Traditional banks will fall even further behind in market share and customer experience due to the global coronavirus pandemic. The pandemic has accelerated trends that were already shaping business. These include greater inclusion of tech into our everyday lives. Coronavirus has ushered in a new world, with digitalization and new technologies fuelling the changes. This can be seen by demand soaring for video-calling platforms, such as Google Hangouts, Skype, FaceTime, and Zoom amongst others, as more people than ever work remotely.
It’s also underscored by the increasing use of fintech apps which allow users immediate, on-the-go, 24/7 access to, use, and management of their money. The fintech firms, which offer mobile banking, savings and investment apps, and peer-to-peer lending, amongst other services, now have a decade of development, experience, and expertise over many traditional banks. As even more people are now embracing fintech due to COVID-19-triggered social distancing, isolation, and lockdowns, and as the apps are growing in popularity due to their convenience, increased security, and as people become ever-more tech-savvy, it’s likely that ‘bricks and mortar’ banks will fall even further behind in market share and customer experience.