PA financial services expert, Martin Tillisch, is quoted in an article on the benefits of new partnerships in the financial sector. According to Martin, the trend is a paradigm shift in the financial services sector that has happened due to the rise of new Fintech companies, increased customer demands and a rising number of regulatory demands. An increasing number of financial companies acknowledge the benefit of having one core competence and collaborating with other financial firms in other areas.
Martin says: “Moreover, financial companies realise that it is impossible to predict which products and technologies will gain ground in the long run. Partnerships enable companies to operate in more than one platform.”
According to Martin, there are several challenges related to this strategy: “Companies must be willing to lose control of important areas such as the customer experience, so partnerships should be chosen carefully. Moreover, management must ensure that the core business cannot be substituted. These things must be in place to make a partnership successful,” concludes Martin.