How Banks Can Use Ecosystems To Win SME Business
Ecosystems for Small to Medium Enterprises (SMEs) are emerging across the globe. The report ‘How banks can use ecosystems to win in the SME market’ by McKinsey (June 2019) reviews this concept. It outlines how banks can profit by partnering with other companies to grow their customer base, and offer financial and technical solutions to companies who do not specialise in these areas. This creates an Ecosystem.
For example, GoBank in the United States partnered with Uber Technologies to offer banking services to the entrepreneurs on the ridesharing platform. In this set up, the bank gains access to a vast customer base, while the platform operator earns revenue by connecting the parties.
The report lays out practical steps and shows how collaborating with other companies can be mutually beneficial. To read the report in full click here.