Rob Paisley, Strategic Industry Director, Global Team Lead,SS&C Blue Prism
In a time of economic unpredictability, financial services (FSI) organisations face a critical decision: adapt or risk being left behind. With rising inflation, stricter regulations, and rapidly changing customer expectations, the financial sector stands at a crucial juncture.
However, one thing is evident amidst this chaos: intelligent automation (IA) and artificial intelligence (AI) have transitioned from being optional to essential. As market conditions vary, AI is playing a pivotal role in enhancing operational resilience, allowing financial institutions to predict market changes, protect assets, and optimise operations.
What do the numbers say?
The latest figures from the European Central Bank show that the financial outlook for the broader Euro area in the first quarter of 2025 is cautiously optimistic, with the region expecting modest recoveries after challenging economic periods in 2023 and 2024.
Europe expects a modest recovery, the U.S. economy is slowing, and Asia-Pacific remains a beacon of strong demand. Key drivers include easing inflation and resilient wage growth in each region as consumer spending is expected to remain relatively strong.
Despite optimism in pockets of the global economy, challenges such as continued geopolitical tensions and supply chain disruptions are still causing uncertainty. Yet, those leveraging AI are not merely weathering the storm, they’re thriving.
How is this possible? Research from our latest Total Economic Impact™ (TEI) study conducted by Forrester Consulting shows that 76% of organisations surveyed expect to see a positive impact on business growth in the next two years from their intelligent automation program.
We expect that savings from full-time equivalent reductions or operational efficiency gains will play a part in this growth. However, there is much more to it than that. Where the magic happens is when IA significantly enhances operations, helping organisations become much more effective at releasing improved products, attracting new business and, ultimately, growing revenue.
Innovative drivers: disruptors, efficiency and metrics driving innovation
The financial services industry has always been driven by data, but the real question is: Are you using your data in the best way to unlock growth? Generative AI, chatbots, and 24/7 customer access are no longer novelties – they’re table stakes in an environment where customers demand seamless, real-time experiences at lower costs.
First impressions and the early stages of the experience journey are essential to growth and winning new customers. Whereas once, banking customers were for life. Now, they’re as happy to leave as they are signing up.
When it comes to shopping around for a bank or financial services provider, in the U.S., more than half (52.5%) of Gen Zers go straight to a trusted brand when choosing a new banking product or service. Just 15.8% shop around.
It’s no surprise that, for the fourth year in a row, U.S. consumers now do most of their banking with mobile apps more often than any other method, according to the American Bankers Association.
Maximising their time, they’re embracing digital banking, with almost half (48%) of bank customers using phone apps as their main way of managing their finances on a smart phone or tablet. Just under a quarter (23%) use a computer to access online accounts. Once the doyenne and heartbeat of main street America, the bricks-and-mortar branch of a bank is visited by just nine percent of the population.
So, process automation isn’t just about efficiency anymore; it’s about survival. Whether it’s onboarding, loan processing, or managing compliance, AI is empowering financial institutions to scale rapidly without sacrificing quality.
The competitive landscape is shifting too. Fintech disruptors are shaking up the market, leaving traditional institutions to decide whether to adopt or get left behind. Bain’s latest global consumer survey of 29,805 consumers in 11 countries, reveals the banking industry is fragmented.
Consumers who believe their banks have inadequately served them for a long time are increasingly turning to digital native and neo-banks, which provide more modern, flexible and affordable technology-driven products. Cash is losing its dominance; the rise of e-wallets and payment fintech companies threatens to make traditional banks less significant in the daily lives of consumers. To remain relevant, established lenders must focus on enhancing engagement with both new and existing customers by offering improved digital experiences and personalised services.
Organisations that adopt IA and streamline their processes from end-to-end are gaining a competitive advantage. Their strategy enhances employee satisfaction, fosters innovation, and ultimately supports sustained growth.
Our TEI study reinforces these conclusions, showing that 69% of FSI organisations believe that automation enhances important business metrics like growth and customer satisfaction. The study also indicates an incremental revenue growth of 5.4% CAGR for customers along with various additional benefits such as increased productivity, better employee retention, and lower compliance costs.
The future will favour those who are courageous enough to reimagine financial services through the power of AI. By leveraging intelligent automation, financial institutions can navigate economic uncertainty with resilience, shaping their own paths forward and securing a competitive edge.
