Incumbent mobile banking vendors have a long relationship with retail banks. Sometimes it originates from a deployment of the bank’s core banking. Nonetheless, as Gartner points out, many of these incumbent providers have failed to keep up with the customer experience and are providing bank with solutions which bank’s customers simply dislike. Solutions that are slow, complex to use and far from expectations.
Moreover, if a bank would like to introduce a new feature or replace the present application the incumbent vendors are slow to react.
For these reasons Gartner suggests that banks should look to startups, rather than their current banking system providers, for innovation. One of those recommended by Gartner is Finanteq mentioned in “Predicts 2016: Digital Banking Initiatives Will Fail Without Strategic Investments in Emerging Technologies”.
“It can be difficult for CIOs to justify investment in their solutions to their boards and regulatory agencies, but don’t use that as a reason to exclude new vendors.” – as we can read here.
Gartner predicts that by the end of 2019, 25 percent of retail banks will use startup providers to replace legacy online and mobile banking systems.
Artur Małek, Marketing Manager, Finanteq