Connect with us

Business

The top four fintech trends on the horizon 

Published

on

David Jarvis, CEO & Founder, Griffin 

 

On a global level, there has been an explosion of innovation in the fintech space fuelling investor confidence. In turn, the value of the global fintech market has risen from $127 billion in 2018 and expected to grow to $309.98 billion by 2022.

Griffin david

With record investment levels comes snowballing trends, which begs the question; what is the next big thing in fintech?

  1. Embedded finance is going mainstream

This year, embedded finance – the seamless integration of financial services within non-financial environments – is set to go mainstream. The pandemic accelerated consumer demand for seamless digital experiences in every aspect of life; from managing money and making payments to accessing credit with minimum hassle. As a result, financial service institutions have been forced to adapt their roadmaps to meet ever-evolving consumer demands. Disruptive companies are at the forefront of recognising this, embedding financial products into their customer experience. This enables brands to further monetise themselves and create satisfied, loyal customers, and if A16Z is anything to go by; every company will eventually become a fintech company.

Now, it is becoming increasingly easier for brands to embed financial services into their products. With this in mind, as the ecosystem matures and a host of new technologies enter the market, it is likely we will see embedded finance become intrinsic to new ventures. Mid-sized businesses, tech startups and even traditional highstreet brands are set to be focusing on updating their customer experience to host financial features within the fabric of their business operations.

  1. One-click checkout will be front of the queue

Manually inputting contact details and credit card information at point of purchase can leave 69.82% of online carts abandoned. Now, it has been over a decade since Amazon spearheaded the one-click check out, removing arduous shopping cart forms and allowing customers to purchase goods with just one click. Since then, one-click purchases have become a standard convenience within the world of e-commerce and a collection of game changers are entering the space such as Stripe, Apple Pay, checkout.com, bolt, PayPal and more.

Retail is set on a digital pathway with an accelerated shift to omnichannel purchasing methods as consumers buy items through platforms such as Instagram and TikTok. Convenience is king, and brands know that by removing layers from the checkout process they stand a better chance of closing the deal.

From this I expect we’ll see digital payment methods spell the death of the physical credit card, giving way to consumer expectations for brands to ditch manual check-out processes. In addition to this, new players will look to go even further with integrated options such as one-click insurance or BNPL schemes.

  1. Web3 will become accessible and take a first step in safeguarding consumers

It’s no secret that the majority of apps and content on the web is being run by a concentrated group of “Big Tech” companies. Web3 is receiving a lot of noise at the moment, with good reason too. Comparatively, Web3 will be built on a decentralised system with distributed, user-driven ledger technology (blockchain), the same tech that already underpins Bitcoin and other cryptocurrencies. The aim is to decentralise finance and redistribute the market share. On this platform, users will be given “tokens” for participating, used to vote on decisions, and even accrue real value.

Though Web3 is growing in popularity and shows great potential to democratising the web, there is something fundamentally contradictory about its promise. We’ve seen the uproar over personal data being shared with Big Tech companies, yet Decentralised Finance (DeFi) – Web3’s primary financial exchange mechanism – leaves consumers at huge risk. Blockchain inherently makes data public because DeFi is built exclusively on blockchain and does not rely on any financial intermediaries (brokerages, exchanges, banks, etc) for people to exchange funds. This enables direct peer-to-peer transactions, but the lack of oversight or accountability disables adequate user protection.

With such technical barriers to entry for new Web3 users remaining high, new users will frequently struggle to engage with the technology in a positive and safe way. When a person becomes the victim of fraud or any other type of financial crime in the world of DeFi, the algorithms that power the technology don’t have any remit for recourse. As we move forward, I expect Web3 developers will deliver solutions to the three challenges of accessibility, usability, and consumer protection, giving the public the confidence they need to adopt it at scale and create a safe environment for financial transactions.

  1. Compliance and regulation will set the tone

In 2021, the fintech community saw dramatic growth; as the State of Fintech Report findings show there were 43 fintech unicorns in the third quarter alone – double the number recorded for the same period last year. This comes as no surprise as financial UK tech firms grew by sevenfold last year to £27.5bn. With this, challenger banks and neobanks have been able to deliver the mobile-first user experience that consumers now expect from all transactions. Brands favour these new features and partnerships as a way of side-stepping slow onboarding and compliance processes associated with legacy banks. But whilst fintechs swiftly leap and evolve in line with consumers, others are close to getting their fingers burned. Due to rocketing customer growth, Monzo was feeling the heat from the FCA due to concerns the bank was struggling to stay in line with compliance and know-your-customer processes.

In 2022 compliance will continue to come to the fore, and not just for the sake of ticking a box. Rather, it is a mission-critical pillar for every financial services institution or fintech looking to bring a product to market. Whilst customers expect a speed-driven experience and accountability, regulators are cracking the whip on compliance. The challenge here will be for CIOs and CTOs to meet customer standards without compromising financial crime checks and controls.

 

What’s next?

The trends discussed above are just the tip of the iceberg, and we will continue to see the fintech sector gain momentum as the industry matures. The rise of new platforms like Web3, cryptocurrency, instant checkout and brands incorporating embedded finance goes to show this year will be pivotal for fintech innovation, and what an exciting time to play a part in it!

 

 

Business

A new beginning for financial services B2B marketing

Published

on

Financial services B2B marketing is dead. A bold statement with B2B ad spend set to pass $30bn next year in the US alone. But it is dead, or at least, it’s dead boring.

B2B marketing has long carried a reputation for being dull, lacking emotion, heart or guts. Indeed, the same could be said for financial services, with its technical jargon, long-winded T&Cs and an array of complex services and products to promote. Put the two together and you have a considerable marketing challenge on your hands.

Michael Richards

But there are green shoots of change springing up on the beige horizon, as financial services businesses begin to recognise that they deserve better and start to see the lessons to be learned from their B2C peers. For example, many financial services B2B brands moved to digital to refine client experiences and grow relationships during the pandemic, meaning they could connect with businesses in a more accessible way through tailored and creative solutions. But it’s not enough to just convince a business to buy a product or service with a smattering of data and a selection of charts. There needs to be a focus on provoking the truth about these progressive brands; giving them what they deserve: intelligence, imagination and emotion to provoke their truths and tell their stories in ways that just can’t be ignored.

There are so many financial services B2B brands that are missing the mark on creating provocative work and telling their stirring stories. The industry is full of inspiring stories but needs to adopt the techniques of B2C (and fast) to avoid being left behind.

Below, I’ve outlined three approaches B2B financial services marketing should take from B2C:

 

Be 100% brand and 0% product

Let’s look at the lessons we can learn from one of the biggest brands in the world. Coca Cola used to advertise on a single poster with simple descriptive messaging that didn’t make a lot of sense … but that was in the early decades of the 20th century. Coke is now one of the most instantly recognisable brands in the world. It has evolved so much from that early uninspiring product messaging that some Coke ads today feature nothing more than a red background, a white glass bottle silhouette and the message ‘Open Happiness’. 0% product, 100% brand.

Financial services business brands can learn a lot from this. Very few are tapping into the vocabulary of emotional marketing. They sell their product in line with industry jargon, expecting their ever-changing audience to understand what they mean. When really their product or service should be learning to speak a new language. One that showcases the brand over the product, communicating to their audience with a personality and values of their own.

No company can rely solely on their product features because no product is unique anymore. The power of a brand can generate that differentiating value that will set it apart from the competition.

 

Use data to personalise your offer

Data is the beating heart to personalisation. It gives businesses the foundation to build a product that is bigger and better than its competitor. One that entices new audiences while maintaining loyalty.

Consumer brands are obsessed with collecting data to better their product and reach audiences far and wide. In fact, nearly 90% of UK shoppers will hand over their personal information for improved online customer experiences.

B2B businesses also use data, but on a much narrower scale. In a survey of B2B companies, only 25% of B2B businesses use data weekly to understand customer needs, while 9% admitted they never use data at all. This is evident given that 47% of B2B buyers who need a new financial service go straight to their existing bank, and 75% of those who claim to shop around also end up with their current bank. Most buyers don’t even consider more than two brands. Meaning lots get left behind.

This is where B2B marketing shouldn’t just rest on its laurels of tedious white papers and limited data. It should inject its own personal touch and emotion by undertaking its own research and data collection to produce insightful pieces of research and showcase its unique findings. This can include specific consumer trends and behaviours in the financial services space, so they can really understand their audience and further improve their product.

 

Be audience aware

Audience Blindness is a condition that hinders B2B brands from seeing that business decision-makers have changed. They have become younger; they’re millennials. The content they consume is worlds apart from what their predecessors consumed and is constantly evolving – particularly as we enter Web 3.0 and the metaverse.

Even in the finance sector, B2B marketing is still about appealing to ‘people’ and their needs. B2B isn’t a machine and shouldn’t just cater for a computer. It needs to connect to real life audiences – those with feelings, thoughts and emotions. Because behind every business partnership is a room full of people interacting, debating and sparking ideas.

The B2C financial services sector has progressed significantly, understanding changes in audiences and catering to new needs and desires. The rise in neo-banking, investment made easy and services specifically for young adults and children looking to save is testament to this. They’ve introduced digital-first approaches, influencer techniques and new ways of improving the shopping experience through buy now, pay later (BNPL).

We’ve seen glimpses of B2B’s new beginning, but its future is to live in the present, and inject it with the power of B2C. Only then can B2B see the new audience, hear the new market and feel the new world.

Continue Reading

Business

Need a business broadband package? Here’s what you need to know

Published

on

By

Author: Kerry Fawcett, Digital Director at Radius Payment Solutions

 

Does your business have a broadband supply that is speedy, cost effective, and most importantly, reliable? If not, now is the time to put that right. Online is king in this day and age, and no matter the size of your company, a good business broadband supply is vital to allowing staff to work as they need to. Here are some tips to find your organisation a business broadband package that fits it like a glove.

 

  1. You need to choose the right business broadband package

There are a number of reasons why your business might need a business broadband deal. Such reasons can include email which helps you stay in touch with customers and suppliers, social media access so that you can communicate with your customers and provide support, research and web browsing that your employees may need to do as part of their jobs, and general marketing tools which are nowadays more often than not web-based and require an Internet connection.

Also, let’s not forget that the people who want your products and services are online too—they use the Internet and search engines to find what they need. If this is your product or service and you do not have an online presence, their business will go to your competition.

That said, the decision on which broadband package to opt for is far more complex than simply choosing the deal with the fastest speed, or the cheapest price. Depending on the business, things to account for include data management, other services like email, and backup options.

With any package, however, it is important to look closely at the services being offered and whether they match up with what you are looking for. Also, check to make sure that they are built with business use in mind and have not been designed solely for consumer-grade activity.

To ensure your business chooses the right broadband package for its needs, make sure that you account for these three things. By doing so, you end up in a much better position to begin comparing options:

  1. Before choosing a broadband package, be sure to look at and understand how your business uses the data it is creating and storing. This will ensure that your broadband package can handle the data loads your business produces.
  2. Make sure to read and study service level agreements (SLAs). Every single half-decent business broadband package will have one of these—if they don’t, avoid the supplier—and looking closely at the clauses helps you avoid nasty surprises.
  3. Look for a broadband provider that has a bandwidth utilisation of below 50%. This will avoid bottlenecks and make your website and general broadband services a lot faster, enabling more data to be processed more quickly.

Price is certainly a factor, though. Whether comparing the price of business broadband, business mobile phone tariffs, or anything else, it makes solid business sense to make sure you are getting the best deal possible for your ideal product.

 

  1. Be aware – business broadband is not the same as home broadband

It is wrong to assume that business broadband is the same as the broadband that the vast majority of us have at home—it’s not. Business broadband packages include features that are specifically designed for business customers.

Generally speaking, a business broadband connection is set up and optimised to meet the increased demands of a business. Therefore, the features that are often found in a business broadband deal include prioritised customer support on-hand to provide immediate relief should something go wrong, faster upload and download speeds that can cope the bandwidth demands of a commercial office, better security features that protect your assets and data, and static IP addresses that allow you to run CCTV, host your own website, and authenticate intranet users.

What’s more, business broadband packages will usually come with generous—often unlimited—usage limits and competitive price points that aren’t too dissimilar to home broadband packages and plans.

 

  1. Explained: Business Broadband vs Home Broadband

For any readers still wondering about the most important differences between home and business broadband, here are four things that you don’t tend to get with a home broadband deal.

  1. Guaranteed service levels
    Returning to the point made about SLAs, business broadband providers will offer customers a guarantee to keep the broadband service up and running, and to do all they can to bring it back online should things go wrong. If a situation occurs where a provider is unable to do this in a pre-agreed timeframe, your business will often be compensated.

It is rare for home broadband packages to come with such a guarantee.

  1. Prioritised traffic
    Some of the best-known business broadband providers such as TalkTalk and BT prioritise traffic for their business customers over non-commercial home broadband customers.

This of course means that the speed and quality of your Internet connection will not be negatively affected by other customers’ usage patterns during peak times, such as when HD media and games are being streamed and played.

  1. Business-centric customer support
    As a business, it is vital that your broadband connection is restored as soon as possible should it go offline. If you don’t, you run the risk of losing revenue and having your reputation harmed. Business broadband providers know this all too well, and for that reason they typically offer around-the-clock, UK-based customer support.

This is in contrast to home broadband where customer support operatives are only available at select times, usually during business hours.

  1. A static IP address
    Most business broadband deals provide you with a static IP address. This type of IP address enables you to use your business broadband for some very useful business-critical operations, such as:
  • The hosting of your own server (vital for CCTV, file transfers, client services);
  • The hosting of your own website and domain name servers;
  • Enabling remote connections by your employees to their work desktops; and
  • Making available systems that require authentication, such as intranets.

Instead of a static IP address, home broadband packages include a dynamic IP address which changes each time a new connection to the Internet is established.

Continue Reading

Magazine

Trending

Finance49 mins ago

Why You Should Work on Your Financial Literacy

A lack of financial understanding plagues our society. Most people have very little understanding of finances, which means they struggle...

Business22 hours ago

A new beginning for financial services B2B marketing

Financial services B2B marketing is dead. A bold statement with B2B ad spend set to pass $30bn next year in...

Finance1 day ago

Boosting Blockchain Security with Graph Technology

Dan McGary is Senior Sales Executive for Mid-Market Enterprise East at graph database leader Neo4j   As blockchain-backed cryptocurrencies become...

Business1 day ago

Need a business broadband package? Here’s what you need to know

Author: Kerry Fawcett, Digital Director at Radius Payment Solutions   Does your business have a broadband supply that is speedy,...

Finance1 day ago

Double and triple extortion tactics cornering financial services organisations

By Ian Wood, Senior Director and Head of Technology, UK&I at Veritas Technologies   Ransomware continues to keep those in...

Banking1 day ago

How are Variable Recurring Payments set to revolutionise the future of banking?

Sean Devaney, Vice President of Banking and Financial Markets at CGI UK   The adoption of Variable Recurring Payments (VRP)...

Top 101 day ago

Energy Storage Represents Latest Investment Opportunity in the Clean Energy Transition

Alan Greenshields, Director of Europe The ongoing transition to clean energy has spurred new technologies, new markets and new opportunities...

Business2 days ago

Innovate UK £25 million up for grabs: July deadline approaching

By Emma Lewis, Myriad Associates   The latest instalment of Innovate UK’s SMART grant competition was launched in April and...

Business2 days ago

Is telephone Hot Desking really needed anymore?

By Simon Horton, VP of International Sales at Sangoma   The world of work has totally transformed as we all...

Finance2 days ago

Mass crypto adoption: are seamless card payments the missing link?

By Justin Fraser, SVP Enterprise Sales, at Paysafe   Cryptocurrency awareness is at an all-time high and after more than...

Finance5 days ago

Hey, Gen Y and Gen Z do you think you can retire comfortably?

By Penelope Gregoriou, technical investment specialist at Alexforbes   Millions of South Africans rely on the money saved in their...

Uncategorized5 days ago

GDPR: data security four years on

Bruce Penson, the managing director of cyber security and IT support company Pro Drive IT, outlines how GDPR has changed...

Banking5 days ago

The importance of Customer Experience (CX) for retail banks today

By James Isaacs, President, Cyara   Today’s retail banks face considerable challenges. Open banking initiatives –  that make it easier...

Finance5 days ago

Getting ready for VAT digitisation: automation is key

Christiaan Van Der Valk, Vice President for Strategy and Regulatory at Sovos, says technology will power real strategic success for...

Banking5 days ago

Challenging the challenger: Why the digital transformation of traditional banking is key for competing with challenger banks

By Sam Schofield, Senior Vice President: Global Enterprise at Udacity   Monzo and Revolut are only seven years old. Starling,...

Wealth Management5 days ago

Green with Envy – an Environmentally Conscious Data Center

Mark Fenton, Product Manager, Future Facilities   Environmental considerations are at the top of every business leader’s agenda and an...

Technology5 days ago

How Digital Adoption Platforms can enhance digital transformation and customer experience in the insurance industry

By Vara Kumar, CPTO & Co-founder, Whatfix   Like many industries, the insurance sector was prematurely hastened towards digitalisation due...

Business6 days ago

Why do Traders Need a Managed Service Partner?

Jeff Mezger, Vice President of Product Management, Financial Markets, TNS   Does your financial institution have the understanding, resources, talent...

Business6 days ago

The FCA will take immediate action on customer vulnerability; here’s how firms can prepare.

Author: Jonathan Barrett, CEO and Co-Founder at Comentis   Identifying and supporting vulnerable clients has become a priority for financial...

The Green Revolution In Investing - Sustainable Investing The Green Revolution In Investing - Sustainable Investing
Business6 days ago

How fintech is key to empowering climate action

Attributed to: Rory Spurway, CEO & Founder of CarbonPay   As human activity continues to have a significant impact on...

Trending