- Data analytics and visualisation solution segment in the AI in BFSI market will expand at a CAGR of nearly 40 per cent till 2026
- The customer service segment is projected to take up 45 per cent global AI in BFSI market share by 2026
The market valuation of AI technology in BFSI will reach $80 billion by 2026 as per a report by Global Market Insights. It said that the emergence of fintech technology and innovations in banking processes along with digitisation is expected to contribute significantly to the market revenue.
As per the report, the growing demand to analyse, report, and collect a large volume of data and gain meaningful insights to support banking processes will support AI in BFSI market growth. It added, “The increasing adoption of advanced technologies including big data, blockchain, cloud computing, and biometrics generates extensive data. AI-based solutions are integrated with machine learning algorithms to help banks in collecting and analyzing data. It provides an in-depth analysis of the customer data and helps banks to make decisions, enabling operational efficiency, and gaining higher ROI.”
Data analytics and visualisation solution segment
The report also said that the data analytics and visualisation solution segment in the AI in the BFSI market will expand at a CAGR of nearly 40 per cent till 2026. It added that the demand for data analytics across financial enterprises has increased exponentially. This has led to continuously growing digital data and increasing inclination toward the customer-centric business model. Data analytics and visualisation solutions help BFSI enterprises in analyzing a large volume of structure & unstructured data and provide in-depth analysis. They also help to identify customer needs and provide personalised services.
The report added, “The computer vision technology segment is poised to witness over 35 per cent growth during the forecast timeline. Insurance and wealth management companies are using automated processing with computer vision technology to analyze digital information. Enterprises leverage computer vision to automate the analysis of digital information such as images, content, etc. This technology is also used in processes including underwriting and automated data extraction.”
Customer service segment
The customer service segment is projected to take up 45 per cent global AI in BFSI market share by 2026. This is due to growing competition in the BFSI sector and the need to acquire a large customer base is making enterprises to focus on improved customer relationships. The companies are also using AI-based virtual communication assistants or chatbots to improve service delivery, customer query handling, virtual assistance, and assisting customers in banking transactions.
The report said that the The adoption of AI-based solutions for wealth management is growing significantly at a CAGR of above 40 per cent from 2020 to 2026. The use of AI-backed tools helps wealth managers to advise customers based on analysed historical data and present analysis.
As per the report, North America is anticipated to hold a share of above 50 per cent in the AI in BFSI market by 2026. Companies operating in the market are developing innovative solutions to help banking and financial institutions to drive their business.