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Zeitschrift für die gesamte Versicherungswissenschaft

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23-11-2018 | Abhandlung

Why fintechs cooperate with banks—evidence from germany

Authors: Max Bömer, Hannes Maxin

Published in: Zeitschrift für die gesamte Versicherungswissenschaft | Issue 4/2018

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Abstract

We developed a conceptual framework to explain why young financial technology companies (fintechs) cooperate with incumbents from the finance sector. Examining 14 case studies on fintech-bank cooperation, we identified three main reasons: first, banks enable a fintech’s market entry; second, banks increase a fintech’s profits; and finally, banks enable new fintech products. We observed that each of these reasons is related to particular resources, which fintechs obtain through their cooperation partner. Additionally, we found that fintechs use different label approaches to sell their products when they cooperate with banks. Based on these results, we developed propositions that can be tested in future research.

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This number refers to the year 2016. We have now identified 51 banks that cooperate with at least one fintech.

Except for collaboration Alpha, where we also conducted interviews with bank managers.

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Title: Why fintechs cooperate with banks—evidence from germany
Authors: Max Bömer
Hannes Maxin
Publication date: 23-11-2018
Publisher: Springer Berlin Heidelberg
Published in: Zeitschrift für die gesamte Versicherungswissenschaft / Issue 4/2018
Print ISSN: 0044-2585
Electronic ISSN: 1865-9748
DOI: https://doi.org/10.1007/s12297-018-0421-6

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