Read this today in a fintech article Playing to win
Opportunities are rife for fintech startups, but what’s the secret sauce to success? Firstly, they need to think ahead and outside of the box. Digital-only is not enough; they need to be digital-first, connecting with customers where they actually are, not where they want them to be. Then concentrate on execution. It doesn’t pay to go too big too soon, much better to stay laser focused and agile, getting the product out there fast and course correct if necessary. It’s about attracting people and evolving with their feedback; build with the customer, not for the customer.
The second essential component is discipline. Many startups fail because of a lack of discipline and governance. Yes, agility is important. However, that doesn’t mean forgetting the rules of good business. Having a strong disciplined team is also essential. While AI will result in leaner workforces, ChatGPT and co shouldn’t replace core management. It’s wise to choose people with different strengths and skills – one pragmatic, one creative, and one visionary, for example.
Partnerships are key to successful innovation and growth. No one can change the world alone, even the corporate giants; there are plenty of examples of those who have tried and failed. Startups should look for existing ecosystems and networks, where they can collaborate and learn with other innovators, and connect with customers and other financial institutions quickly.