Fintech growth strategies for 2021

Growth processes can emerge from major crises. The pandemic had a major impact on reality as we knew it, all sectors felt its impact and recently the world is still getting used to the new day-to-day. Technology was a great help in cushioning the blow and provided alternatives that pushed the world forward, even with the limitations of presence. We tell you some of the strategies that Fintechs will use to grow in 2021.

Mergers and acquisitions

According to a report by Report Ocean, the Fintech market is expected to report growth at a healthy pace in the coming years. In addition, leading providers in the market are aiming to develop mergers and acquisitions that will strengthen business strategies to consolidate their market presence, i.e., expand product portfolio and facilitate product differentiation for customers. 

Strengthening as a channel for the virus

In Colombia there are 4.5 million Colombians who are customers of more than 180 products of the Fintech ecosystem. These products, in addition to providing digital credit services, have become a delivery channel for subsidies, grants and aid provided by the government to the country, explained Colombia Fintech.

Therefore, Colombia has a great opportunity to boost this industry, considering that it is the third leading country in Fintech activity in Latin America. In fact, a study by the Inter-American Development Bank (IDB) and Finnovista, which compares all the countries in the region, stated that it is the most dynamic country in the creation of startups, thanks to the number of initiatives identified to date (180), added the same media.

Development of technologies that empower Fintechs 

In the country the use of technology such as Cloud, Big Data, Artificial Intelligence, Biometrics, Machine Learning or Blockchain is increasing and according to figures from Colombia Fintech, its growth is evident, due to the fact that 77% of registered startups use web or mobile applications for the development of their business.

Another example of this development is Nuvu, a company that provides digital tools focused on the Fintech sector, such as SmartCash, which makes payments or collections safely and quickly, offering users a safe alternative to trust their money. 

This is why 2021 promises to be an important year for technology, increasing user confidence and capturing the attention of new customers who will be able to enjoy agile options designed to enhance their digital banking experience.