IoT In Banking And Financial Services Market Size, Share & Trends Analysis Report By Component (Hardware, Software), By Deployment (On-premise, Cloud), By Solution, By End-use, By Region, And Segment Forecasts, 2024 - 2030
The global IoT in banking and financial services market size was estimated at USD 57.55 billion in 2023 and is expected to grow at a CAGR of 11.9% from 2024 to 2030. The rise of IoT technology is increasingly shaping the growth of banks and financial services by revolutionizing customer interactions. IoT devices provide real-time insights into customer behaviors and preferences, leading to highly personalized and seamless service experiences. For instance, IoT-enabled wearables notify customers about unusual transactions or upcoming bill payments, transforming traditional service models. This trend towards more tailored interactions boosts customer satisfaction and drives market expansion in IoT for banking and financial services.
Moreover, IoT technology helps financial institutions update operations and reduce costs through automation and real-time monitoring. IoT sensors can track asset conditions, manage energy usage, and optimize branch operations. Automated processes, such as smart ATMs and connected security systems, reduce the need for manual intervention and enhance service reliability. In addition, IoT-driven data analytics provides insights into process improvements and resource allocation. These efficiency gains translate into cost savings and higher profitability for banks and financial services providers, driving market growth.
The IoT offers advanced security solutions that protect financial institutions and their customers from cyber threats and fraud. IoT devices, such as connected cameras and biometric sensors, enhance physical security at bank branches and ATMs. Moreover, IoT-enabled systems can monitor transactions and detect unusual patterns in real time, triggering immediate alerts for potential fraud. Integrating IoT with artificial intelligence (AI) further enhances predictive analytics and risk assessment. Improved security measures build customer trust and safeguard financial assets, driving market growth.
Moreover, the increase in IoT devices generates vast amounts of data, which can be analyzed to gain valuable business insights. Financial institutions can use IoT data to understand market trends, customer behavior, and operational performance. Advanced analytics tools process this data to provide actionable insights for strategic decision-making. For instance, banks can identify profitable customer segments, optimize product offerings, and predict market shifts. Data-driven strategies enable financial institutions to stay competitive and responsive to market demands, fueling market growth.
Furthermore, IoT enables the development of innovative financial products and services that cater to evolving customer needs. For instance, usage-based insurance, powered by IoT sensors in vehicles, offers personalized premiums based on driving behavior. IoT-enabled devices can also facilitate new payment methods, such as contactless and wearable payments, enhancing customer convenience. In addition, IoT supports the creation of smart contracts and blockchain-based financial solutions, streamlining transactions and reducing intermediaries. These innovations attract tech-savvy customers and open new revenue streams for financial institutions, contributing to the market's growth.
Global IoT In Banking And Financial Services Market Report Segmentation
This report forecasts and estimates revenue growth at the global, regional, and country levels along with analyzes the latest market trends and opportunities in each one of the sub-segments from 2018 to 2030. For this study, Grand View Research has further segmented the global IoT in banking and financial services market report based on component, deployment, solution, end-use, and region:
Component Outlook (Revenue, USD Billion, 2018 - 2030)
Hardware
Software
Services
Deployment Outlook (Revenue, USD Billion, 2018 - 2030)
On-premise
Cloud
Solution Outlook (Revenue, USD Billion, 2018 - 2030)
Security
Customer Experience Management
Monitoring
Data Management
Others
End-use Outlook (Revenue, USD Billion, 2018 - 2030)
Banking
Insurance
Others
Regional Outlook (Revenue, USD Billion, 2018 - 2030)
North America
U.S.
Canada
Mexico
Europe
Germany
UK
France
Asia Pacific
Japan
China
India
Australia
South Korea
Latin America
Brazil
Middle East and Africa (MEA)
UAE
Saudi Arabia
South Africa
Table of Contents
Chapter 1. Methodology and Scope
1.1. Market Segmentation & Scope
1.2. Market Definitions
1.3. Information Procurement
1.3.1. Information analysis
1.3.2. Market formulation & data visualization
1.3.3. Data validation & publishing
1.4. 4 Research Scope and Assumptions
1.4.1. List of Data Sources
Chapter 2. Executive Summary
2.1. IoT in Banking and Financial Services Market Snapshot
2.2. IoT in Banking and Financial Services Market- Segment Snapshot (1/2)
2.3. IoT in Banking and Financial Services Market- Segment Snapshot (2/2)
2.4. IoT in Banking and Financial Services Market- Competitive Landscape Snapshot
Chapter 3. IoT in Banking and Financial Services Market - Industry Outlook
3.1. Market Overview
3.2. Industry Value Chain Analysis
3.3. Market Dynamics
3.3.1. Market Driver Analysis
3.3.2. Market Restraint Analysis
3.3.3. Market Opportunity
3.4. Technology Landscape
3.5. Industry Analysis Tools
3.5.1. Porter's analysis
3.5.2. Macroeconomic analysis
Chapter 4. IoT in Banking and Financial Services Market: Component Estimates & Trend Analysis
4.1. Component Movement Analysis & Market Share, 2023 & 2030
4.2. IoT in Banking and Financial Services Market Estimates & Forecast, By Component (USD Billion)
4.2.1. Hardware
4.2.2. Software
4.2.3. Services
Chapter 5. IoT in Banking and Financial Services Market: Deployment Estimates & Trend Analysis
5.1. Deployment Movement Analysis & Market Share, 2023 & 2030
5.2. IoT in Banking and Financial Services Market Estimates & Forecast, By Deployment, 2018 - 2030 (USD Billion)
5.2.1. On-premise
5.2.2. Cloud
Chapter 6. IoT in Banking and Financial Services Market: Solution Estimates & Trend Analysis
6.1. Solution Movement Analysis & Market Share, 2023 & 2030
6.2. IoT in Banking and Financial Services Market Estimates & Forecast, By Solution, 2018 - 2030 (USD Billion)
6.2.1. Security
6.2.2. Customer Experience Management
6.2.3. Monitoring
6.2.4. Data Management
6.2.5. Others
Chapter 7. IoT in Banking and Financial Services Market: End Use Estimates & Trend Analysis
7.1. End Use Movement Analysis & Market Share, 2023 & 2030
7.2. IoT in Banking and Financial Services Market Estimates & Forecast, By End Use, 2018 - 2030 (USD Billion)
7.2.1. Banking
7.2.2. Insurance
7.2.3. Others
Chapter 8. Regional Estimates & Trend Analysis
8.1. IoT in Banking and Financial Services Market by Region, 2023 & 2030
8.2. North America
8.2.1. North America IoT in Banking and Financial Services Market Estimates & Forecasts, 2018 - 2030 (USD Billion)
8.2.2. U.S.
8.2.3. Canada
8.2.4. Mexico
8.3. Europe
8.3.1. Europe IoT in Banking and Financial Services Market Estimates & Forecasts, 2018 - 2030 (USD Billion)
8.3.2. Germany
8.3.3. UK
8.3.4. France
8.4. Asia Pacific
8.4.1. Asia Pacific IoT in Banking and Financial Services Market Estimates & Forecasts, 2018 - 2030 (USD Billion)
8.4.2. Japan
8.4.3. China
8.4.4. India
8.4.5. South Korea
8.4.6. Australia
8.5. Latin America
8.5.1. Latin America IoT in Banking and Financial Services Market Estimates & Forecasts, 2018 - 2030 (USD Billion)
8.5.2. Brazil
8.6. Middle East & Africa (MEA)
8.6.1. MEA IoT in Banking and Financial Services Market Estimates & Forecasts, 2018 - 2030 (USD Billion)
8.6.2. Saudi Arabia
8.6.3. UAE
8.6.4. South Africa
Chapter 9. IoT in Banking and Financial Services Market - Competitive Landscape
9.1. Recent Developments & Impact Analysis, By Key Market Participants