The pandemic forced hundreds of millions of employees to take shelter and ultimately relocate all operations online. Many businesses were caught off guard since not all companies have the necessary technology tools. And in this scenario, FinTech companies were not immune to the impact.
For example, before the pandemic, a few fintech companies began shifting to the cloud. However, many people were hesitant to embrace the cloud migration plan due to valid worries about important topics such as rising costs, handling complicated company data and workloads, retraining existing IT workers, and so on.
The epidemic served as a wake-up call for many organizations, prompting them to consider legacy cloud transfer as a viable and necessary option. Despite the fact that most businesses have discovered that upgrading old, inefficient business software can raise productivity and efficiency, some are still afraid to move to the cloud.
Let’s see why fintech companies should take legacy cloud migration seriously, as well as some of the unique advantages of a cloud migration strategy.
What is legacy cloud migration, and how does it work?
Moving on-premise applications, old software, or programs that a corporation has relied on for years to the cloud is known as legacy cloud migration. Sales and CRM apps, as well as industry-specific applications, are examples of these applications. Because traditional cloud transfer is a challenging task, some fintech companies may be hesitant to migrate to the cloud. Maintaining the status quo, on the other hand, can be detrimental to your company’s growth.
The pandemic has prompted a total re-evaluation of fintech companies’ IT priorities. This period of economic instability brought on by the pandemic impacted all businesses, particularly fintech firms.
Fortunately, cloud migration strategy was accessible when it was most needed — during a period when maintaining company stability was a top priority.
Why should fintech companies consider legacy cloud migration?
People are more important than premises
There was a desperate need for remote self-service technology as the epidemic hit the world in waves, with little time to catch a breath. People matter more than premises, as seen by the significant role played by people who work from home. A year ago, the cloud migration approach was seen as a luxury. Working from home has made cloud migration a must.
As a result, now is the moment for fintech companies to prepare for potential instabilities, disruptions, or even calamities by planning for business continuity. When your company moves to the cloud, you can rest assured that your business is safe.
Ready for the next step
Despite the fact that the epidemic is causing damage, it will eventually pass. However, there is a chance that a similar disruption will occur again in the future. As a result, fintech firms must prepare for future disruptions by acknowledging that the impending disaster may not be a pandemic, but rather its functional counterpart.
Legacy cloud migration will give you the tools you need to weather any future storms and stay robust.
Real-time payments should be made easier
The benefits of real-time payments are well recognized by banks. Upgrades and integrations that enable firms to take advantage of real-time payments are in high demand. The cloud gives real-time payments scalability and agility. A cloud migration plan can increase transaction speed and consistency. Furthermore, it has the potential to facilitate quick and seamless transactions.
Banks can now accept digital payments because of legacy cloud migration. Many of their conventional payment potential issues, such as demand surges, can be addressed by banks.
While customers’ expectations and payment patterns continue to shift at a rapid pace, fintech sectors will benefit from a cloud migration plan to stay relevant and flourish.
For an unpredictable future, scalability and flexibility are essential
Fintech companies need infrastructure that can scale with them while also protecting them from potential catastrophes. Fintech companies that migrate to a cloud platform can respond to branch closures while still providing financial services to as many people as possible. Legacy cloud migration gives you the flexibility to scale quickly while reducing the cost of maintaining and upgrading on-premise infrastructure. Furthermore, it can give your company the accessibility, flexibility, and scalability it requires amid economic downturns.
Handle risks and compliance
Compliance operations will require efficiency, automation, and cloud-based delivery. To improve risk modeling, it is critical to leverage next-generation technologies and innovative digital solutions. Legacy cloud migration can solve many difficulties in operational risk and financial crime compliance tasks because it is fast, flexible, and low-cost. Additionally, cloud-based solutions can help with operational difficulties.
For all fintech companies, collecting big amounts of precise data is a priority. From onboarding to monitoring their purchasing habits, their success depends on all of the data they must collect. Your company’s data can be collected and stored safely on the cloud, and your authorized staff can access it from anywhere as needed.
Lately, we have witnessed a level of disruption that has never been seen before. Financial institutions are being forced to innovate in order to stay competitive due to growing fintech businesses’ ability to quickly gain traction in the global financial services sector. They must embrace customer-centric innovations and back-office solutions that will enable them to deliver a more personalized, value-added customer experience. In an industry long defined by tradition, new competitors as well as innovative solutions, are change-makers.
The fintech industry is currently at a crossroads. Its success will be determined by how it responds to the current crisis. The adoption of a cloud migration strategy and the rapid digitization of fintech companies’ businesses will be critical to their survival.
The migration to the cloud has become a major driver for company growth. It can help your team focus on enhancing productivity and performance while lowering overhead expenses.
As the fintech industry creates a more accessible financial world, cloud migration strategy will become necessary. If you’re thinking about making the switch, contact us and we’ll help you migrate to the cloud swiftly and painlessly without impacting your operations. We can also assist you in developing fintech applications and platforms that take advantage of the most cutting-edge technologies available.
Fintech is revolutionizing the financial services industry, from AI, automation, and augmented reality to cloud, IoT, and data analytics. Those financial institutions who take the effort to develop their fintech strategy and link it with their business objectives will be in the greatest position to help shape the future of financial services.