If readers go back to 2016-2017, they would see the focus of VC and other fintech investment had started to shift from the ubiquitous concentration on consumer-related products and services over to some B2B types of uses. This has steadily continued, and with the onset of the pandemic, investment in B2B fintech has maintained a high trajectory throughout 2021. This article is about how these B2B fintech enterprises can scale up and continue to grow, by replicating to some extent what the consumer fintech businesses have done.
‘The pandemic has put the B2B fintech sector in the limelight, and it does not seem to be slowing down; on the contrary, the B2B fintech industry is thriving… Companies in the field are maturing… With all of this investor interest, competition is heating up among B2B fintech. As a result, these businesses are continually seeking new methods to keep their consumers happy. Bringing in new consumers in B2B requires a significant investment of resources; therefore, keeping them satisfied is critical…
Scaling in new customers requires finding methods to scale the customer success function for many high-growth organizations. But, how? For years, the B2B sector largely focuses on the business side of things rather than building a relationship with their clients. However, with the shifting mindset, more B2B companies rely on best practices from modern consumer financial companies to level up their customer experience.’
The author goes on to discuss six different things that these maturing fintechs can do to shore up their growth models going forward, so readers can click through and see what is recommended; this incudes such headlines as ‘upgrade payments infrastructure,’ which is of course the same thing that we advise FIs, but which does apply to many other businesses in the fintech space as well. It’s worth a couple of minutes to browse and stimulate some thought.
‘The pandemic has been a hotbed for innovation, quickening digital trends, and increasing the need for new payment mechanisms. Consequently, the B2B fintech industry has prospered, and investors are flocking to it like bees to honey… The B2B fintech industry may genuinely be a domain leader in the next few years by concentrating on customer service. Taking a page from B2C fintech firms, all they need to do is create a financial checklist centered on delivering clients with the greatest goods and services that surpass their expectations!’
Overview by Steve Murphy, Director, Commercial and Enterprise Payments Advisory Service at Mercator Advisory Group
