Financial Services Industry Market Research

The financial services industry is at a turning point – and financial services industry market research is critical for companies looking to stay competitive, anticipate trends, and unlock new growth opportunities.

Why Financial Services Industry Market Research Matters

Market research helps financial institutions:

✅ Understand customer expectations and evolving financial needs.
✅ Monitor competitors and benchmark performance.
✅ Navigate regulatory changes and compliance challenges.
✅ Identify investment and expansion opportunities in emerging markets.
✅ Leverage technological advancements to enhance customer experiences.

Key Trends in Financial Services Industry Market Research

1. Digital Transformation and FinTech Disruption

Technology is revolutionizing financial services. AI-powered robo-advisors, blockchain for secure transactions, and mobile banking apps are changing how consumers interact with financial institutions. Banks and financial firms must embrace digital innovation or risk falling behind.

🔹 Key Digital Trends:

• AI-driven chatbots and virtual assistants for customer service.

• Robo-advisory platforms offering automated financial planning.

• Blockchain technology for secure, transparent transactions.

• Contactless payments and mobile-first banking experiences.

2. The Rise of Open Banking and API Integration

Consumers demand seamless banking experiences. Open banking and API-driven financial ecosystems allow third-party providers to develop innovative financial products and services.

✅ Benefits of Open Banking:

• Faster, more personalized financial services.

• Secure data-sharing between institutions for enhanced decision-making.

• Greater competition, leading to better financial products for consumers.

3. Shifts in Consumer Behavior and Expectations

Customers today expect on-demand, frictionless financial services. Market research reveals a growing demand for:

• Personalized financial solutions tailored to individual needs.

• Sustainable and ethical banking options.

• Real-time access to financial insights and account management.

4. Cybersecurity and Data Privacy Regulations

With the rise of digital finance comes the increasing risk of cyber threats. Market research highlights growing investments in fraud detection, biometric authentication, and regulatory compliance to ensure financial security.

💡 Key Areas of Focus:

• AI-powered fraud detection systems.

• Multi-factor authentication (MFA) for secure transactions.

• Regulatory frameworks like GDPR and CCPA shaping data privacy.

5. Growth of Alternative Financial Services

Traditional banking is no longer the only option. Peer-to-peer (P2P) lending, decentralized finance (DeFi), and non-traditional banking models are gaining traction, offering consumers more financial choices.

🚀 Emerging Trends:

• Buy Now, Pay Later (BNPL) solutions reshaping credit markets.

• Cryptocurrency and DeFi platforms challenging traditional banks.

• Embedded finance, where financial services are integrated into non-financial platforms.

Retail Banking

The retail banking market has seen more emphasis on delivering accessible banking services. Companies are also paying more attention to customer relationship management. Also driving growth is the introduction of mobile and Internet banking services.

Mobile Payments

Mobile payments first came into demand in 2014 with the introduction of Apple Pay on iPhones. Android Pay, Samsung Pay, and Microsoft Wallet soon followed, and competitors lost no time rolling out mobile wallet platforms of their own. 

Issuers must now provide these new forms of payment in a challenging marketplace. The stakes are also higher. The average data breach now costs around $4 million. The General Data Protection Regulation (GDPR) will likely increase this cost.

Risk Management Research

The modern world has several challenges. These challenges include terrorism, cybercrime, geopolitical shocks, and extreme climate events. Significant upheavals are taking place with business too. Size, experience, and scale are no longer the only predictors of a company’s success. Airbnb, Uber, and other new entrants are wiping out their larger competitors. Businesses will need to find new ways to operate to prevent themselves from failing.

Rising Digital Trends in Finance

AI and the blockchain continue to disrupt the financial services industry. These trends will impact the marketing, sales, wealth management, investment, and compliance sectors. Businesses are in a critical phase. Companies are moving towards real growth in cognitive computing.

Credit Card Market Research

In recent times, the market has seen the launch of several brand-issued credit cards. Examples include The Uber Visa and Amazon Prime Rewards Signature Visa card. Another brand issued card is Starbucks Visa. If rewards are good enough, clients will usually sign up. Retailers often view a branded card as a way to capitalize on customer loyalty. Soon, analysts expect more brands will launch their cards.

Financial Advisors, Investors

The entire financial advisor industry is becoming more complex. Retirement plans are moving away from the defined benefit model. Defined contribution plans to fund workers’ retirement are now standard. Financial planners must plan for the individual, and his or her spouse. They also have to deal with financial planning for their clients’ college-age students.

Investors may see faster growth in the US economy due to the recent cuts in taxes and public spending. These measures can also halt economic expansion if they do not bring about gains in productivity. Experts expect emerging market growth to quicken, particularly in Europe.

Final Thoughts from Ruth Stanat, CEO of SIS International Research

The financial services industry is evolving faster than ever. Companies that rely on outdated models and slow adoption of technology risk falling behind. Market research isn’t just an option—it’s a necessity for financial institutions looking to stay competitive.

At SIS International Research, we provide comprehensive financial market intelligence, competitive benchmarking, and strategic foresight to help financial firms navigate industry disruptions and seize new opportunities.

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About SIS International

SIS International offers Quantitative, Qualitative, and Strategy Research. We provide data, tools, strategies, reports, and insights for decision-making. We also conduct interviews, surveys, focus groups, and other Market Research methods and approaches. Contact us for your next Market Research project.