Independent Banker - November 2022 - 26

PORTFOLIO INNOVATION STATION
Opportunities in the
fintech landscape
By Charles Potts, ICBA
specifi c challenges or niches, creating
a siloed approach that resulted in
multiple solution providers and
platforms, creating unnecessary
friction for community banks and
their customers.
he fi ntech landscape is shifting.
Investments in new companies
have slowed, valuations that some
early-stage companies commanded
last year are ratcheting back, and
fi nancial technology providers
are tightening their proverbial
belts. While challenging for some,
this convergence of economic
and marketplace factors presents
community banks with new
opportunities for innovation and
growth as they look to the new year.
With community banks fi nalizing
2023 budgets, now is an excellent
time to reevaluate current business
partnerships and consider whether
partnering with additional or diff erent
T
fi ntech providers would better meet
the bank's and customers' needs.
For community banks that have yet
to start evaluating digital solutions
and providers, now is the time to act.
Current market shifts have created a
buyer's market, putting community
banks in a favorable position to
renegotiate contractual terms and
become more selective in their
provider choices.
As community banks leverage
these marketplace advantages, they
should consider partnering with
providers that bundle their services
and solutions to meet customers'
demands. For the past few years,
fi ntechs have worked to address
In response, community banks,
like $779 million-asset Lead Bank in
Kansas City, Mo., have begun investing
in fi ntech providers that can arm them
with the capabilities to bundle their
services and streamline processes.
We see this same trend playing out in
larger fi nancial institutions as well.
Earlier this year, Bank of America
announced its new super app, which
facilitates bundling multiple solutions
under one umbrella.
In this time of economic
uncertainty, community banks also
have an opportunity to remind their
customers of their presence, value
and stability. Through partnerships
with robust solution providers and a
keen focus on attending to customers'
desires, community banks can not
only enhance customer loyalty but
bring new customers into the fold.
Digital banking solutions remain
a primary focus for ICBA, refl ected
in initiatives such as our renowned
ThinkTECH Accelerator program,
which we are bringing in-house in
2023. We're excited to take the next
step on this journey to build more
comprehensive programming aimed
at further addressing the emerging
needs of community banks and the
customers they serve.
Imagine the possibilities
and embrace the opportunities
before you. Seize the moment to
explore innovation. 
Charles Potts (charles.potts@icba.org)
is ICBA executive vice president and
chief innovation off icer
26 Q ICBA Independent Banker Q November 2022
Illustration by Alex/Adobe
Independent Banker - November 2022

Table of Contents for the Digital Edition of Independent Banker - November 2022
