FinTech continues to see double-digit expansion, and much of the market’s growth now comes from B2B FinTech. Opportunities in payment platforms, SME lending solutions, and SaaS-enabled back office tools have investors lining up behind B2B-focused FinTech companies.
That’s according to KPMG’s latest report on the industry, which also points to regulatory technology (regtech) as an additional growth driver for the segment.
Accenture thinks alternative finance powers a huge part of the current B2B FinTech trend. B2B FinTech companies are filling the gap left by banks’ withdrawal from SME lending, leveraging big data analytics to enhance the creditworthiness assessment process.
This means that instead of directly competing with banks, a lot of B2B FinTech companies actually complement traditional financial institutions. Accenture says this approach makes many of the B2B FinTech’s business models readily scalable and sustainable (not only in alternative lending but also in payment processing and workflow streamlining).
Alongside these strong opportunities, however, B2B FinTech firms also face a number of serious marketing challenges unique to the industry, with the biggest being customer acquisition. Attracting prospects and turning them into customers can be very difficult for most fledgling FinTech companies since:
- It can be hard to convince potential buyers about adopting an unfamiliar product.
- The typical FinTech firm hasn’t yet established brand recognition.
- Limited marketing budgets often mean fewer marketing options.
But, as we’ll learn in this post, any B2B FinTech company can handily meet these customer acquisition challenges by focusing on the buyers and the process they follow.
The buyer-led, consensus-based path to purchase requires vendors to be a proactive part of the buying process. While buyers prefer self-directed research, vendors that actively help potential customers find what they need will be in a better position to influence prospects and win the deal.
To help you translate this into something more concrete, today’s blog entry answers three key questions about B2B FinTech buyers and their purchase cycle. This post pulls together findings from the latest research on the FinTech industry so that you’ll get data-driven marketing insights, not simply anecdotal advice.
Read more about this article here at The Savvy Marketer.