FUTURE OF FINANCIAL SERVICES
“ Advancing on the digital maturity scale requires financial institutions to digitise across their value chain , the heart of which is in the back-office ”
PHILLIP O ’ NEILL FINANCIAL SERVICES DIRECTOR , KIN + CARTA EUROPE
As traditional banks continue to adjust , it ’ s their brand recognition that has held them firm among loyal customer bases .
Now that we enter 2024 , we look at where the power struggle will be fought in the battle between neobanks and legacy banks .
Neobanks vs legacy banks : How will things shape up in 2024 ? While the threat of neobanks has loomed large over their traditional counterparts for some time , Shuvo G . Roy , VP & Head of Banking Solutions , EMEA for Mphasis believes they will only step up the challenge . “ We will also see some consolidating defensive moves by traditional banks and their digital avatars ,” he adds .
For Roy , neobanks have not had the kind of traction they would have hoped for over the last two years , slowed down by COVID-19 and the cost-of-living crisis . As the economy continues its gradual recovery – in what is still set to be a volatile 2024 – “ we will not see too many new players come up and may also see some consolidation ,” says Roy .
“ The larger neobanks will scale up and push for additional market share , sometimes rebalancing the equation between themselves too , as opposed to against traditional banks alone .”
fintechmagazine . com 105