The fintech industry is growing fast, but it is also coping with unique hurdles. The biggest hurdle faced by these companies is gaining the trust of new users. Fintech sector entities can use Power BI to analyse data and fathom changing customer needs better. Microsoft's Power BI is a robust BI tool laden with a plethora of useful features, and Microsoft offers the solution in many versions to suit varying user needs. The company can use the tool to figure out the availability of potential customers in a specific region, for example.
Technology keeps evolving, and the incorporation of technology helps businesses of varying types to make profits and meet customer needs better. The financial sector is no exception. The fintech industry is growing fast, but it is also coping with unique hurdles. It is a nascent sector, and therefore the companies in this sector are facing new challenges even as they experience steady growth.
Problems faced by the FinTech sector entities
The major problems experienced by the Fintech sector players are:
- The biggest hurdle faced by these entities is gaining the trust of the new users. Even though the users are getting acquainted with digital technologies related to financial operations, instances of various types of online frauds and thefts have made them sceptical about using FinTech services on a large scale.
- The fintech companies also have to combat steep competition from mainstream financial service providers and leading banks. They also compete with gigantic insurance companies. The monetary resources of these established players are bigger than that of most FinTech companies.
The good thing is that Fintech sector entities can make use of specific emerging technologies to understand customer mindsets and preferences better. They can utilise the power of BI and data visualisation applications to make strategic decisions that align with user needs. They can resort to the services of the top power bi consultants, following the footsteps of their traditional banking sector competitors.
How using Power BI can be fruitful for the Fintech Companies.
There are so many BI and data analytics solutions in the market, but Power BI is what a majority of businesses prefer, including the top players in the financial sector. It is a robust BI tool laden with a plethora of useful features, and Microsoft offers the solution in many versions to suit varying user needs.
Listed below are the ways Fintech sector entities can gain from using Power BI:
- A better understanding of customer needs- Like the companies hailing from many other sectors, Fintech sector entities can utilise Power BI to analyse data and fathom changing customer needs better. They can use the tool to figure out the availability of potential customers in a specific region, for example. They can also analyse data pertaining to digital financial services used by customers in a region to assess the prospect of fintech services adoption.
- Detection of malicious activities- A big reason for people showing reluctance to adopt FinTech services is the risk of fraud and theft. Instances of people losing money while using digital wallets and online financial services are not uncommon. By using BI tools like Power BI, FinTech companies can detect suspicious activities faster.
A solid and feature-packed BI tool like Power BI can be tweaked to detect anomalies in user behaviour while using online services. It can be configured to send alerts when transactions take place without adhering to security checks, for example. The tool can also be tweaked to raise the alarm if a number of transactions take place from the same account within a short span of time.
- Enhanced security system- Banks and NBFCs are wary about security breach risks nowadays. This is what a FinTech company can face too. By Using BI solutions like Power BI, these companies can analyse data pertaining to various security breaches and figure out possible patterns of such breaches. Thereafter, they can deploy stringent safety measures to bolster the system's security level. Of course, the expertise of a veteran power bi developer will come in handy in this regard.
- Better performance tracking- By using a BI tool like Power BI, FinTech entities will be able to track performance patterns and growth in many ways. They can, for example, track markets where user adoption is sluggish. They can also check growth quarter-wise. Then they can find out the reasons for poor growth in certain markets and take corrective measures.
- Better analysis of customer feedback- Unless the fintech entities are able to analyse and understand customer feedback, they will find it hard to offer a better experience and enhanced service to the users. By using a tool like Power BI, such entities can analyse customer feedback data and generate visualisation and reports. These can help them understand major areas of grievances, customer expectations, and things that can be improved. This way, they can address user needs better and grow revenues.
- Better insight on product reception- By using a tool like Power BI, FinTech companies can figure out customer acceptance for various products and solutions offered by them. Some FinTech solutions may get wider acceptance in a region and fare average in other zones. Factors like customer age group, income range, and financial capability come into the picture here. By analysing these data, they can tweak the offerings better and launch the offerings at the apt markets at the right time.
- Better business moves- For FinTech sector entities, business moves have to be made carefully. Whether it is about making a foray into a new territory or tying up with a financial sector entity, such moves cannot be made in a jiffy! By deploying tools like Power BI, such agencies can assess the feasibility of such moves better. They can assess the track record of a prospective alliance partner or analyse data on customer type in a new market, for example. Services of a power bi development professional can be helpful, for sure.
Hiring the right Power BI consultants
There is no denying that Power BI is a user-friendly tool, and it is also used by several small entities across the world. However, a fintech company on a growth track will gain by seeking services of the top power bi consulting services. A veteran BI consultant will be able to utilise the numerous features in this tool in an apt way.
Before signing up for services of a Power BI constant for a Fintech agency, a few things should be assessed:
- It is better to hire a BI agency or consultant with experience in catering to financial sector clients.
- Either a BI consultant or an agency can fit the bill if they have the required expertise.
- It makes sense to check out reviews of the BI consultant agency before signing up for its services.
- Top BI consultants explain service terms and charges to prospective clients.
Summing it up
Fintech sector companies can gain a lot by using BI solutions like Power BI. However, they have to hire a suitable consultant with plenty of experience and a big clientele for the best outcome.