The demand for simplified banking services is rising, as customers expect fast, convenient access to financial products. Corporate and retail consumers alike are increasingly drawn to Banking-as-a-Service (BaaS) because it offers a more convenient, accessible, integrated, and inclusive approach to finance products that they seek.
BaaS has captured the attention of businesses across industries as it enables them to seamlessly embed financial products and services within the customer experience (CX), whether it’s an e-commerce platform, a healthcare app, or a ride-sharing service. BaaS eliminates the need for customers to go through multiple channels or platforms to manage their finances, demonstrating the increasingly interconnected and digital-first nature of the global financial ecosystem.
With BaaS, nonbanks get a fast track into the banking market without needing to procure a charter. Banks get a prime position as customer-centric, agile organizations that can readily evolve in a highly competitive environment.
Gartner projects that BaaS will reach near-ubiquitous adoption within the next two years and is heavily influencing technology investments for both FIs and nonbanks.
continue reading »