The additional services implemented by the financial system have caught the attention of customers and are setting the trends in 2023
Two years on, completed in February, Open Finance has already reached the threshold of 15 million unique customers and 22 million active consents for data sharing, according to the Central Bank (BC). As the financial system grows and becomes more popular, so does the offering of services and competition, as well as improving the collaborative environment between institutions.
With a focus on sharing users’ bank details, one of the main premises of the system is to unify customer information, helping companies to offer personalized services and transforming the consumer into a protagonist. Some trends have stood out and fallen in love with Brazilians, such as interactions via WhatsApp and the Payment Initiator, which simplifies operations via Pix.
“Over time, by better knowing how institutions work and trusting institutions, customers have increased their level of demand, especially since they have been able to try out new services from different institutions and use new platforms before choosing the one that best meets their needs” , comments Lorain Pazzetto, head of Digital Finance Strategy at FCamara, a technology and innovation ecosystem that leverages the future of business.
The evolution of Open Finance brings trends to the segment
While Open Finance is still under development, most of the country’s financial firms are regulated and implementing new features to provide hyper-personalized offers to customers who have consented to data sharing.
Pix was already “treasure” and was the first payment method available for Open Finance. With Payment Initiator, considering its evolution, an even more optimized and effective transaction option has arrived. The process has become smooth and without screen changes or interruptions, a connection that is done via API.
The user is automatically directed to his financial institution, where he only has to validate and confirm the transaction before returning to the payment recipient. The entire procedure is secure and authorized via login and password, as well as being protected and regulated by BC.
The CFO steps in
Another interesting trend is the figure of the finance manager, a service provided by banks and fintechs aimed at financial education. The idea is that the service understands the stage of life the customer is in and offers products that fit with each person’s plans.
“With personal financial management, the customer agrees to sharing data from all accounts, which currently revolves around five bank accounts per Brazilian. With this, it centralizes all the information, allowing a 360° view of the sources of income, expenditure, pre-approved limits, etc.”, explains Pazzetto.
This type of process creates user-friendliness and confidence for financial institutions to make their own decisions by evaluating customer behavior.
“Furthermore, banks are also able to compare their competitors and think of defense and attack strategies to win over and retain these consumers”, underlines the executive.
Offer of financial services on other channels
Open Finance also makes it possible to offer financial services through other channels, such as a personal loan at an e-commerce cash desk for customers who do not have enough credit card limits.
“This trend, known as Beyond Banking, gives the individual greater purchasing power, favors e-commerce with an increase in the conversion rate and average ticket, and guarantees the financial institution a customer acquisition cost ( CAC) much lower. And, for all this to happen effectively, since the model brings innumerable opportunities, the support of specialists in the sector is essential, given that we are dealing with the use of technologies, which imply safety and guarantee correct regulation”, concludes Lorain.
Open Finance is in its fourth phase, allowing for the accession of participants and regulators from outside the banking system. A survey by the Open Banking Implementation Entity (OBIE) points out that there are already more than 800 participating institutions, including banks, fintechs and credit unions of all sizes, totaling more than 10 billion information exchanges between institutions in Brazil .
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Source: Terra
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