Big Data In Banking: A Bird’s Eye View

Abstract

Banking industry is the backbone of any economy. It plays a very significant role in leading the country towards the growth path by improving the gross capital formation, which consecutively improves the GDP. Success of the banking industry depends on its ability to serve its customers efficiently and expeditiously. The functionality of the CRM (Customer Relationship Management) can be effectuated by felicitous use of customer data. Banks have voluminous data about their customers, which most of the banks failed to utilize in a well-timed manner. Banks can fortuitously satisfy their customers by offering much personalized and focused services by pursuing big data analytics and other hi-tech tools or applications. Big data analytics can be actuated in key areas like customer segmentation, offering customer lifetime value, fraud detection, risk modeling, etc. Preeminent banks in the industry are utilizing big data to leverage the accumulated customer data for improvising their services. Big data offers a promising scope of ventures to banks which consider it strategically. This article is attempts to present an overview of the big data application in the banking industry.