Buying a car is a major and often stressful purchase. To improve this experience, Capital One introduced Chat Concierge, an AI agent designed to simplify car buying. Unlike typical chatbots, this conversational agent uses multiple specialized AI agents to understand prompts, create and validate action plans, and execute tasks based on buyer preferences. Chat Concierge was built to be able to compare vehicles, estimate trade-in values, and schedule test drives in one conversation. This type of innovation marks a new era in digital banking where AI agents take action, paving the way for more agentic experiences in our lives.

Digital Banking Is Poised For A Revolutionary Transformation Over The Next Decade

In my new report, The Future Of Digital Experiences In Banking, I explore how banks, fintechs, and big tech firms will leverage both maturing and emerging technologies to redefine digital banking experiences, ultimately reshaping the financial landscape. So what’s on the horizon?

AI-powered interfaces: crafting human-centered digital banking experiences

Conversational banking has emerged in recent years, and advancements in AI are set to further transform consumer interactions within financial services. The future of digital banking will be defined by modern, intuitive, and human-centered interfaces. AI-powered virtual assistants will observe, gather information, learn, and communicate with consumers. This will allow organizations to gain deeper insights into consumer intent and emotions, enabling them to generate multimodal responses that incorporate appropriate tone, emotion, and visual elements.

AI and IoT: unlocking consumer insights and transforming data into actionable intelligence

In the future, sensors and IoT analytics combined with AI will help firms understand consumers’ context and intent. Open finance will enable secure data sharing across ecosystems, supporting embedded finance. Advanced AI and analytics will turn raw data into actionable insights, while AI and ML will streamline data processing. Large language models and generative AI will enhance data analysis, creating vast datasets and new content. Meanwhile, sensory AI, synthetic data, and explainable AI will improve situational understanding, generate insights where data is limited, and make AI systems more transparent and trustworthy.

Edge computing and AI: accelerating real-time insights and autonomous decision-making

Edge computing and AI, powered by faster networks (5G/6G) and advanced hardware, will bring data processing closer to its source, reducing latency and bandwidth use. This will enable faster insights, real-time analytics, and smarter decision-making. Real-time transactions and data processing will enhance responsiveness and efficiency. AI decisioning technologies will scale near-real-time engagement, while IoT will embed finance into objects, vehicles, and homes, creating automated, IoT-enabled scenarios.

AI agents: automating decisions and paving the way for autonomous finance

AI and advanced analytics will automate decisions, processes, and experiences. Expert AI agents will integrate analysis and execution, automating complex tasks. Although still in its early stages, agentic AI will pave the way for more advanced AI applications in automation and personalized services. Ultimately, this will lead to the development of personal AI agents and autonomous finance.

Banks And Platforms Will Empower Consumers With Future Digital Experiences

Over the next decade, we believe that consumers will shift from rigid, predetermined paths to cocurated, conversational journeys. They’ll take a more active role in deciding where, what, and how they consume content, information, and advice. Banks and platforms will reduce cognitive load by delivering the right content or services at the moment of need, dynamically assembling content and services based on data and context, providing actionable suggestions, and acting on behalf of consumers with their permission.

Digital Banking Experiences Will Evolve Through Three Phases

As consumers adopt new digital experiences and technologies mature, Forrester expects digital banking experiences to evolve through three interrelated and mutually reinforcing phases:

  • Assistive experiences. Currently, consumers interact with banks through chatbots and virtual assistants, asking questions, making payments, and disputing transactions. Banks use data and real-time models to engage consumers with relevant experiences, delivering tailored insights, alerts, and suggestions.
  • Anticipatory experiences. In this phase, consumers will engage in meaningful interactions through multimodal interfaces, sharing comprehensive data with banks and platforms. Conversational AI assistants will evolve into trusted digital financial advisors, using data and predictive tools to generate personalized insights and help reduce financial stress. Banks and platforms will continuously optimize experiences by offering diagnostic tools, coaching, and real-time solutions.
  • Agentic experiences. In this phase, banks and platforms will leverage agentic AI systems for real-time personalization and automation. Consumers will use personal AI agents trained with their data to refine outputs and manage finances. Major platforms such as Apple and Google will use AI to create dynamic experiences, with personal AI agents autonomously seeking information, learning, and acting on consumers’ behalf. As AI technologies advance, digital financial assistants will provide more comprehensive advice across various financial products, transforming the landscape of autonomous finance.

 

Trust Will Be A Key Factor In Shaping This Future

Trust will be a key factor in determining how much personal data consumers are willing to share, the degree of autonomy they allow AI agents, and the breadth of services they utilize. Empowered consumers will demand transparency and control over their data, sharing it only for personalized experiences that offer real value. They’ll tailor their interactions with AI, balancing convenience and control based on perceived risks.

If you’re a Forrester client, read the full report, The Future Of Digital Experiences In Banking, to understand how digital banking experiences will evolve and how to prepare for that future. And stay tuned for upcoming research on conversational and agentic banking as we continue to explore the future of digital experiences. Visit my Forrester bio page and click “Follow” to receive notifications. You can also follow me on LinkedIn here. Forrester clients can also schedule an inquiry or guidance session with me to delve deeper into this topic.