Game changers in Financial Technology

by Marlena Zakrzewska on August 11, 2014

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New technologies transform both life of the customer and the business life cycle. Innovation and advanced technology increase value of products and services offered by nowadays organisations.

Recently I have been reading a lot  about innovation in the financial  sector and how important it  is for banks to become relevant to their customers by adopting new technologies and having an impact on every aspect of the business. As said by Capco, a global business and technology consultancy that is committed to the financial services industry, relevance is achieved by close matching of the customer’s hierarchy of needs to the services provided by the bank and the operational changes needed to deliver those services. During my research I have come across the  Fintech 50 that introduces the 50 most innovative and disruptive brands in financial technology for 2014.

According to Julie Lake and Nicky Cotter Founders, The FinTech50 and FinTechCity,

Unknown-2This 50 is all about the qualities that make FinTech a hot technology sector offering the most eye-watering investment opportunities available – anywhere.

I would like to list few companies that have been mentioned in the Fintech 50 list 2014 as the game changers in Financial Technology.

  1. ABUNDANCE GENERATION
  2. ACCEPTEMAIL
  3. BORRO
  4. BOTTOMLINE TECHNOLOGIES
  5. CALASTONE
  6. CLEAR2PAY
  7. DUEDIL.COM
  8. ETORO
  9. FIDOR BANK
  10. FIVE DEGREES
  11. FUNDING CIRCLE
  12. GOCARDLESS
  13. IWOCA
  14. IXARIS
  15. LINEDATA SERVICES SA
  16. MBANK
  17. NAGRAID
  18. NUTMEG
  19. PAYMILL
  20. PENSIONSFIRST ANALYTICS
  21. SEEDRS
  22. SMARTSTREAM
  23. TBRICKS
  24. THE CURRENCY CLOUD
  25. WONGA
  26. ZOPA

For instance, Abundance Generation with the use of new technologies has created renewable energy investment products, which benefits not only the planet but also gives the individual a chance to gain high financial profits.

Globe and bank notesMany of the FinTech 50 companies demonstrate the qualities that convince global FinTech acquirers to pay a “super premium”

  1. Large and growing international markets
  2. Disruptive and best in class
  3. Attractive business model with strong recurring revenues
  4. Demonstrable opportunity to drive top line growth
  5. World class management teams
  6. Unquantified strategic relevance to the buyer will

I N N O V A T I O N –

T E A M E D  W I T H  I N D U S T R I A L I S A T I O N  T O  E N A B L E  T A I L O R E D  C U S T O M E R  E X P E R I E N CE

According to Alex McCracken, who  is Director in Venture Services and Origination at Silicon Valley Bank’s UK Branch:

The days of large financial services businesses having a “one size fits all” policy and developing in-house systems are over. Instead, to avoid going out of business, banks must be able to make changes rapidly by partnering with or acquiring new FinTech businesses.

I agree that keeping pace with regulatory changes across global markets is essential for any FinTech business wishing to grow while remaining compliant. It is pleasing to see FinTech businesses developing solutions to help existing banks adapt to meet modern demand.

About Marlena Zakrzewska :

Marlena is a consultant with Bearing, with a strong background in analysis, cognitive and behavioural studies and innovation.

Marlena was educated at King’s College London and Humboldt University Berlin, and has been involved in extensive studies regarding social psychology and consumer behaviour.

She believes that by understanding what affects behaviour and, by extension, how to influence behaviour, both organisations and individuals can become more successful. Understanding exactly how small changes to the details of an offer can influence the way people react to it is crucial to unlock significant value.

{ 2 comments… read them below or add one }

Paddy Kamakar August 13, 2014 at 12:05

Thanks for the article. I wad hoping to see more specifics like key product/technology from each, last year/qtr revenue, which major industry gap they are filling uniquely, country/city of origin, etc.
The article seemed to end abruptly.

Marlena Zakrzewska Marlena Zakrzewska August 14, 2014 at 10:06

Dear Paddy Kamakar,

Thank you for your comment, and constructive feedback. I have taken your point into account.

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