Amidst rapidly rising fintech adoption by customers, a vast majority of banks admit that they are not well-equipped to combat the fintech onslaught, according to a report by Capgemini and Efma.

Currently, 63% of customers use fintech products or services, with its adoption highest in the emerging markets and among younger customers.

Go deeper with GlobalData

Premium Insights

The gold standard of business intelligence.

Find out more

However, the study revealed that only a meager 13% of banking executives are braced up to support this digital banking ecosystem.

Moreover, less than one quarter of banking executives held the view that they can score over these disruptors in terms of agility or ability to innovate in a fast changing financial landscape.

Banks also underestimated the value of these fintech services, with only 36% admitting that these services offer fast service or good experience.

The study also found a rise in trust for fintech firms, with over 88% of customers across all regions currently trusting fintech providers.

How well do you really know your competitors?

Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.

Company Profile – free sample

Thank you!

Your download email will arrive shortly

Not ready to buy yet? Download a free sample

We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form

By GlobalData
Visit our Privacy Policy for more information about our services, how we may use, process and share your personal data, including information of your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.

46% of bank executives said that combating the fintech threat requires collaboration with fintech firms, while 18% said that they intend to acquire fintech firms or their technology.

Efma secretary general Vincent Bastid said: "The willingness to partner with FinTech firms is a recognition that banks are unprepared to operate in a future that consists of a series of secure digital interconnections.

"By partnering with these companies, banks can gain much needed guidance in product development, as well as a stronger voice in defining a central role for themselves in the current banking environment."