The advent of FinTechs was viewed with much skepticism and mistrust by the financial services industry. Banks, the traditional gatekeepers of financial services, at first dismissed the possible impact and then felt slightly threatened by FinTech startups. However, the reason banks have been able to endure through the challenges and turmoil of changing landscapes is their ability to recognize and embrace the opportunity.
The ubiquity of digital technology and its adoption by an increasing number of people indicated that the banking sector’s way forward is paved by digital solutions and services. With their focus on leveraging technology to enhance the user journey of the financial services customer, FinTechs were increasingly able to expand the market size and grab market share from existing players. Soon, banks realized that FinTechs were an opportunity to leapfrog their digital evolution curve. Inevitably, they started looking at FinTechs to bridge the digital gaps between their existing processes and solutions and the end-customer. |
