Boston, November 30, 2017 – The digital revolution in retail banking has given rise to a proliferation of digital-only banks—neobanks. Whether independent startups or digital spin-offs of existing banking groups, neobanks have differentiated their offering from that of traditional banking by focusing on the customer experience. But can neobanks independently scale, build a profitable banking business, and remain independent? Or will they find themselves absorbed by incumbents?
This report overviews the current neobank landscape, examines neobanks’ value proposition, and defines various categories of neobanks, the business models and strategies they deploy, and the criteria for success. It is based on Aite Group interviews with executives from 18 leading organizations, including neobanks, traditional banks, and technology providers of the banking industry, from June 2017 to October 2017.
This 36-page Impact Report contains seven figures and seven tables. Clients of Aite Group’s Retail Banking & Payments service can download this report, the corresponding charts, and the Executive Impact Deck.
This report mentions Atom Bank PLC, Banco Original, Bankaool, Bank Mobile, BforBank, Buddy Bank, Bunq, Chime, Digibank, EdgeVerve, Enpara Bank, EQ Bank, Fidor Bank, FIS, Fiserv, Five Degrees, GoBank, Hello bank, Imagin Bank, InstaBank, Jibun Bank, Knab, Mambu, Masthaven, Monese, Monzo Bank Ltd, Moven, MYBank, N26, NuBank, OpenBank, Oracle, Paytm Payments Bank, Pepper, Pockit, Qapital, Revolut, Rocketbank, Simple Bank, Starling Bank, Tandem Bank, Tata Consultancy Services, Temenos Group SA, Varomoney, and WeBank.