Connected devices are about to make their mark on the financial services industry.
According to data cited on CDW’s FinTalk blog, the Internet of Things (IoT) will swell from 4.9 billion connected devices in late 2015 to 25 billion devices in 2020. At least part of that growth can be attributed to financial services: Fifty-four percent of the industry’s top performers plan to increase their investment in sensors this year.
The burgeoning number of devices means banks and credit unions will see an enormous influx of IoT data. And while that data is expected to offer benefits like better operational efficiency, customer service and internal collaboration, it could spell trouble for financial institutions that aren’t prepared to manage the volume.
With the rise of the IoT, banks and credit unions will likely be expected to offer highly personalized financial and nonfinancial advice to consumers. Financial institutions could also find themselves facilitating consumers’ access to other service provides, such as insurers.
Check out CDW’s infographic for full details on the future of financial services in a connected world.