Post by account_disabled on Mar 14, 2024 4:18:57 GMT
Bank innovation: the importance of startups! Let's go back to talking about Fintech , but this time it's time to take stock. What is being X-rayed is 20016, the year in which there was a real boom in startups in the financial sector . They have raised around 12.7 billion dollars from the world of venture capital. Are traditional banks moulting? It would seem so given that one startup in three has started at least one partnership with a bank with mutual benefits. This change, which this time although atypical, starts from small businesses and then reaches the large financial giants. So while the traditional bank changes its skin, it is the StartUps that are strong in the innovation inherent in the digitalisation of service-products that provide it with its DNA. Both driven by the common interest of having to recover the trust of customers - the dark memories, the reminiscences of which have their roots in the recent economic crisis and the related incidents have not yet disappeared - aim to place the user at the centre.
Its needs establish the new services and digital is the tool that makes it possible. Fintech Find Your Phone Number revolution Investments in the Fintech sector have thus continued to grow, so much so that we can immediately talk about the digital revolution. In Europe, 2016 was the most profitable year, with 1.2 billion dollars raised for 179 deals, i.e. +11% on the previous year and +124% in the last 5 years. The analysis also carried out by P101 , a venture capital fund specialized in investments in digital and technology driven companies, however, sees a collaborative future between new and old players. Startup banking: a tsunami of innovations A push that, although coming from small entities such as startups, has induced traditional banks to innovate, pushing them to create new services to meet the needs of consumers who would otherwise be satisfied by Fintech.
In fact, according to the Digital Finance Observatory of the Polytechnic University of Milan, as many as 60% of international Fintech startups provide banking services (lending, bank accounts, payments), 19% deal with investment services, 5% with insurance services and the remaining 16% of other services (marketing, big data, security, etc.). Not only that: the banking category received 73% of the 26 billion in financing received by the sector overall, and of this figure 60% is dedicated to Lending&Financing (around 15 billion). Faced with a service so close and aimed directly at consumers, the traditional bank seems to be struggling and can only recover if it completely revises its way of "doing banking". startup-fintech-revolution The solution? Open up to innovation Open innovation by traditional banks rhymes with two-way collaboration with Fintech in which we learn from each other, exchanging strengths against each other's weaknesses. While the traditional bank lacks the ability to find new effective solutions, minimizing investments, an aspect that Start Ups bring with them, the latter lack the data and the vast physical network present in the area. A partnership would undoubtedly bring advantages, assuming it works.
Its needs establish the new services and digital is the tool that makes it possible. Fintech Find Your Phone Number revolution Investments in the Fintech sector have thus continued to grow, so much so that we can immediately talk about the digital revolution. In Europe, 2016 was the most profitable year, with 1.2 billion dollars raised for 179 deals, i.e. +11% on the previous year and +124% in the last 5 years. The analysis also carried out by P101 , a venture capital fund specialized in investments in digital and technology driven companies, however, sees a collaborative future between new and old players. Startup banking: a tsunami of innovations A push that, although coming from small entities such as startups, has induced traditional banks to innovate, pushing them to create new services to meet the needs of consumers who would otherwise be satisfied by Fintech.
In fact, according to the Digital Finance Observatory of the Polytechnic University of Milan, as many as 60% of international Fintech startups provide banking services (lending, bank accounts, payments), 19% deal with investment services, 5% with insurance services and the remaining 16% of other services (marketing, big data, security, etc.). Not only that: the banking category received 73% of the 26 billion in financing received by the sector overall, and of this figure 60% is dedicated to Lending&Financing (around 15 billion). Faced with a service so close and aimed directly at consumers, the traditional bank seems to be struggling and can only recover if it completely revises its way of "doing banking". startup-fintech-revolution The solution? Open up to innovation Open innovation by traditional banks rhymes with two-way collaboration with Fintech in which we learn from each other, exchanging strengths against each other's weaknesses. While the traditional bank lacks the ability to find new effective solutions, minimizing investments, an aspect that Start Ups bring with them, the latter lack the data and the vast physical network present in the area. A partnership would undoubtedly bring advantages, assuming it works.