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Why Top Fintech Companies Are Looking at Opportunities to Innovate?

Eyes glued to smartphone is a common sight in every corner of the world. You will notice how people love being on their favourite apps at least twice or thrice in a day. 

The rise in social media, eCommerce, retail and even finance related apps show how heavily reliant we have become on these apps.

However, when you look at the various apps, and sometimes even their icons, it is very difficult to differentiate between them. There are too many similar kind of apps in the app store.

That’s precisely why just another fintech solution won’t work for your business

Does it even make sense to roll out another app that does exactly what the previous app did- manage your taxes or, keep record of your investments? 

The answer is a big no! You need to think different and think more from the current trends perspective. 

From not having a word coined for this technology to, Fintech becoming a household name, Fintech has evolved in a single decade. From being silo systems that worked in tandem but not along with other services, today Fintech has been aptly adopted by the different services and industries. It has become more interoperable, and 2020 will see more instances of it.

Let’s take a look at why you cannot have a regular fintech startup like a claims processing app or a general wallet anymore to attract your customers?

#1 Portable Data

Why Top Fintech Companies Are Looking at Opportunities to Innovate?For one, Fintech is no longer a simple mobile app dependent on data alone to operate. There are quite a many factors, including transparency and consumer preferences. You will also need to consider permissions from the consumer.

If you have all your data saved with one particular finance company, it is possible for another company in the segment to access the data with the customer’s permission. So, you need to move beyond data to get the competitive edge. 

It is important for you to build insights, get real-time understanding and interpretation of the data, and finally use it to develop your mobile app. 

In 2020, you need to constantly keep an eye on the evolving customers. They are no longer like the decade old people who will accept whatever you release. They are spoilt for choices, are more aware and empowered. 

You need to keep analysing them, understand how they look at things, tap into the opportunities and identify the breakthrough you might get. 

#2 Blockchain as a Service

Why Top Fintech Companies Are Looking at Opportunities to Innovate?There are several aspects that you need to take into consideration when developing a fintech solution in 2020. Lowered costs and easy adoption are the two main factors among them.

With Blockchain as a Service, you can seek complete and easy global adoption of the fintech solutions. From syndicate formation to digitization of documents and immutability of documents, Blockchain in Fintech can make things more transparent, secure and accessible. In fact, the processing of money and settling of claims will be faster, as the technology can access all records, and ensure that nothing has been manipulated through the different channels.

With no mediator serving in between, it becomes easier for the companies to channelize solutions in a better way. 

#3 Open Protocols and Infrastructure

The main reason why most companies are yet to evolve as a complete financial company is because of the protocol, license and infrastructure barriers. It prevents these companies from complete testing of their functionality against possible risks, adherence to compliance and legal hazards. In many cases, everything needs to be built from the scratch, which is both time consuming, and not completely evolved.

However, things are changing with the open protocols, as banks are allowing the fintech companies to access their risk management systems and other proprietary solutions, which allows them to test their apps against the compliance and legal factors.

Apart from this, the companies can also use Github and other commonly accessed libraries where the entire code is stored to use the code and complete the app development.

Infrastructure and service layers are also provided by the platforms like Stripe, which makes it easy for the company to incorporate all the basic financial functionality into the app solution. 

You would have realized that the changing landscape is an important reason why people don’t want just another solution or app that works like the previous ones. There are more opportunities and untapped potential waiting for you

The competition is fast evolving, and along with new Fintech startups, traditionally operating banks are also upping their game.

The new Fintech startups are not only offering normal banking products or, helping with banking solutions, but also allowing you to manage your money, and helping banks adopt the new landscape.

Novel Ideas for Fintech

  • Opportunities are increasing in the consumer finance segment. Banks are coming up with savings scheme every now and then. Additionally, you would have seen a growth in the number of products released in this segment each year. Consumers are getting confused as a result, which has resulted in the slowing down of the adoption of these products or in the number of investments made by them. Consumer finance solutions are a great way to begin. You can actually start working on products that can help the consumers understand how to invest in the different schemes, work on their money, know where the money is going, and even understand ways to save the money.
    • Titan invests your money into a portfolio of different companies. It is more like your portfolio manager, helping you become better investors of your money
    • Pluto Money, a gamification Fintech solution, is aimed at helping you save money by challenging you with simple money saving games.
    • Digit keeps a check on your spending habits, and helps you save money in the long run
  • Banks are still not as up in the game as the newer financial startups are. As a result, it is time to provide banks with the easy ways into the game. One such opportunity lies in ensuring apps that can help banks to create app-based products for the end customers and improve their adoption. This way banks don’t need to be competing with newer products and they can find ways to retain their customers across all channels
    • FintechOS has come up with several plug-n-play products which allows banks to roll out new products against the requirements and opportunities in that segment. They allow banks to keep up with the customer expectations and keep improving their products accordingly
    • Branch.co analyses the consumer’s credit history and their eligibility for the particular banking product. It offers them as solutions to the banks, which allows banks to take the requisite decision.

These are just few banking and fintech ideas that have been universally adopted. Let’s take a look at four promising Fintech companies, and how they are changing the landscape

  • Stripe: Started out as a platform that allowed small and medium ecommerce sellers to accept payments from anywhere in the world. Today it offers the same solutions to giant sellers such as Microsoft and Amazon. They also have newer products on-board  such as PoS software and billing platform for the subscription based services
  • Robinhood: This is an app that offers stock trading solutions that too without charging any commission. It is a subscription service, and as an investor, you gain access to margin trading as well
  • Credit Karma: Allows people to see their credit scores, helps people prepare their taxes and even fixes the errors in the credit reports
  • Gusto: Aimed at helping small businesses with payroll processing, managing resources and other HR and accounts related activities

Startups to watch out in 2020

Why Top Fintech Companies Are Looking at Opportunities to Innovate?

 

  • Securitize: A Blockchain enabled company that allows traders to work with private companies with the help of global solutions that are secure.

 

  • Radpay: Faster checkout for reduced cart abandonments is the ultimate goal for Radpay. It has offered a platform that makes payments smooth and easy
  • Hastee: Employees can remove a part of their salary on-demand as per their needs, thus giving them more power

 

 

Fintech is evolving, as you can see, and a lot of excitement is in store in this segment. If you want to know how the industry is evolving, and what’s new, then check out the European Fintech Forum 2020 scheduled on the 28th and 29th January. 

Fintech is a growing and evolving landscape, and you will need to keep evolving and tapping into newer potential. 

That’s where I come. It is not easy to identify an idea and begin working. It is even more difficult to keep up with that single idea and launch it into an app solution.

I believe, having been in the domain of software delivery for a while now, has given me the expertise and experience to help people who are either just starting out or, have reached a crossroad where they need help.

I was once responsible for timely delivery as well as quality software solution. however, the most important part was never disclosed- innovative solution. Yes, I used to help validate the idea, and even help companies realize why a particular idea would not work or, how best to innovate the idea they have.

Today, I am connected with several mobile app development companies, along with people who want a mobile app developed. I act as the mediator, responsible for validating the ideas and counselling the companies towards a more responsible mobile app development. 

Here’s what I bring to the table.

  • Innovate the available idea. It is very tempting to copy something that is readily available. However,I offer Fintech consulting services, which allows me to validate the very idea so that you don’t bring to the table yet another Fintech solution that is normal and boring. It is important that you are solving the real-world problem
  • Process that resolves delays. I believe that with a through and defined process, there are minimal chances of delay in deliveries. You will be able to offer the end solutions within the stipulated time, and you will even have time to incorporate the feedback, which is an essential part of the process

Summing Up

If you are into banking and finance industry, and want to know if you should develop a mobile solution or not, then it is time to bring me on-board.

I not only consult with respect to whether a mobile solution is needed or not, but also offer my inputs in delivering the perfect app solution.

With new Fintech solution coming up each day, it has become important for you to innovate and create something impressive out of your idea.  If you combine intelligence and technology and of course me, you would get something substantial for your mobile app.

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