Brazilian Banks Going Digital, But Still Far From Seeing Benefits

More than 50% of financial services firms in Brazil are investing in digital technologies, but are still far from capitalizing on their full benefits, according to a new study by French outsourcing giant Capgemini.

Around 39% of banks have deployed digital solutions to increase sales and customer experience, says the report. They have been using email, social media, and mobile phones for more than a decade to stay connected with their customers.

The report states that 40% of financial services providers have used data analytics in a bid to gain a greater insight into the needs of their customers.

“Organizations have yet to advance much in the exploration of these technologies as a way to gain insights that create new business opportunities,” says Carlos Mazon, chief operation officer for Capgemini in Brazil, adding that data analytics can help banks make decisions on business operations quickly and easily.

As for the internal use of technology, 57% of respondents said they have automated much of their business functions, while 60% said they monitor their operations in real time.

When it comes to collaboration, 52% said that their employees actively share their knowledge through collaborative platforms.

“Perhaps the fear over security prevented them from adopting new technologies on a larger scale, but the rising number of fintech firms may transform the financial services sector once and for all,” Mazon said.

“Banks have realized the need for digital transformation to win over consumers. But adopting new technologies is not an option, but a matter of survival,” he continued.