Dublin, May 11, 2023 (GLOBE NEWSWIRE) -- The "Global Digital Twin in Finance Market by Offering (Platforms & Solutions, Services), End-use Industry (BFSI, Manufacturing, Transportation & Logistics, Healthcare), Application, and Region - Forecast to 2028" report has been added to ResearchAndMarkets.com's offering.
The global digital twin in finance market is projected to grow from USD 0.1 billion in 2023 to USD 0.5 billion by 2028, at a CAGR of 34.8% during the forecast period.
The primary factor driving the growth of digital twin in finance market is the growing need to develop secure infrastructure. The growing use of digital banking has raised concerns among organizations about managing customer and financial data securely. As IoT has become more extensive, organizations require more robust security and privacy to prevent breaches.
By BFSI, the financial services segment is expected to grow with the highest CAGR during the forecast period
Since consumers prefer using digital channels for financial services, there is a growing need to improve online customer experiences. To address this, financial institutions are collaborating with third-party companies to collect data on consumer behavior online. This data offers insights on how digital twins can leverage third-party data to create virtual assistants, which can replace the need for human support assistants and solve consumer problems through simulated interactions. Therefore, financial institutions must find ways to enhance this experience if they want to minimize costs and increase work efficiency. One practical approach to achieving an automated virtual assistant that can learn from every experience is through a digital twin.
By service, the managed services segment is expected to grow with the highest CAGR during the forecast period
Managed services are important as they are specifically related to client experiences. A technological domain requires well-delivered managed services. The services offered must fit perfectly into the client's environment. Technical expertise, service consistency, and flexibility must be provided by vendors regardless of the client's location. Companies find it extremely challenging to focus on core business processes and at the same time support various other functions. This makes managed services even more important in the BFSI sector such as insurance.
Asia-Pacific to register the highest growth rate during the forecast period
Companies in the Asia-Pacific could benefit from the flexible economic conditions, industrialization, the globalization-motivated policies of their governments, and the expanding digitalization in the region. The growth of the digital twin in finance market is anticipated to be fueled by the surge in urbanization in the region. With rising urbanization and increasing disposable incomes, individuals can conveniently opt for digital services instead of physically visiting banks. This broadens the potential for growth in the market. The Asia-Pacific has witnessed an advanced and dynamic adoption of new technologies and is expected to record the highest CAGR during the forecast period.
Market Dynamics
Drivers
- Growing Adoption of Industry 4.0
- Growing Need to Test New Market Scenarios in Real-Time to Reduce Risks
- Increasing Demand for Secure Infrastructure
- Growing Need to Meet Compliance Requirements
Restraints
- High Cost of Digital Twin Deployment
Opportunities
- Increasing Adoption of Real-Time Data Analytical Tools
- Growing Demand for Open Banking
- Rising Emphasis on Financial Crime Risk Alert Management
Challenges
- Lack of Skilled Workforce
- Growing Threat of Cyberattacks
Key Attributes:
| Report Attribute | Details |
| No. of Pages | 163 |
| Forecast Period | 2023 - 2028 |
| Estimated Market Value (USD) in 2023 | $0.1 Billion |
| Forecasted Market Value (USD) by 2028 | $0.5 Billion |
| Compound Annual Growth Rate | 34.8% |
| Regions Covered | Global |
Key Topics Covered:
1 Introduction
2 Research Methodology
3 Executive Summary
4 Premium Insights
5 Market Overview and Industry Trends
6 Digital Twin in Finance Market, by Offering
6.1 Introduction
6.2 Platforms & Solutions
6.2.1 Benefits Such as Real-Time Monitoring and Predictive Maintenance to Drive Demand for Digital Twin Platforms & Solutions
6.3 Services
6.3.1 Professional Services
6.3.1.1 Growing Need for Ongoing Technical Support to Boost Demand for Professional Services
6.3.2 Managed Services
6.3.2.1 Ability of Managed Services to Improve Client Experiences to Drive Growth
7 Digital Twin in Finance Market, by Application
7.1 Introduction
7.1.1 Market, by Application: Market Drivers
7.2 Risk Assessment & Compliance
7.2.1 Growing Need for Real-Time Asset Monitoring for Risk Estimation to Drive Market Growth
7.3 Process Optimization
7.3.1 Ability of Digital Twins to Check and Reduce Bottlenecks to Boost Adoption
7.4 Insurance Claims Management
7.4.1 Growing Use of Digital Twins to Prevent Delays in Claims Management Processes to Favor Growth
7.5 Testing & Simulation
7.5.1 Need for Digital Twins to Test and Analyze System Behavior in Complex Situations to Boost Market
7.6 Other Applications
8 Digital Twin in Finance Market, by End-use Industry
8.1 Introduction
8.1.1 Market, by End-use Industry: Market Drivers
8.2 BFSI
8.2.1 Banking
8.2.1.1 Growing Need to Improve Customer Experiences to Drive Use of Digital Twins in Banking Sector
8.2.1.1.1 Use Cases
8.2.1.1.1.1 to Check and Enhance Performance of ATMs in Real-Time
8.2.1.1.1.2 to Manage and Monitor Customer Buying Preferences in Banks
8.2.2 Financial Services
8.2.2.1 Need for Virtual Assistants to Solve Consumer Problems Through Simulated Interactions to Drive Demand for Digital Twins
8.2.2.1.1 Use Cases
8.2.2.1.1.1 to Check Performance of Portfolio in Various Conditions Before Investing
8.2.3 Insurance
8.2.3.1 Growing Need for Risk Assessment in Insurance Sector to Boost Demand for Digital Twins
8.2.3.1.1 Use Cases
8.2.3.1.1.1 to Estimate and Settle Claims Quickly
8.2.3.1.1.2 to Detect Fraudulent Claims
8.2.3.1.1.3 to Address Legal and Compliance Risks
8.3 Manufacturing
8.3.1 Need to Cut Time and Cost in Manufacturing Sector to Drive Growth
8.3.1.1 Use Cases
8.3.1.1.1 to Reduce Costs Involved in Manufacturing Operations
8.3.1.1.2 to Improve Cost Savings and Product Quality
8.4 Healthcare
8.4.1 Growing Trend of Digitalization in Healthcare to Boost Adoption of Digital Twins
8.4.1.1 Use Cases
8.4.1.1.1 to Reduce Costs and Improve Efficiency with Oracle Health Insurance
8.4.1.1.2 to Simulate and Enhance Clinical Workflows
8.5 Transportation & Logistics
8.5.1 Need for Transportation Companies to Improve Performance of Assets and Processes to Fuel Market Growth
8.5.1.1 Use Cases
8.5.1.1.1 to Make Calculative Investment Decisions for Cross River Rail Project
8.5.1.1.2 to Prevent Costly Downtime and Repairs
8.6 Other End-use Industries
8.6.1 Use Cases
8.6.1.1 to Improve Energy Operations and Help Companies Enhance Revenue Models
8.6.1.2 to Better Understand Risk
9 Digital Twin in Finance Market, by Region
10 Competitive Landscape
11 Company Profiles
12 Adjacent/Related Markets
13 Appendix
Companies Mentioned
- Altair Engineering Inc.
- Ansys
- Capgemini
- Cosmo Tech
- Deloitte
- IBM
- Merlynn Intelligence Technologies
- Microsoft
- Nayaone
- NTT Data
- Nvidia Corporation
- Oracle Corporation
- Piprate
- SAP
- Tada
- Verisk
- VSOptima
For more information about this report visit https://www.researchandmarkets.com/r/fep7pb
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