Martin Wong, CEO of Think Finance, shows that young consumers increasingly prefer digital solutions to visiting the branch. This situation puts many small and mid-sized institutions in a bind since they don't have the development teams necessary to build digital solutions from scratch. As a result, these institutions will need to partner with more and more fintech companies going forward.
Given how successful the subscription model has been for retail companies (think of Netflix, Birch Box, Amazon, etc.), StrategyCorp's Sicily Axton suggests the possibility of adopting the model in banking. The problem, she says, is that banks need to figure out how to provide a service that's valuable enough that users would be willing to pay for a subscription. Axton lists several ideas worth considering.
Jim Marous revisits the predictions from the first Digital Banking Report publication of the year. (Download it here.) Marous shows that the year's biggest prediction — that more and more financial institutions and fintech companies will partner together — is coming true.
Finovate's Jim Bruene lists the latest rounds in fintech funding and shows that the total hit $8 billion. According to Bradley Leimer, this puts the funding on a trajectory to smash last year's funding.
Bloomberg's Barry Ritholtz writes about how the rise of fintech has already changed the investment industry. He cites numbers to prove his point and then he says, "Just based on my own experience, I've seen the changes take place before my very eyes: My office is small, but thanks to technology, and fintech in particular, we are able to be very productive with just 14 people." Finally, Ritholtz rather pointedly adds, "The future is already here. If you work in finance, the time to get ready for this sea change was yesterday."