Financial Institutions and Commerce are Reshaping Due to Mobile Primary Needs

The development of technology that massively applied all over the world recently, known as 4.0 technology, makes commerce and financial services to reshape what they are offering to the consumers. It should meet the consumer’s expectations, in which delivering the product “on demand” based on consumer’s needs. Consumer behavior is shifting to mobile in order to conduct their daily transactions or activities and it becomes their primary computing tools.

One of the mobile devices that usually used as the tool is a mobile phone, while the other tools could be tablet or I-pad. Through their tablet or smartphones, the consumers spend around 51% for its internet and it is categorized as staggering change. However, it is still on the early stage of change since it is expected to have dramatic change as software and hardware shall be combined that associated with tablet and mobile devices. The camera, microphone, biometrics, and low-frequency Bluetooth will give a big impact of change to financial institutions.

The change of financial institution is proved by mobile phone transactions on today’s transaction is about 18%, in which it was zero two years ago. Money transfers were recorded for more than 12%, bill payments for 18%, and money transfers through email for 17%. All of these transactions are conducted through mobile phones. Therefore, consumers could not be separated from their mobile and internet connection will be their primary needs as well after mobile. In the nearly future, the financial institutions should keep on the track for its consumers changing behavior and their needs. On top of that, the government should support better IT infrastructure.

*source: Dan Schatt, Virtual Banking – A Guide to Innovation and Partnering (Book)

Rewrite by Shinta Amalina. H. Havidz