Client-centric businesses are predicted to reign in the fintech industry as venture capitalists seek smart investments.
U+ today released “The State of Fintech 2022,” a report that analyzes disruptive fintech trends and industry projections including banking, payments and insurance. The report outlines how and why investors have poured $91.5 billion into fintech firms in 2021, nearly doubling the previous year’s figure. As a result, analysts predict the fintech market to reach $324 billion by 2026.
“The growth and investment in fintech points to closer collaboration between startups and incumbents, as well as regulators, investors and even consumers, as the industry searches for cost reductions, client-friendly experiences and technology upgrades,” said U+ Founder and Chief Executive Officer Jan Beránek. “Since technology use has redefined the financial services industry, incumbents and challengers are competing to acquire and analyze customer data. In an attempt to secure brand loyalty, developing client-friendly experiences is a key focus.”
With convenience and enhanced customer experiences at the top of the priority list in fintech, the U+ report also reveals a demand for software engineers to help businesses keep up with the fast-paced tech initiatives.
Innovative banking solutions have arrived in a major way, with about 30% of all global banking customers using at least one non-traditional financial service. With more than 26,000 fintech companies worldwide, now is the time for all financial service providers to secure their place within this sector, even if it means collaborating with innovative partners to lead the industry using big data and artificial intelligence, for example.
U+ also selected the Top Fintech Innovators after extensive market research, leveraging databases including CB Insights and Crunchbase. Market share, along with the amount and date of funds raised, were also considered as selection criteria.