FinTechnicolour? – Weekend Reading
McKinsey’s summary of leading FinTech articles is a fantastic summary of the issues facing global financial services players. There are several sections in this 80-pager that we believe our clients will find the most value….
- Cutting through the noise (page 6) – this is a noisy space with many old and new entrants laying claim to a place in FinTech land. This section of the report truly cuts through the noise and presents a very clear view of the primary value drivers for F/S players and love the “6 Digital Imperatives” chart on page 12.
- Helping Incumbents not Disrupting (page 24) – the notion of cooperation vs. competition between FinTechs and Incumbents has emerged as a more realistic future for the industry. Canada has a unique F/S model with large, dominant and highly successful incumbents controlling the vast majority of clients and assets. We see cooperation as being the only role that we will play as a FinTech provider and this seems to be an increasingly popular position in our industry.
- Banking on the Cloud (page 49) – the movement from resistance to acceptance and now to adoption of cloud apps is accelerating. In our business, revenues generated from Cloud services have increased from 10% to 50% in just 3 years and the discussions that we have had with clients around “resistance” to the Cloud have virtually disappeared. Innovation at a higher pace and lower cost is becoming table stakes and embracing this technology is now an afterthought.
I hope this summary helps you cut through some of the clutter!