field Communication (NFC) Technology with its mobile wallet, One Tap, to enable customers to make payments just by tapping their devices. Needless to say, more than 140 million people across the globe would continue to place their trust in one well-established form of digital wallet – PayPal transactions.

Bahar highlighted that banks should be wary of competitors like Google wallet, as these could potentially make bank transfers obsolete in the future. There was a need for banks to adopt digital solutions provided by such technology firms, so as to design efficient products for digital and non-digital shopping.

Digital payments will face hurdles in the form of both privacy and security related issues. Nonetheless, digital transactions were sending a loud and clear message that personal technology will play a pivotal role in the future of retail financial services.

https://www.spireresearch.com/newsroom/media/banking-on-digital-disruption/

Comments

India ranks among the world’s top compact SUV markets!

India overtook Japan in 2017 as the third largest manufacturer of compact SUVs. Big players such as Renault, Mahindra & Mahindra, Ford Motor, Hyundai Motor, Maruti Suzuki and other SUV manufacturers sold 457,698 compact SUVs in 2017 – over four times the unit sales in 2015, at 107,634. While 2016 saw shrinking sales for this vehicle category in China and the USA, sales in India grew nearly 50% from 307,365 units in 2016. Will India overtake China as the world’s largest compact SUV market? For more information, click here.

A room-sized 3D printer?

Torbjørn Ludvigsen is a Swedish inventor whose company – Replicating Rapid Prototyper (RepRap) – is busy raising funds to develop the Hangprinter. This suspended 3D printer uses the walls and ceiling of a room as its “frame” and can be used to print furniture-sized objects in an entire room. While cable-driven 3D printers already exist, this 3D printer is different. It uses a frameless 3-D printing system which is cheaper to assemble – a mere USD250. It uses an entire house as a 3D printer frame and all parts of the suspended 3D printer are mounted on a single moving unit. The self-replicating machine is designed to manufacture a large fraction of its own parts. Will RepRap revolutionize the construction of low-cost buildings for developing nations? https://www.spireresearch.com/newsroom/spirethoughts/a-room-size-3d-printer/

Chocolate scent to increase book sales

Retailers might just use chocolate scent to induce shoppers to linger on in their bookstores to boost sales. Researchers in Belgium discovered that potential customers are more likely to end up with purchases if the store is filled with the scent of chocolate. Such pleasant scents can improve the store environment and lead the customers to explore stores more; often resulting in purchases. Marketers could strategize by exploring different scents to lure customers. The scents used should correspond to the products on sale for more impact. For instance, a surf shop can consider having the scent of the salty smell of the sea to provide its customers a whole new shopping experience. Which scent are you most drawn to?

How will policies affect the construction industry?

- Mr. Japnit Singh, Senior Director, Singapore and India, Spire Research and Consulting India, as the world’s seventh largest country by area and second biggest by population, is one of the most dynamically growing, but largely untapped construction equipment markets. From 2013 to 2020, it is estimated to grow six times to a size of USD20 billion to USD25 billion. The Planning Commission, Government of India, jointly with the Indian construction industry has set up Construction Industry Development Council (CIDC) to take up activities for the development of the Indian construction industry. The Council, for the first time in the country, provides the impetus and organizational infrastructure to raise quality levels across the industry. This helps to secure wider appreciation of the interests of construction business by the government, industry and peer groups in society. CIDC is a change agent to accelerate a process of self-reform that should enable the industry...

Zapping away viruses

A new germ-zapping robot manufactured by Xenex in the U.S. could emerge as a saviour against deadly viruses like Ebola. It uses pulses of high-intensity, high-energy ultra-violet rays to crack bacterial cell walls and kill virus-afflicting pathogens. It has been successfully tested on 22 different microorganisms – destroying viruses similar to Ebola. Standing at 5 feet and bearing the nickname “Saul”, the ultra-violet rays it emits are 25,000 times brighter than fluorescent lights and can kill pathogens that are generally missed by the naked eye. A few surgical teams in the United States have been trained to use this technology on Ebola patients. According to research, hospitals with access to this technology have been able to bring down general infection rates by 60%. It is already being used in 250 hospitals. Can such technology breakthroughs arrest global pandemics in the 21st century? https://www.spireresearch.com/newsroom/spirethoughts/zapping-away-viruses/

The Knowledge to Decide

Search This Blog