Small banks are a steady foundation in the financial world, with relationships spreading far beyond the four-walls of the banks. As fintech grows and new technologies develop, small banks found themselves in an increasing disadvantage.
The natural response to this for small banks will be to collaborate with the fintech innovators. The main reason why this happened is the lack of funds found in small financial companies.
At the moment, small banks are looking at the best and most efficient ways to integrate the new fintech services with theirs and make the most out of the revolution that has been brought upon the financial segment of the market.
The three ways in which small banks can become precious allies with fintech are:
It’s truly important for both fintech companies and their counterparts to understand that the newly formed relationships will benefit not only them but their customers as well. Developing new marketing kits for their services such as faster transfers, easy access to many features etc will keep the clients happy.
More in depth approaches would suggest adding press releases to be distributed to the local media outlets and better communication integrations.
2. Customer services
It would be a great addition if fintech firms could send their best employees to the small banks in order to better understand the needs of their clients and tailor a package custom made for their needs.
This not only brings more value to the services but also creates a great tool of learning for fintech companies to gain knowledge over what services are in demand and make the necessary adjustments to their plans. Such adjustments would be what kind of language do customer speak other than English? Should we translate the products? And the fintech companies should adjust accordingly.
3. Fill the void
What would probably be the best idea would be to better understand both sides and complete the partner where needed.
Fintech companies grew their operations via partnerships with companies that provided them with various services that completed their package. In the same way, this can be extended to small banks that can benefit further from the services derived from fintech innovators.