CB-Insights_State-Of-Challenger-Banks-Webinar

1 2 Webinar recording Webinar recording will be distributed will be distributed within 24 hourswithin 24 hours WITHIN 24 HOURS Our presenters will answer questions at the end: questions via Q&A in the Zoom toolbar. If you have any technical difficulties during the webinar, your best bet is to reach out to the Zoom help center. 3 CB Insights has enabled ING to take an outward-looking approach when developing strategic priorities. Its research and data helps determine where we should place big bets. Bart Brouwer Vice President of Innovation and Growth, ING 4 CLICK HERE TO SIGN UP FOR FREE A FREE TRIAL CB Insights helps the world’s leading companies make smarter technology decisions with data, not opinion. Our Technology Insights Plat provides companies with comprehensive data, expert insights and work management tools to drive growth and improve operations with technology. WHAT IS CB INSIGHTS? The CBI Community – Membership Has Perks DISCOUNTED TICKETS TO OUR VIRTUAL EVENTS: 6 Conor Witt Conor Witt is an intelligence analyst at CB Insights where he covers fintech, banking, and payments. His work has been cited in Bloomberg, CNBC, TechCrunch, Wired, and the LA Times, among others. Prior to joining CB Insights, he worked at Citi where he focused on corporate strategy and business development for the US Consumer Bank. Before Citi, he was a strategy consultant at Capco focused on the financial services sector. Conor has a B.A. in government and economics from the University of Virginia. @ckwitt3 INTEL L IGENC E ANAL YS T – FINTEC H ABOUT THE ANALYST 7 Connor Knox •Connor is a Senior Product Specialist at CB Insights. •He is passionate about snowboarding, college football, travel, and articulating how CB Insights can help corporates and investors navigate emerging technology. •He cares about CBI customers and works cross-functionally to deliver products that meet their evolving needs. •He is a graduate of The University of Florida where he studied Ination Systems & Operations Management. S ENIOR P R ODUC T S P EC IAL IS T, C B INS IGHTS ABOUT THE PRODUCT SPECIALIST 8 Contents 9 Covid-19’s impact on banking 1 4 Growth drivers into 2021 and beyond Scaling user bases Mono-line to multi-line Incumbent bank responses 9 Covid-19 Impact on Banking 10 How we define fintech at CB Insights 11 Covid-19 is accelerating bank branch closures Source: FDIC 12 Mobile has become the default banking channel Source: WSJ, Kearney, CB Insights Mentions of “digital banking,” “mobile banking,” or “online banking” on earnings calls. Q4’15 – Q3’20 13Source: CB Insights DealsAmount of Funding ($M) $1,925$675$1,677$2,746$5,282$4,642 36 67 83 117 142 104 0 20 40 60 80 100 120 140 160 0 1000 2000 3000 4000 5000 6000 201520162017201820192020 Challenger banks on pace for another big year in 2020 Annual fundraising from 2015 – 2020 YTD (as of Nov 12, 2020) 14 Growth drivers into 2021 and beyond 15 CHALLENGER BANKS: TRENDS TO WATCH INCUMBENT BANK RESPONSE MONO-LINE TO MUL