Global Digital Banking Platform Analysis Report 2023: A $7.38 Billion Market in 2022 - Industry Size, Share, Trends, Opportunities, and Forecasts, 2018-2028F

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Jan 22, 2024, 11:30 ET

DUBLIN, Jan. 22, 2024 /PRNewswire/ -- The "Digital Banking Platform Market - Global Industry Size, Share, Trends, Opportunity, and Forecast, 2018-2028F" report has been added to ResearchAndMarkets.com's offering.

Global Digital Banking Platform Market was valued at USD 7.38 Billion in 2022 and is anticipated to project robust growth in the forecast period with a CAGR of 13.82% through 2028, The market is likely to grow in the future due to the global energy transition toward renewables and the rollout of new technologies in many developed countries.

Mobile and smartphone adoption is a key driver propelling the growth of the global digital banking platform market. The proliferation of mobile devices, coupled with the increasing reliance on smartphones for everyday tasks, has fundamentally transformed the way individuals engage with their banks and manage their finances.

One of the primary reasons behind the impact of mobile and smartphone adoption is the sheer ubiquity of these devices. Across the world, people from diverse socioeconomic backgrounds have embraced mobile technology. This widespread adoption has made digital banking accessible to a broader demographic, including those who may have had limited access to traditional banking services.

The convenience factor plays a pivotal role in the rise of mobile banking. Smartphones allow users to access their bank accounts, perform transactions, and manage their finances from virtually anywhere at any time. Whether it's checking account balances, transferring funds, paying bills, or even investing, these tasks can now be completed with a few taps on a smartphone screen. This level of convenience aligns perfectly with the fast-paced, on-the-go lifestyle of modern consumers.

Moreover, the security measures employed in mobile banking have advanced significantly, instilling confidence in users to conduct their financial transactions through these channels. Biometric authentication methods like fingerprint and facial recognition, as well as robust encryption protocols, have made mobile banking platforms secure and trustworthy.

As mobile and smartphone adoption continues to grow, financial institutions are investing heavily in developing and enhancing their digital banking platforms to meet the evolving needs and expectations of their customers. This trend is not limited to technologically advanced regions but is a global phenomenon, making mobile and smartphone adoption a powerful catalyst in the ongoing expansion of the global digital banking platform market.

Increasing Consumer Demand for Digital Services

Growing consumer demand for digital services is driving the global digital banking platform market.
Consumers expect convenience, accessibility, and a seamless digital experience in their banking interactions.
Convenience offered by digital banking platforms includes 24/7 availability and access from anywhere.
The COVID-19 pandemic accelerated the shift towards digital banking.
Mobile banking apps have played a pivotal role in meeting consumer demand for digital services.
Demand extends beyond basic transactions to include holistic financial solutions.
Security concerns have been addressed through advanced encryption and biometric authentication.
Growing demand for digital services is expected to drive sustained growth and innovation in the market.

Cost Reduction and Efficiency Improvement

Cost reduction and efficiency improvement are central drivers of the global digital banking platform market.
Traditional banking operations face high operating costs due to physical branches and manual processes.
Digital banking platforms reduce the need for physical branches, resulting in cost savings.
Efficiency improvement is achieved through automation and streamlined processes.
Digital banking platforms enable data collection and analysis for personalized services.
Scalability allows for handling increased transaction volumes without proportional cost increases.
Cost savings can be reinvested in technology development and customer-centric initiatives.
Financial institutions embrace digital platforms to streamline operations and enhance customer experiences.

Key Market Challenges Security Concerns

Security concerns, including data breaches, phishing, and malware attacks, are significant challenges.
Digital banking platforms handle sensitive customer information, making them attractive targets for cybercriminals.
Phishing attacks and social engineering scams pose security threats.
Malware and ransomware attacks can compromise user security.
Mobile banking introduces new security dimensions, such as device loss or theft.
Compliance with data protection and cybersecurity regulations is essential.
Ongoing investment in robust cybersecurity measures is necessary.

Regulatory Compliance

Regulatory compliance represents a challenge due to complex and varied regulations across regions.
KYC and AML regulations require robust procedures, potentially introducing friction into the user experience.
Data privacy regulations, such as GDPR, require strict controls over personal data.
Compliance requirements can evolve and change, necessitating ongoing efforts.
Failure to comply with regulations can result in severe consequences.
Adaptable approaches to compliance are necessary for navigating the regulatory landscape effectively.

Customer Trust and Privacy

Customer trust and privacy concerns can hinder the growth of digital banking platforms.
Trust is essential, as digital banking platforms manage customers' financial well-being.
Privacy concerns revolve around data collection, storage, and use.
Data breaches and identity theft erode customer confidence.
Balance between personalization and privacy is crucial.
Transparent data handling practices and clear privacy policies are needed.
Customer education about security measures and practices is vital.
Building and maintaining trust is fundamental to the success of digital banking platforms.

Key Market Trends Mobile-First Approach

The mobile-first approach is shaping the digital banking platform market.
Mobile banking apps offer convenience, user-friendliness, and innovation.
Mobile banking reduces operational costs for financial institutions.
Mobile-first development enhances user experience and customer engagement.
Mobile banking bridges the financial inclusion gap and provides a competitive advantage.
Security measures, including biometric authentication, ensure data and transaction safety.
Mobile banking will continue to be a significant growth driver.

Open Banking and APIs

Open banking and APIs drive transparency, competition, and innovation.
APIs enable integration of various financial services and third-party apps.
Enhanced customer experience includes access to a wide range of services.
Open banking fosters collaboration between traditional banks and fintech startups.
APIs facilitate customization, personalization, and expansion of product offerings.
Cross-border banking is made possible through APIs.
Compliance and security are maintained through APIs.
Open banking and APIs transform digital banking platforms into hubs for financial services.

Segmental Insights Deployment Insights

The Cloud segment holds a significant market share.
Cloud-based services reduce IT infrastructure costs and allow for scalability.
Subscription fees to SaaS providers reduce maintenance costs.
Cloud-based services support rapid product deployment and scale infrastructure.
Cloud deployment is preferred for its cost-efficiency and resource allocation.
It reduces reliance on physical branches, which is appealing to customers.
North America plays a significant role in the global Digital Banking Platform Market.
Many banks in North America leverage cloud-based services for digital transformation.

Competitive Landscape

Company Profiles: Detailed analysis of the major companies presents in the Global Digital Banking Platform Market.

Appway AG
CREALOGIX Holding AG
EdgeVerve Systems Limited
Fiserv, Inc.
Oracle Corporation
SAP SE
Sopra Steria
Tata Consultancy Services Limited
Temenos Headquarters SA
Worldline SA

Report Scope:

Global Digital Banking Platform Market, By deployment:

Cloud
On-premises

Global Digital Banking Platform Market, By Type:

Corporate banking
Retail banking

Global Digital Banking Platform Market, By Region:

North America
United States
Canada
Mexico
Asia-Pacific
China
India
Japan
South Korea
Indonesia
Europe
Germany
United Kingdom
France
Russia
Spain
South America
Brazil
Argentina
Middle East & Africa
Saudi Arabia
South Africa
Egypt
UAE
Israel

For more information about this report visit https://www.researchandmarkets.com/r/oc3urz

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