Page 48 - Pay Magazine s2014

finance & strategy
Fintechs Are from Mars, Banks Are from Venus
Is There a Solution to Interplanetary Di erences?
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When it comes to technology acquisition, there’s a disconnect between providers of software and information services (let’s call them “ ntechs”) and nancial institutions (“banks” for short) that acquire these services. Except for the largest, banks often lack the IT resources to evaluate how they might bene t from what ntechs have to o er. Conversely, lacking a banking mindset, many ntechs don’t understand their clients’ needs, sensitivities and cultures well enough to make meaningful recommendations or support them in building their business cases.
Today, as ntechs and banks increasingly recognize the value of partner- ing rather than competing, it’s time to get to the hard work of closing the gap between these groups with the goal of delivering powerful nancial services solutions that address problems and delight consumers.
In this exclusive Paybefore interview, two banking and technology pros square o on the issue of technology acquisition and consider ways for ntechs and banks to communicate and align better to produce superior results.