Cloud Sector is Expected to Dominate the Global Digital Banking Platform Market
Increasing
Consumer Demand for Digital Services and Mobile and Smartphone Adoption are major factor
attributable to the growth of the market.
According
to TechSci Research report, “Global Digital Banking Platform Market - Industry
Size, Share, Trends, Competition Forecast & Opportunities, 2028”. The Global Digital Banking
Platform is anticipated to project robust growth in the forecast period with a
CAGR of 13.82% through 2028, The
majority of the banks prefer digital banking platforms due to the various
benefits offered, such as reduced IT cost, fast time to market, open banking,
out-of-the box yet configurable capabilities, omnichannel customer experience,
and microservice architecture, to name a few. For example, in December 2022,
Deloitte announced a collaboration with AWS to address a chronic difficulty in
banking: the transition to digital-first systems that span the client interface
to back office operations.
Though
neo-banks are still a niche market, they are witnessing a higher growth rate in
terms of market share and serving customers at around one-third of the cost of
traditional banks. Fintechs are targeting lucrative niches in the value chain.
The big tech players, with their large customer bases, pose a real threat, and
a few incumbents are investing heavily in innovation, putting laggards in the
shade.
Browse
over XX market data Figures spread through XX Pages and an in-depth TOC on " Global Digital Banking Platform Market"
Based
on deployment, Cloud
segment is expected to dominate the market during the forecast period. In
January 2023, the digital bank in the Philippines, GoTyme Bank, collaborated
with the worldwide cloud banking platform Mambu to create an innovative digital
banking solution that seeks to increase Filipinos' access to high-quality
financial services.
Many
banks prefer cutting the IT infrastructure cost needed for on-premise setup by
leveraging cloud-based services, which enable them to deploy new products and
scale infrastructure quickly, cater to a broader customer base with varied
needs at a faster speed, and manage rapidly increasing real-time payments while
ensuring compliance and security standards. As a subscription fee is paid to a
SaaS provider, system maintenance costs and legacy technology issues are
reduced. Rather than spending a small fortune on IT, SaaS provides banks with
the ability to reallocate budgets so they can focus on innovation, customer
satisfaction, and business growth.
The
use of the cloud has also helped mobile banking platforms offer a responsive
user interface (UI) and support the bank customers’ entire banking journey,
right from onboarding to transactional banking requests, on their mobile
devices. Banks are rapidly adopting mobile banking platforms, owing to their
changing preference toward mobile banking. Moreover, increased adoption of
third-party applications for real-time payments, such as Whatsapp Pay and
PhonePay, has led to increased demand for reliable infrastructure by the banks
to carry out UPI transactions smoothly. For instance, Visa recently completed a
USD 5.3 billion acquisition of Plaid, a fintech startup that allows
applications to connect with customers’ bank accounts easily and instantly.
Technological shifts such as these have led to increased demand for cloud
infrastructure in the digital banking industry.
Based
on Region, North America plays a significant role in the global Digital Banking
Platform market, Many of the biggest banks are in North America, which is a big
reason why the market for digital banking platforms is growing. Digital banking
companies in the region offer software as a service so that legacy systems can
be turned into digital ones. For instance, Temenos helps new U.S. digital banks
go live in 90 days with the most functionally rich and technologically advanced
front-to-back SaaS digital banking offering.
Digital
banking platforms are becoming more popular as blockchain technology, which
makes security better, is used more and more, especially in the BSFI sector.
This factor is fueling the market’s growth in the country. Many companies are
developing blockchain-based cloud digital banking platforms.
North
America is also one of the most innovative and first places to use the cloud.
Cloud infrastructure providers have a strong foothold in the region, which
helps the market grow even more.
The
steady rise in the use of digital banking platforms follows a similar rise in
the use of fintech apps, which are notable for being one of the fastest-growing
types of apps in the US. Due to the global coronavirus (COVID-19) pandemic,
people in the United States stayed at home more and used their phones more.
This led to more digital banking across the region.
Key
market players in the Global Digital
Banking Platform Market are following:-
- 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
Download
Free Sample Report
Customers can also request for 10% free customization on
this report.
“The
global digital banking platform market is driven by increasing consumer demand
for convenient digital services, fueled by smartphone adoption. Mobile-first
approaches, open banking initiatives, and APIs enhance user experiences and
foster innovation. Enhanced security measures, regulatory changes, and fintech
disruption promote trust and growth. Data analytics, personalization, and
partnerships drive customer engagement and product expansion. The COVID-19
pandemic accelerated digital adoption, further propelling the market's growth.
These drivers collectively push financial institutions and platform providers
to invest in digital infrastructure, ensuring they meet evolving customer needs
in an increasingly digital world.” said Mr. Karan Chechi, Research Director
with TechSci Research, a research-based global management consulting firm.
Digital
Banking Platform Market – Global Industry Size, Share, Trends, Opportunity, and
Forecast Segmented by deployment (cloud, on-premises), type (corporate banking,
retail banking), By Region, Competition 2018-2028 has evaluated the future growth
potential of Global Digital Banking
Platform Market and provides statistics and information on market structure,
size, share, and future growth. The report is intended to provide cutting-edge
market intelligence and help decision makers take sound investment decisions.
Besides, the report also identifies and analyzes the emerging trends along with
essential drivers, challenges, and opportunities present in the Global Digital Banking Platform Market.
Contact
Mr. Ken Mathews
Techsci Research
LLC
420 Lexington
Avenue, Suite 300,
New York, United
States- 10170
Tel:
+1-332-258-6602
Email: [email protected]
Website: www.techsciresearch.com