When does your FinTech future begin?

Partnering is the backbone

Open X will move our collective focus from product to experience; assets to data; ownership to shared access; and building or buying to partnering. There’s little doubt that partnering will be the backbone of it all.

Players that strategically select complementary partners, adapt their business models, leverage new technologies, and recruit talent with relevant skills sets will be positioned to grow profitably, according to the just-published World FinTech Report 2019 (WFTR 2019).

Questions abound. What role will players in the mix take? How will each find a niche in which they can lead? How will they simultaneously leverage offerings from other players in the customer journey? How will they master a game in which everyone has areas of expertise and comfort zones, but no single player has a mastery of every skill set?

A collaborative ecosystem of players

FinTech firms struggle to scale up operations, while some banks stumble when it comes to effective FinTech collaboration. Tapping into the collaborative ecosystem of players – while also playing niche and strategic roles – will be the key to surviving and thriving in the Open X world, concludes the WFTR 2019.

Only 26% of bank executives surveyed for the report and 43% of FinTech executives said they had identified the right partner. The answer lies, therefore, in the confident and experienced orchestration of relationships within complex ecosystems. Orchestration is becoming increasingly critical in financial services as the industry diversifies and new players assume new roles and responsibilities. Collaboration is critical, but it’s the orchestration of these relationships that will make or break big ideas.

Empower your customers

New ecosystems empower a raft of new customer experiences that, in turn, embolden customers to try, and then expect, ever more sophisticated products and services. Look at Edinburgh-based travel fare aggregator Skyscanner. Once upon a time, we used travel agents; then we progressed to online, direct flight bookings; now we can compare prices across routes and multi-city stopovers. Along the way, we book a hotel room, lease a car, and lock down travel insurance.

Banking embedded in the everyday

Sooner than later, in consumer banking, we’ll see a focus on diverse applications for a diverse range of customers, with youth banking, hyper-personalization, dynamic finance, and wealth management being growth areas. For example, in youth banking, we’ll see banks embedding payment and money transfer into non-traditional places, like apps and social media for gigs and festivals. In this new world of experiences, banking will be part of the experience. Literally, banking embedded in the everyday.

Create new realities

The world of banking is vibrant and energetic, with roles and responsibilities changing overnight. Alibaba’s Alipay, China’s third-party online payment platform, is a prime example of how customer intimacy hierarchies are morphing across sectors, quickly and seamlessly. In developing economies, interactions with bank staff and personal service are highly prized. Alipay has managed to overcome the odds and is successfully taking away the friction associated with online financial services. Of course, the traditional banking sector also has its challenges, as the notion of pure banking dissipates, and a new reality takes hold.

Orchestrating inventive propositions

In this disrupted world, at Capgemini Invent, we define our role as an orchestrator, helping to smooth your path through new and exciting ecosystems of collaboration and communication. The result is our new, easy-to-use Inventive Banking offer. The platform connects you to dynamic innovators and their ideas, delivering fast onboarding, and proactive management of new partnerships. Together, we’ll identify game-changing themes, create unique business propositions, and quickly get them to market. It’s all about an infrastructure of collaboration and partnership and speedy realization of ideas – ensuring we go from ideation to launch quickly and efficiently.

An inventive track record

In essence, this is about applying our extensive knowledge and experience across sectors. We’re already working in close and productive collaboration with many companies outside the financial services sector – especially retailers, telcos and utilities – looking at ways to deliver innovative offerings in a disrupted environment.

For example, in a bold world first, Orange became the first telco to become a bank – through a true open banking collaboration. From project start to public launch, Orange Bank hit the market in less than 18 months. The challenge was to invent a new bank and to secure the integration of more than 40 technology partners (including solutions, FinTechs, and service providers) in a very aggressive timeframe.

Ignite your inventive business

Whether you’re an established bank, challenger or new entrant, the Inventive Banking platform will help you to collaborate, rapidly develop innovative propositions, and launch successful new beta businesses. Tap into our expertise and invent new ecosystems, we’ll help you create next-generation, breakthrough products and services that allow your customers to bank clever and live better – while delivering profitable growth and competitive advantage to your business.

Kickstart your FinTech future. Visit www.capgemini.com/inventivebanking or contact me.