A+ A A-

White Papers

Fintech to Fintech Partnerships

Fintech to Fintech Partnerships

There was once a time when the term “silos” was a corporate buzzword coined to chastise internal departments in large organisations when they refused to collaborate with each other. This internal sharing caused a wave of change in most organisations, not without resistance. That was a simpler time.

Now, large organisations (like financial institutions) have extended this line of thinking to collaborating with single companies outside of their own in order to reach their strategic goal. Not without its complexities and risk, this transformation has laid the groundwork for another way of change: large organisations collaborating with companies outside their own to bring superior products and services to the consumer faster – helping complex organisations meet their customer’s expectations.

Read more: Fintech to Fintech Partnerships

An African Match: Fintech and Telecommunication Services

Matchi Trend Report - Digital Account Origination

Telecom and fintech companies have been instrumental in highlighting the right of every African to basicfinancial services through their mobile phones. Even though large parts of the continent remainunderdeveloped in terms of having a functioning financial services sector, telecom companies have been producing solutions to millions of Africa’s unbanked mobile users to enable them to buy goods, transfer money, pay bills and access other banking services.

According to a 2016 BCG report, only 25% of Africans have regular bank accounts as financial service providers haven’t made the continent a priority due to the high cost to serve and low margins of traditional bankaccounts in Africa.

Read more: An African Match: Fintech and Telecommunication Services

How Financial Services can embrace the Customer Revolution

Matchi Trend Report - Digital Account Origination

Financial services companies are increasingly seeking opportunities to be at the forefront of innovation. Historically, banks have been slow to translate consumer demands into technologies like paperless statements and mobile check imaging. However, they were quick to implement online banking and, today, customers who bank online are typically more satisfied as well as more cost effective to maintain. Banks have also responded to the shift in consumer demand for mobile banking on tablets and smartphones.

The next challenge facing financial services is how to address the rise of consumer trends evolving mainly outside of the industry. This paper focuses on three significant phenomena that will ultimately impact every bank.

Click here to download: How Financial Services can embrace the Customer Revolution

How Effective Collaboration between Banks and Fintech Firms Drives Innovation

Matchi Trend Report - Digital Account Origination

Globally, many banks are embracing the innovation challenge in different ways. Some become the venture capitalists for start-ups who could become their innovation provider. Others set up in-house innovation labs, encourage employee innovation or join global accelerator programmes. The most recent trend is for banks and innovators to find each other in innovation eco-systems or networks, often facilitated by third parties. Most banks however, follow a multi-pronged approach.

This paper argues that banks need to include working with smaller fintech firms in their innovation strategy. Within the context of banks' legacy systems and the compliance driven regulated industry, smaller fintech start-ups (new and new to the industry) are appropriate and effective collaborating partners. It is perhaps the industry most suited to disruption from the 'outside' in collaboration with the 'inside'.

Click here to download: How Effective Collaboration between Banks and Fintech Firms Drives Innovation
subscribe to our newsletter  
Contact Us  


Don't yet have a login? Sign up now!

By logging in and using this site you agree to the membership terms and conditions for Innovators OR for Financial Institutions