Fintechs in Europe

Challenger and partner

There can be no talk of a storm in a teacup. Last year, around 19 billion dollars flowed into FinTechs worldwide – almost 60 percent more than the previous year. This high level growth shows just how much movement the FinTech scene is bringing to the financial services market. Digital customers, as well as new technologies and regulations are creating favorable conditions for FinTech companies. Our latest study "FinTechs in Europe – Challenger and Partner" reveals many interesting details about the growing FinTech sector.

Our goal is not to talk about FinTechs, but with them. For this reason, we have surveyed 248 FinTechs from 18 European countries. A Roland Berger expert from either the Financial Services or Digital Competence Center coordinated the study in each country. We were able to make use of our project experience, stable customer relationships and growing networks, especially in Switzerland, the Netherlands (Tenzing), France (Consulting for equity) and Germany (Spielfeld).

Our study provides credible information about which business ideas are currently being developed, and where symbiosis with major financial service providers is possible. Established companies also have the chance to throw their hat into the ring.

When it came to the greatest growth potential, study participants were quick to cite investments, asset management, payment transactions and crowdfunding as areas to watch. Crowdfunding and crypto/blockchain solution providers are without a doubt the most optimistic. Founders are seeing the best conditions for their businesses in Great Britain, Ireland and France.

It is important to note that FinTechs are not setting out to replace banks and insurers - rather they are aiming to offer solutions to sections of the value chain. For this reason they are endeavoring to work together with these larger, established organizations. 86 percent of young companies are looking to cooperate with, not confront industry leaders.

It is exactly here that our role as consultants is especially important. We can mediate and help to create innovative and viable business models. Successful examples include the establishment of a digital platform for a development bank, and the end-to-end digitization of consumer loans for a leading retail bank.

This study is the basis for new business for our customers. We provide support in the formation of concrete new co-operations. Both sides stand to profit.