How to Streamline FinTech Integrations
The success of a FinTech company greatly depends on its ability to partner with other market players. It’s hardly ever possible that one tool can accumulate enough user data to be able to efficiently provide services. To ensure quick growth and efficient work platforms, companies can partner with each other to achieve greater results and potentially open new opportunities and markets.
|Charlie Haims, MyVest|
“For Fintechs to survive and thrive, they must partner with the incumbents who have the brand, scale and customers to make the biggest impact. These integrations also help Fintechs explore core product extensions to serve end-customers in new ways, potentially discovering new revenue opportunities through these partnerships.” Charlie Haims, MyVest
|Alex Goldberg, FinvsFin|
“Integrations can be deal makers, so delaying their release almost ensures lost revenue. Consumers need fintech solutions to plug in to and play well with their existing tools, so integration seems like it has to constantly be a top priority for any fintech product team.” Alex Goldberg, FinvsFin
By using integrations, companies can access the data and capabilities of their partners and provide more consistent service. However, to build such bonds between two companies, one of them needs to do substantial analytical and engineering work, which is only possible if it has the required resources.
The task today for many FinTech companies is how to implement the budget efficiently so that they do not miss business deadlines. They have a limited budget, number of engineers, and time to deliver some level of growth. For companies to deliver integrations that can boost growth and help them reach the KPI of investors, they need to utilize some development resources. For CTOs that means they should implement the integrations with the teams they have or enhance their delivery with an outsourced team and roll out the integrations faster.
“We would all prefer to do it faster – Fintechs, clients, partners – for the sake of time to market for quicker learnings and potentially getting more into the market. Although we’ve seen many cases where a careful, methodical rollout of new capabilities leads to a greater probability of success, especially with larger financial services firms where customer trust is paramount.” Charlie Haims, MyVest
Usually, there are two options. The in-house development team is a low-risk and predictable resource but it can’t deliver as fast as the market demands from the company. As a result, you have to sacrifice time, budget, or code quality. The second option, an outsourced team, is a high-risk asset in the world of software development, as only may say, and it can bring to the table the bigger output for a shorter period of time. To get out of risk and get a quick and quality implementation, you can select a good fit with the relevant experience, if you know what to look for.
How to use Integration Marketplace when making integrations
As analytics say, the biggest market players with the biggest market share have more integrations with other companies than their competitors do.
Here is an example: risk tolerance integration champions. The four companies—Riskalyze, Totum Risk, FinaMetrica, and Tolerisk—boast the largest number of FinTech integrations and the highest average user satisfaction rating, according to the T3 survey 2020 (find more details in the report). The information gathered during the launch of the API Marketplace shows us that the bigger integrations number belongs to the company that has the greatest market share and market influence.
You can analyze integrations that other companies use to grow your business as well as find criteria for a software development team that will take on the task by using INSART Integration Marketplace.
What can you do with the marketplace?
- Add your company. You can look through the catalog of the FinTech ecosystem and add a profile of your company if it’s not listed there.
- Specify what kind of partnerships you’re interested in (choose hashtags). Tell the companies that you want to integrate with your intentions.
- View the information about the market leaders. Look at the profiles of leaders to see some tips that may help you to grow faster.
- Foresee the possible impact of the integration with companies that you’re interested in. The number of integrations a company has is a very informative source for predicting your growth in case you decide to run an integration with it.
- Leave a quote for consultation. There are many important unanswered questions. For each particular case, there would be different steps of implementation. Leverage the experience and knowledge of consultants to save time and get a more predictable process.