FNTN... in the right place and the right time.....
REACHING THE FINANCIAL CONSUMER THROUGH
INCREASED USE OF TECHNOLOGY
09:45 a.m. Jun 02, 1998 Eastern
NEW YORK, June 2/PRNewswire/ -- According to recent
studies from Datamonitor's "IT in Financial Services" series,
US insurance and securities firms are increasingly adopting
technology to enhance customer service.
In 1997 insurance companies and securities firms purchased
over $29.3 billion worth of information technology (IT). By
2002 this figure is projected to escalate to $38.5 billion.
According to Datamonitor, US insurers and securities firms
are the highest spenders on IT versus similar firms in other
countries. This due to the larger number of US financial
services companies relative to other countries. In addition
"US firms are more highly advanced in their IT infrastructure
reflecting larger spending on maintenance and investment,"
said Datamonitor analyst Christine Min.
While the changing legislation and structure of the financial
services industry is driving technological developments, so
too are technological advances changing business practice.
As a result major IT suppliers such as IBM, Hewlett-Packard,
and Unisys are taking advantage of this opportunity in the
lucrative financial services market.
"IBM and Hewlett-Packard are shedding their traditional
role as hardware suppliers in order to become broad
solutions providers," commented Ms. Min.
Technology is creating a more sophisticated consumer, and
in response to this financial services companies are
increasing their customer focus as well as adding value to
their products and services. Some of the technologies
that these companies are employing are data warehousing,
call centers, and intranets, which will enhance efficiency and
assist in targeting the specific needs of their clients.
The rapid growth of these technologies in the financial
services industry is indicative of the trend toward greater
customer care. Datamonitor research predicts that
intranet software in insurance companies and securities
firms will grow at a compound annual growth rate (CAGR)
of 68% over the next five years. Data warehousing and
call centers are expected to grow at a rate of 27% and
12 % respectively.
Datamonitor is a leading strategic market analysis and
consulting firm that specializes in the technology,
financial services, consumer goods, healthcare,
medical equipment, energy and automotive industries.
For more information please contact Tara Rummell
at 212-686-7400 x162 or visit Datamonitor's Web Site
at datamonitor.com SOURCE Datamonitor
Copyright 1998, PR Newswire
Mark H. |
