Nearly 80% do not feel an immediate threat from fintechs, but are learning from their efforts
Traditional financial institutions embrace fintech disruption – research. Source: shutterstock.com
As new technologies and regulations bring new opportunities and challenges to the financial services industry, nearly two-thirds of established companies are leveraging fintech capabilities for growth, according to a new survey from Harvard Business Review Analytic Services. That number is expected to increase by 20% in the next three years.
“In the Game: Traditional Financial Institutions Embrace Fintech Disruption” surveyed 300 senior executives at financial services companies to gauge their views on the opportunities and threats brought about by newer, nimbler competitors that rely heavily on specialized software, algorithms, and technology to offer their services.
The Mastercard-sponsored study showed that traditional institutions are “banking” on brand recognition, customer trust, physical distribution channels, and experience navigating the complex regulatory environments to maintain a competitive advantage. In fact, nearly 80% do not feel an immediate threat from fintechs, but are learning from their efforts.
