How AR / VR technology drives Innovation in Finance
Going back to ‘Part One’ and ‘Part Two’ of this series, we elaborated on how emerging technologies such as Blockchain, AI, RPA, and Cloud Architecture are reshaping the modern Finance world by sharing examples of their deployment. This last part will also highlight how AR/VR is another innovation driving digital transformation as we conclude this blog series with an outlook on the future.
AR / VR
Augmented Reality / Virtual Reality is a digital extension of reality, allowing users to interact with digital content in the real world. This often involves hardware like VR glasses and gloves tracking the user’s hand movement, but it can also be as simple as a digital overlay on your smartphone.
For many people, this technology is probably mostly thought of in the gaming sector, but due to the ability of AR/VR to visualize large amounts of data, simulations can be run more easily and have already proven successful in industries such as Finance, Retail, and Healthcare.
One reason this technology is exciting for financial institutions is that it creates digital branches that customers can utilize to conduct transactions without having to visit a physical location at any particular time of operation. This reduces costs and increases customer satisfaction.
One example of a bank using this technology is BBVA, having launched its first digital bank branch back in 2017. Customers are able to run banking services such as opening an account or applying for a loan as an app on any smartphone.
Digital Customer Onboarding
A further instance of AR use cases in finance is digital customer onboarding. Similar to digital branches, customers may be brought through the entire process of opening an account without requiring visiting a physical location. This can be done using AR glasses guiding the customer through the steps and providing information about the products on offer.
AR use cases in finance also include training and education. Employees are given glasses that provide information about a particular product or service, as well as guidance on how to use it. This can be deployed to train new employees or provide refresher training for existing staff.
Especially since the Covid Pandemic, a widened need for better adaptation to hybrid work environments began and AR technology has already been leveraged to train employees remotely, allowing financial service organizations to search for, and hire capable personnel from any location.
Not only do employees benefit from the use of this technology but it can also be employed to inform and train clients as well as other stakeholders that are involved in operations. J.P. Morgan Asset Management released its Guide to Markets content in 2021, as an Augmented Reality application that is accessible through smartphones. It was distributed to more than 250,000 financial professionals with the aim of assisting client decision-making by demystifying complex market subjects. Making the Guide available through an AR experience continues to allow the organization to drive a new level of engagement with investors.
Lastly, AR effectively serves Customer Support. This could be in the form of an AR app that guides customers through the steps of using a particular product or service allowing financial institutions to provide support to customers without the need for physical interaction.
HSBC is one of the pioneers in this field, enabling customers to utilize their smartphones to get step-by-step instructions on making use of particular banking services
What does the Future hold for Innovation in Finance?
Digital Finance capabilities are pivotal for banks and other financial institutions to stay ahead of the curve and meet emerging customer demands. The technologies and use cases we have shared in this blog series are just some of the ways in which digital transformation can be deployed to create a more efficient, agile, and customer-centric organization.
As the digital transformation in the finance industry continues to gain pace, we are likely to see even more innovative use of Blockchain, AI, RPA, Cloud, or AR/VR, as these technologies revolutionize the way we see Finance organizations serving customers. In the future, there will be wider adoption of ‘digital twins’ utilized to provide personalized financial advice or digital assistants that can proactively help us manage our finances while remaining in regulatory compliance.
What is certain, is that the digital status quo of today will be outdated very soon. We are convinced that the use of modern technology will enable Finance participants with a path to accelerate long-term business growth.
ELASTECH provides your organization with proven tech talent and leading technologies in the areas of Blockchain, AI/ML, RPA, Cloud, and AR/VR. Together we will find a solution that fully meets your company’s needs and equips you to gain real competitive advantage.
We invite you to a conversation with an expert to explore the opportunities and advantages for your business. Schedule a call by clicking below.