BANKING
“ The reality is that banks ’ IT operating models aren ’ t typically geared towards third-party collaboration ”
PAUL CRERAND MULESOFT
Strictly business partners According to Nikolai Hack , Head of Strategy and Partnerships at Nucoro , the partner networks revolution has resulted in a couple of marked events . He says that two things have happened in recent times .
The first is that partnering ( as opposed to building or buying ) has moved from the fringes and auxiliary parts of a proposition to its core . He says , “ Whereas in the past , you would have partnered on non-essential aspects like KYC checks and digital signatures , now you partner on key parts of the offering like your lending or saving products .”
The second change is that whereas partnering used to be mainly a tool for smaller players to move faster , it has now also moved from fintech and challengers to the biggest incumbents in the space .
Exactly when these shifts took place is difficult to decipher , but Hack believes there is a fine line between partnering and the more classical way of looking at it as using the services ( or integrating the products ) of an outside player .
“ One thing is certain , however , the government-imposed lockdowns and forced closures of physical businesses have shown many players that they need to move faster in their digital transformation – and partnering allows you to do that ,” he concludes .
Todi Pruteanu , VP of Ecosystems at FintechOS , offers insight into this . “ Through a partner network , banks can accelerate the speed-to-market and distribution of fintech solutions , and in return fintechs can gain access to banks and the banks ’ customers ,” he says . “ The reason why these networks have grown in popularity is because they benefit both parties .”
Pruteanu believes the relationship between fintechs and banks is complicated and becoming more complex . “ Fintechs