How SaaS is helping EMIs
As the market changes, banks’ digital offerings are increasingly key and their ability to attract customers, grow market share and, ultimately, enhance their profitability goes hand-in-hand with digitisation. The ability to launch new products in to new niche markets quickly becomes a vital component in all banks’ armoury. Concepts like ‘invisible banking’ – on hand at all times yet unobtrusive – are forcing established players to match this approach. What drives these innovations, and what these businesses will be judged on, is their cloud infrastructure. Migrating to the cloud provides the elasticity banks need, allowing them to access on call a wide range of technological capabilities based on their needs. This is a feature better known as Software as a Service (SaaS). SaaS provides banks with a significant operational advantage, equipping them with the ability to innovate and service unmet customer needs, and drive the digital experience forward while providing significant cost savings.
Additionally, using a robust digital marketplace and collaborating with fintechs (supported via cloud-native, cloud-agnostic architecture, delivered using industry-standard services) enables banks to focus on growth and innovation instead of expending resources on low-value-add tasks such as maintenance of out-of-date technology. As mobile-first solutions continue to gain traction and expand across the region, there are some key trends that stand out and will continue to influence where Europe is headed.
A number of new entrants are showing the industry the clout offered by innovation and the benefits of a cloud-first stance, triggering a spurt in spending on global cloud services. Analysts have claimed that over 30% of banks worldwide now say that 50% of their expenditure over the next two years will be on new cloud-based applications.