Description of the Report
The global market for digital banking platforms was $3.95 billion in 2019 and is expected to grow to $10.87 billion in 2027, growing by a CAGR of 13.6 per cent from 2020 to 2027. Digital banking platforms allow for automated distribution of new and traditional banking services and products directly to end-users through interactive channels for communication. Additionally, many banks and financial institutions are offering digital banking platforms to increase their global customer base and ease their clients.
The increase in the number of internet users and the switch towards online and traditional banks is the main factors driving the growth in the industry. Furthermore, the increasing adoption of cloud-based platforms to gain greater scalability is fueling the expansion of this market. However, compliance and security issues with digital lending platforms hinder the market growth for digital banking platforms. Additionally, the growth in the use of artificial intelligence and machine learning on digital banking platforms and the rise in innovative banking services and corporate investors are expected to generate an abundance of markets.
The retail banking sector is anticipated to expand at the fastest rate and will have a significant market share in the forecast time frame due to the increasing demand for the digital banking platform by individuals and a rise in investments by SME nations in digital banking platforms.
The region-wise market for digital banking platforms dominated North America in 2019 and is likely to remain in that place throughout the forecast. The primary factors driving the region’s expansion are the large players and the rapid growth of technologies in the market. But, Asia-Pacific is expected to see a significant increase in the forecast period due to the growing IT infrastructure and massive investment by public and private actors.
The report concentrates on the market’s potential for growth, as well as the limitations and developments of the global market for digital banking platforms analysis. The study offers Porter’s Five Forces analysis to comprehend the effects of various variables like the bargaining power of suppliers as well as the competitive intensity of competitors’ threats from new entrants as well as the threat of substitutes, and the bargaining power of buyers on the global marketplace for digital banking platforms.
The global market for digital banking platforms is classified by components, deployment models, type, model, and location. In terms of components, it is divided into service and solution. Regarding the deployment model, it is split into cloud and on-premise. For kind, the market is split into corporate and retail banking. The market is divided into mobile and online banking based on the type of banking. In terms of geography, it is studied over North America, Europe, Asia-Pacific and LAMEA.
The major players in the market analysis include Appway, COR Financial Solution Ltd., Edgeverve, FIS Global, Fiserv, Inc, nCino, Oracle Corporation, SAP SE, Temenos, and Vsoft Corporation. The players have adopted different strategies to boost their market share and improve their standing in the industry.
Impact analysis of COVID-19
In the COVID-19 epidemic, where companies face operational issues, many banks and financial institutions offer their customers innovative digital tools and techniques, of which the digital banking platform has experienced significant growth. Furthermore, the increasing use of mobile and online banking in the context of the epidemic among customers is providing an opportunity for growth for the market for the digital banking platform. Additionally, many institutions and Fintech industries have launched attractive banking strategies that help SMEs and consumers embrace digital banking platforms that are creating various potential opportunities in the marketplace.
Top factors that impact
The use of artificial intelligence and machine learning in the digital banking platform
The banking industry has undergone an enormous change in the past few years due to the rise of disruptive technology. Furthermore, the increasing use of artificial intelligence and machine learning within the banks that use digital technology is providing an enormous opportunity for the market. Additionally, numerous banks and financial institutions are using artificial intelligence-based solutions for banking to provide customers with quicker and more effective customer support. Furthermore, to improve the security features of banks, numerous banks are using machine learning techniques to detect fraud before it occurs. The latest innovations are being developed and provide many opportunities for the industry. For example, AI in digital banking solutions can cut down on loan processing time and operational costs. Furthermore, cognitive computing can analyze huge quantities of data, creating opportunities for lenders to improve their risk analysis and management. The increasing number of advanced technology integration over the next few years is anticipated to provide huge opportunities for the market for digital banking platforms.
Asia-Pacific will show the most impressive CAGR of 15.4 per cent from 2020 to 2027.
The shift is from conventional banking into digital.
With the use of smartphones and internet users worldwide, online banking has seen a significant increase in recent years. Digital banking is a practical and widely utilized option for customers since it offers instant access to the services. Many companies and people have recently begun filling requests online to apply for loans rather than undergoing the long-winded loan process. According to the Federal Reserve, about 24 per cent of small-sized enterprises across the U.S. applied for loans online in 2018, much higher than the 21% prior year. Additionally, the digitization of banking has helped improve their offerings and boost their profits. This is changing banks’ focus toward digital banking platforms, thereby increasing the demand for the market to expand.
Digital Banking Platform Market Report Scope and Segmentation
|UNIT||Value (USD Million/Billion)|
|BY REGION||North America, Europe, Asia Pacific, Latin America, Middle East and Africa|
The Benefits to Stakeholders of HTML0
- The report provides a thorough review of the global market for digital banking platforms forecast and the present and projected trends to better understand the future investment pockets.
- The report provides information on the key driving factors, limitations and opportunities, as well as their impact on the global market for digital banking platforms size are provided within the study.
- Porter’s Five Forces Analysis demonstrates the potential of suppliers and buyers operating in the field.
- The quantitative market analysis between 2019 and 2027 will be used to assess the market’s potential.
Market Segments Key Market Segments
- By Component
- By Deployment Model
- BY MODE
- Online Banking
- Mobile Banking
- By Type
- Retail Banking
- Corporate Banking
- By Region
- North America
- The Netherlands
- Czech Republic
- Rest of Europe
- Asia Pacific
- South Korea
- Australia & New Zealand
- Rest of Asia Pacific
- South America
- Rest of South America
- The Middle East & Africa
- Saudi Arabia
- South Africa
- Northern Africa
- Rest of MEA
- North America
- By Component
The Key Market Player
- Appway AG
- Cor Financial Solution Ltd.
- Edgeverve (Subsidiary to Infosys)
- Fiserv, Inc.
- Oracle Corporation
- SAP SE
- Vsoft Corporation