Rajasekar Sukumar Today ’ s financial institutions and investors are actively seeking fintech platforms that can help them navigate the evolving landscape and stay competitive .

For traditional banks , transforming their infrastructure is a top priority , driven by the need to reduce overhead costs . The expensive nature of town centre locations and outdated processes has significantly hindered traditional banks ’ performance , prompting a pressing demand for more streamlined and cost-effective solutions .

Moreover , the focus is shifting towards meeting the evolving expectations of customers , who increasingly demand a banking experience that is simple and hyper-personalised . Investing in fintech platforms to improve online presence not only reduces overheads and the need for outdated legacy tech , but it also meets customer demand for easy-to-use banking systems with personalised offerings .

The risk of losing market share to digital-first financial services is also a looming concern for banks that resist transformation . The emergence of providers like Monzo , Revolut , Wise and Pockit , with their innovative models , exemplifies the potential threat to traditional banks .

Financial institutions and investors are thus seeking fintech platforms that enable a swift and effective response to market changes . A modern and agile infrastructure is considered crucial , allowing banks to innovate rapidly and launch new services that meet the dynamic demands of the market .

Nick Holt With investment in fintech in Q3 2023 a quarter of what it was a year prior , fintech platforms need to meet certain criteria to secure investment . Investors are likely to use critical indicators to determine whether to invest , such as referenceable customers . Essentially , fintechs have to signify that they have a smart and sustainable solution that can succeed in the face of what is expected to be a difficult upcoming financial period .

The good news is , if companies can address an existing problem that a large number of people have and solve it in the right way , there is still tremendous opportunity for innovation in fintech . Consumer demands are constantly changing , and individuals increasingly require more flexibility , real-time payments options , seamless checkout experiences and access to new , emerging technologies . Therefore , any fintech platform offering improved , agile solutions that meet changing demand with a high-standard product can gain investment , esteem and even apply pressure to other industries to be more nimble and respond to changes more quickly .

Babs Ogundeyi Fintechs that embrace new technologies , like AI , and those that are continuing to increase their customer base to ensure sustainable growth . Gen Z ( and subsequent generations ) are undoubtedly more welcoming towards fintechs and neobanks than their parents and grandparents . Technology has always been a central pillar

134 March 2024