The Australian financial technology sector is highly competitive, which is making things better for consumers across the country, as sites like www.plenty.com.au seek to provide better offerings to attract clients.
According to research from professional services firm Ernst & Young (EY), 58% of digitally active Aussies are now utilizing some form of ‘fintech’; digital-based financial services like After pay, a buy now, pay later platform. This, the firm notes, is an increase from the 37% recorded back in 2017.
EY Australia Fintech Advisor Meredith Angwin stated that, with all of the strong players on players in the fintech industry collaborating with banks, consumers were experiencing better services and offerings. She explains that, with all the strong players on the field, the industry is at a level of innovation that’s giving consumers greater choice.
FinTech Australia Chair Alan Tsen says that choice is something that the Aussie market has been in short supply of, noting how the country’s financial services sector is notably different compared to other countries’, with especially high levels in concentration, particularly in banking.
Mr. Tsen explains that greater choice brings a lot for consumers, with the increased competition between banks and new fintech businesses forcing them all to offer better pricing, more services, or more inventive products in order to keep up with each other, with the ones offering products that the competition doesn’t have standing out. Tsen notes that fintech companies and sites like www.plenty.com.au, were offering products that banks simply can’t offer.
Fintech has changed global finance, with Credit Clear COO Rob Doyle noting how well consumers are responding to the new industry. He says that fintech businesses exist because they offer solutions to problems that banks can’t handle due to their structure.
Research firm Roy Morgan released data earlier in September, which showed that more and more Aussie have been embracing non-bank, cardless mobile payment options rather than bank-owned services.
Doyle says that, with the royal commission, the regulatory and financial pressure, banks have been hit with a wake-up call. He says that they’re now realizing that they’re behind on what they offer to consumers, and that their grasp of their customer base isn’t as good as they believe, and that’s forcing them to innovate and play ball with fintechs.