Advent of modern technology like blockchain, VR, and AR has disrupted almost all the business industries. Most have seemed that many business industries have hailed back in the age of AR and VR technologies, which is here to evolve into something more viable. The technological trends and application adaptation and development has expanded at an impressive rate these days.
The whole world has come a long way from the first commercial use of different VR headsets such as Oculus Rift or any other. Most of the people all around the globe associate Virtual Reality (VR) and Augmented Reality (AR), both modern technology with only the realm of the gaming industry. They have to understand that most of the business entrepreneurs and industries have started leveraging this advanced technology. These sectors include real estate, marketing, healthcare, beauty, and many more, almost all the industries are accepting the immense potential of Virtual Reality (VR) and Augmented Reality (AR) to improve their business performance and activities.
The global virtual reality (VR) and augmented reality market size amounted to around USD 11.35 Billion in 2017, this number is forecasted to reach around USD 571.42 Billion by 2025, whereas the CAGR is estimated to rise and reach around 63.3% from 2018 to 2025. Modern technology such as augmented reality and virtual reality provides the immersive user experience, it is used across almost all the industry verticals for developing business and entertainment-related applications. Virtual reality and augmented reality is a comprehensive term that is used for providing a multi-sensory experience to the users, which facilitates them to experience and explore a virtual world. (Source)
Know How Augmented Reality and Virtual Reality is Shaping the Future of Finance Industry
Augmented Reality and Virtual Reality is a modern-day technology that is widely associated with interactive 3D video games, adventures, and entertainment. However, the finance industry has found an effective way to leverage the full potential of AR and VR to develop and provide immersive banking experience to end-users. 3D environments and imaginary guide customers in a better way and allow them to handle finance-related operations, accounts, and figures more accurately and efficiently than ever before.
According to a recent study, augmented reality and virtual reality can help the finance sector to transform financial data into visual data. This can provide them and their users with a more engaging experience. Physical branches can make use of this advanced technology for transforming themself into hybrid branches.
The same report also predicted that almost 70% of companies who adopted the latest technology, such as AI, AR, and VR, experienced a huge increase in the overall profit of their business. The finance sector has started using augmented reality and virtual reality technology within their sector for providing self-service like robots, chatbots, or any other digital AR and VR based software or gadgets to provide information and leverage customer experience. This technology also enables customers to communicate with bank representatives through video conferences or any other means of communication provided by this advanced technology. While AR and VR have made its way in the finance sector and have a great cause and impact disruptions, explore to know how AR and VR based apps and systems have a great impact on the finance industry.
Most of the financial companies have stepped ahead to transform trading a virtual experience. They are developing virtual reality workstations for accomplishing most of the trading process more accurately and efficiently than before ever. Citi made the best use of Microsoft HoloLens to provide traders Holographic Workstations. This type of advanced workstation provides 2D and 3D elements to the users, it adds advancement and accuracy to almost all the bank’s existing processes.
However, the well-known name Comarch made use of augmented and virtual reality in its wealth management software to provide much better access to its uses, uses are provided with the access to make use of the latest algorithms and trading tools, which ultimately result in improving the user’s experience.
Today’s modern day’s technology has provided every individual with the visual data, it can be considered as one of the vital tools which help users to make important decisions related to wealth management. It has proved to be more beneficial for the financial industry where financial tasks are more complex, as this industry has to deal with a large amount of data. The ability to visualize the data can improve their efficiency of performing analysis of data.
AR and VR have added visualization experience and have made data analyzing tasks much faster and easier for an organization. Now any of the finance sectors can easily manage a large amount of data and can prevent various frauds that might occur due to data. Salesforce made the use of Oculus Rift to develop an immersive 3D environment for performing analyzing tasks on a large amount of data.
Fidelity Labs, which is considered as a part of Fidelity Investments, is also leveraging the use of this advanced technology behind Oculus Rift. They have invented a virtual world popularly known as “StockCity”, this virtual world tunes all the stock portfolios into a virtual 3D city, where all their investors can easily immerse themselves with all the data related to their investment. (Source)
Virtual Reality Payments
Almost all the customers these days like to grasp immersive experience from almost all the businesses in all the areas, whether it’s shopping, making payment after ordering food from ubereats clone, playing their favorite game, or any other. Thus it becomes vital for businesses to provide them with impressive and more engaging experience than ever before. Most of the organizations have even started using modern technology like virtual reality to provide their users with virtual experience when it comes to making the payment.
MasterCard has successfully partnered with Wearability to portray a world where customers can easily pay for their purchase made without leaving the virtual world. They have created a virtual reality golf experience that is popularly known as ‘Priceless’, and players who are leveraging this platform are allowed to buy clothing in the virtual world, they don’t have to perform any of the tasks offline everything will be carried out online. (Source)
Biometric security can be introduced within the AR system for creating a more secure customer experience, this AR-based system could later be connected with the VR world. This system can help the finance sector to provide users with an immersive experience, which they never had before, they can leverage access to VR bank services, make payments, ATM transactions, and much more that also without leaving the virtual world.
With biometrics, it becomes much easier for finance sectors to provide substantial and secure protection to users against almost all types of cybercrime. Most of the banking sectors these days are using advanced applications that use fingerprint authentication when users use it on their smartphones.
Advancement in AR and VR technology has introduced voice recognition and iris identification for the users as well. Axis Bank in 2018 became India’s first bank which introduced the Iris Scan Authentication feature for the users, it introduced Aadhaar-based transactions with its micro-ATM tablets. (Source)
Financial institutions need to provide customers as well as employees with education related to the latest technology which they have adopted. They can provide them with numerous information like:
- How is technology useful to them?
- How can they leverage the latest technology?
All the sectors related to finance need to understand that education is vital for understanding the changes sector. AR and VR technology possesses huge potential for teaching any of the individuals and providing them with new information related to their sector.
Enhance Customer Service
Most of the finance institutions are using AR and VR to provide an improved experience to their prospective customers. Many banks have stepped ahead to develop advanced AR-based applications that guide their customers to find the nearest ATMs and banks. It also allows them to scan the area with the help of their smartphones, this advanced mobility solution avails them with real-time information about their distance, services, location, and much more regarding the nearby banks.
Fidelity Labs, one of the most popular developments and research divisions of Fidelity Investments, collaborated with Amazon to offer its clients a more comfortable, simpler, and safer way of managing their portfolio of shares and stocks. Users just have to put on the VR headset to access the virtual reality app, which they developed, this advanced app has been named as Cora’s Virtual Chart Room.
This advanced app is developed on Amazon Sumerian and offers users a friendly environment for end-users. It is a helpful virtual adviser which provides customers with all the information about their portfolio and provides them with various opportunities to sell and buy any of the stocks depending on the latest market trends. This advanced AR and VR based platform was developed in May 2018, this advanced platform is still in its demo phase, but Fidelity’s customers will very soon be able to access Cora’s advice. This advice will definitely help them to manage their stocks in an interactive and modern manner.
According to a recent report, almost 73% of the world’s leading banks are much excited about a new offering in financial services from PayPal, Google, Amazon, Square, Apple or any other than from their own nationwide bank. Modern technologies are in their infancy and have come a long way, it provides various scope and opportunities to the finance sector to menace the overall process and provide the best experience to the customers. AR and VR in the finance sector will definitely have incandescent adolescence and will be proved to be game-changer technologies for the finance sector.