Emerging in the early 2000s, B2B fintech has shown massive growth over the years. The sector encompasses a great range of banking and financial services. Since B2B fintech strives to capitalize on new technology, it has earned the reputation of a vibrant, fast-paced industry where trends pop up almost every month.
Fintechs always have an eye on the future of payments. Pandemic has dramatically changed the game in finance, giving an upper hand to new finance. Now, fintech is evolving faster than ever before.
Trends come with growth and consumer demand. Since the pandemic, customer behaviour changed, and so did the financial sector. Startups aiming to become the top b2b fintech must adopt a practice of trends analysis to stay competitive.
Customers and finance
Conventional finance tends to be overcomplicated. That’s exactly what customers don’t need. They are looking for a simplified solution that they can easily integrate into business operations.
Neobanks are booming. They simplify the money transfers for fintech startups and allow money transactions from any part of the world. But that’s just the beginning. Today, neobanks give access to a cryptocurrency market and make finance simple for regular users.
Fintech is all about innovation. It offers different getaways for cross-national payments. Moreover, thanks to e-wallets, it is now possible to make money transfers from a mobile phone, making all the involved parties more efficient with their time.
Laws and regulations
In a nutshell, regulations are a challenge for fintech – they are subject to strict laws and required to obtain licenses to operate. The use of blockchain can make the currently existing laws even more stringent. That puts pressure on new finance, which is something that must be taken into account. At the same time, users benefit from these regulations as they provide a high level of data safety.
Artificial intelligence and finance
AI has served well in many industries, including finance. While its adoption remains limited (fintech utilizes AI primarily for AP automation), it’s clear that it will gain more traction in the near future. Customer service can greatly benefit from chatbots, and the same goes for business operations. .
Blockchain for accounting
Blockchain is getting traction among online sellers. The technology allows the abolishment of manual records maintenance thanks to a distributed ledger, the heat of blockchain. A network of blocks saves every transaction ever made in a secure, quick, and transparent way.
Big data and machine learning
Not so long ago, data was analyzed manually. People had to put things together and identify weak and strong areas of business. With the emergence of big data and machine learning, the process has become much more efficient, now known as predictive analysis. Big data and machine learning can quickly uncover hidden trends.
Customers are looking for alternatives to conventional finance, and technology keeps conquering new highs. Those two factors combined lead fintech to grow rapidly over the past decade.