3 Top Bank Technology Trends - 3 Potted plants

3 Top Bank Technology Trends of the Future

Temenos – Company

As we get into the second half of 2017 and start setting our eyes on 2018, it’s important to not only focus on the current trends impacting the banking industry but also start anticipating the trends that will be making an impact in the coming years. In this blog, we outline the top bank technology trends of the future and predict how they will shape the digital customer experience transformation.


At Avoka, we’ve started talking about how Platformification is impacting the way that banks will be tying together their products and services in a centralized place for their customers. Platformification is a new business model for banks that leverages a “plug-and-play” system that allows multiple participants to connect, interact, and create and exchange value. Instead of requiring consumers to interact with multiple vendors and companies, Platformification enables one place for these connections to take place. For banks who adopt a platform mentality, it can mean huge business value as customers swing back to looking to banks as the central place to manage all of their financial needs.

Open Banking

Open Banking is related to Platformification as the mechanism by which banks can securely leverage APIs to share account data. Traditionally, account information has been closely guarded, and most banks were unwilling to share it with outside entities (regardless of consumer demand). However, banks are beginning to realize that opening account information to 3rd parties can drive quicker digital transformation than their own legacy systems can provide.

One example outlined by Financial Brand is the fact that many small and medium-sized companies use commercial software for bookkeeping, but have to add their transaction data manually. With an API from their banking service provider, these organizations can access bank data in real-time, which gives them more accurate and real-time views into their finances. This concept is similar to what FinTech’s like Mint.com have done in providing real-time information to consumers about the state of their finances. With APIs, banks can achieve digital transformation by tying together data from multiple sources via specialists focused on different aspects of banking.

Artificial Intelligence (AI) and Machine Learning

If you are to believe the headlines, 2017 has been the year of artificial intelligence. But, though AI is certainly a buzzword in banking (and many other sectors), this is the trend whose true impact clearly won’t be felt for a couple of years. There is optimism that financial organizations will be able to better leverage AI for things like investment, and banks like Merrill Lynch are already experimenting in this area. The past few years have been dominated by the value of “Big Data”, but it may take more innovation in AI to be able to derive any meaningful value from these large data sets that banks have been collecting and storing.

FinTech Will Continue to Drive Customer Experience Transformation

Of this list, FinTech is really the only one making a significant impact today as 33% of consumers around the world are now leveraging at least one FinTech application. But, only two countries are over the 50% adoption mark (India and China), which means that there are still significant growth opportunities for FinTech companies. FinTech advancement has increased with the shift to digital-first customer experiences, the need for cross-channel and cross-device access, and consumer demand for more control over their financial future. We expect this trend to continue well on into the future.