As large incumbents continue to fight to remain competitive, they are turning to fintech startups for help. As these startup-incumbent partnerships become more popular, there may be an uptick in fintech startups pursuing B2B models.
Fintech-incumbent partnerships are becoming more and more prevalent. Eighty-four percent of commercial banks in the UK are considering fintech partnerships in 2019, for example. Additionally, 60% of credit unions in the US see fintech partnerships as very or somewhat important, while 49% of banks in the country said the same, per a report from Cornerstone Advisors.