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Engineering and Technology OPEN ACCESS

TRANSFORMING CUSTOMER RETENTION IN FINTECH INDUSTRY THROUGH PREDICTIVE ANALYTICS AND MACHINE LEARNING

Md Habibur Rahman
Department of Business Administration, International American University, Los Angeles, California, USA
Ashim Chandra Das
Master of Science in Information Technology, Washington University of Science and Technology, USA
Md Shujan Shak
Master of Science in Information Technology, Washington University of Science and Technology, USA
Md Kafil Uddin
Dahlkemper School of Business, Gannon University, USA
Md Imdadul Alam
Master of Science in Financial Analysis, Fox School of Business, Temple University, USA
Nafis Anjum
College of Technology and Engineering, Westcliff University, Irvine, USA
Md Nad Vi Al Bony
Department of Business Administration, International American University, Los Angeles, USA
Murshida Alam
Department of Business Administration, Westcliff University, Irvine, California, USA
Md Mehedi Hassan
Master of Science in Information Technology, Washington University of Science and Technology, USA
DOI Crossref DOI 10.37547/tajet/Volume06Issue10-17
tajet 2024
VOL. 6 / NO. 10 OCTOBER
FULL TEXT PP. 150-163
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VOLUME 6
ISSUE 10
YEAR 2024
PAGES 150-163
RESEARCH OVERVIEW

Abstract

In recent years, the fintech industry has experienced rapid growth, driven by technological advancements and evolving consumer expectations. Fintech companies offer innovative financial services, such as digital banking, investment platforms, and payment solutions, catering to the needs of a tech-savvy customer base. However, as competition intensifies, customer retention has emerged as a critical challenge for these companies. According to a study by Ransom (2021), acquiring a new customer can cost five times more than retaining an existing one, making it imperative for fintech organizations to focus on strategies that enhance customer loyalty. The financial technology (fintech) sector has experienced unprecedented growth in recent years, fundamentally transforming how individuals and businesses access and manage financial services. Characterized by the integration of technology with financial services, fintech encompasses a wide array of offerings, including digital banking, peer-to-peer lending, robo-advisory services, and payment processing. As of 2023, the global fintech market was valued at approximately $309 billion and is projected to reach around $1.5 trillion by 2030, according to a report by Fortune Business Insights. This remarkable growth is largely attributed to advancements in digital technology, increasing smartphone penetration, and a growing consumer preference for online financial solutions. Moreover, the COVID-19 pandemic accelerated the adoption of digital financial services, as consumers sought contactless transactions and remote banking options.

ZENODO DOI:- https://doi.org/10.5281/zenodo.14008362

RESEARCH TOPICS

Keywords

Customer Retention, Predictive Analytics Machine Learning

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