Over the past few years, big banks have begun to take competition from FinTech startups far more seriously. For example, ShareBuilder and ING, financial institutions which were heavily reliant on “online only” customers, were recently purchased by Capital One and rebranded Capital One Investing. Earlier this year, startup Leanvest, an online financial advice company, was purchased by Northwestern Mutual.
Instead of competing with these startups that rely heavily on emergant financial technology, established financial institutions are absorbing these companies and utilizing their knowledge of financial technology to better their own brand.
So how could a small, startup FinTech company get noticed? Here are a couple “must haves” for FinTech companies to get customers, and get noticed.
Desktop and Mobile Technology
While most FinTech firms have already added a significant amount of transaction and investment capabilities on their websites, mobile is still playing catch up.
“Financial services firms have responded to growing consumer demand by introducing new and redesigned apps with ever more powerful data offerings and transaction capabilities,” reports Corporate Insight, a leading competitive intelligence research firm.
To truly have the best customer experience possible, the mobile financial experience should mirror the website experience as closely as possible when it comes to functionality and capabilities. If a firm is unable to provide their users with the latest financial technology enhancements, both via their website and their mobile app, they should look to an outside company who can provide them with the ability to improve their mobile experience.
Hackers have been around as long as the internet itself, so it shouldn’t come as a surprise to anyone that in the past few years, they have turned their attention to financial institutions more often.
For FinTech firms, that do not have the long established credibility of major banks, ensuring their clients security and earning their trust is a major factor for gaining new clients. This is much easier said than done, and often requires a team of experienced and well-rounded programmers with knowledge of the latest data encryption methods. With this in mind, during IT outstaffing process, FinTech firms should be sure they have a dedicated team to ensure security. However, if they do not have the means to do this, one should be secured from an outside consulting agency.
It Comes Down to Reliability
For FinTech companies to both earn new customers, and gain the attention of established banking institutions, they must be reliable. Down time must be extremely low so users know they will be able to make transactions when needed, there should be few differences in experience in the desktop and mobile experience, and they must earn their clients trust when it comes to security. If any of these are issues or even questions in the mind of financial technology startups, they should look to a reliable and agile development company to partner with moving forward.