Vritti March 2018 | Page 7

vritti Trending Now Now, this is one area which witnessed a lot of activity in the past year. Wait, permit me to rephrase-I mean the small and medium enterprise and business loans side. The consumer side is booming (of course), all fueled by the basic need to bring more customers into the financial fold. In so far, the story seems to have gained traction-what with 52 live mobile money-enabled credit services in 2016, up from seven services in 2011. It doesn’t end there, of course. With AI as the backbone powering the calculation for credit eligibility criteria, rating, etc, expect this segment to make headlines. And why not? Several small players have forayed into this field, both in the consumer and commercial segments, with the sole purpose of addressing the demand for credit services. Needless to say, these services have, more often than not, relied on machine learning and big data to assess credit risk. The result? Better and more streamlined services to customers who need it the most! In fact, on the same note, going forward, we expect to see the demand increase significantly, primarily from enterprise customers. Going a step March 2018 7 Growth of live mobile money-enabled credit services 52 2016 7 2011 forward, emerging markets (where mobile money has firmly carved a niche) are set to witness the leveraging of mobile-based infor mation. The bottom-line? To help in deci- sions related to credit. Having said that, however, players who will focus on overall customer engagement and leverage technologies including machine learning will lead the pack. AI is, clearly, set to play a very important role in all things mobile credit and loans-related! AUGMENTED REALITY VIRTUAL REALITY Waiting in the wings It wouldn't be an understatement to say that augmented reality (AR) and virtual reality (VR) have transformed our world. In the financial services space, though, it is still waiting in the wings. So, instead of extolling on the virtues of this technology, let's examine what it can do in this space. First and foremost, I firmly believe that players in then payments eco- system ought to give this technology the leverage it deserves. After all, it provides ample opportunities for these players to anticipate and keep pace with the customer's ever-changing, ever-evolving requirements. Not just that, it could present a viable channel for these players to differentiate their offerings, thereby catching (and retaining) the interest of millennial and younger customers. After all, isn't that the bottom-line? Just a quick side-note, Goldman Sachs has estimated the AR/VR space to be pegged at $80 billion by 2025. Clearly, not a flash-in- the-pan technology, this!