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TRANSCRIPT
Wim de Waele
November 2015
Making the transition to the ecosystem economy
SMART STRATEGY
2Today’s banking consumer is digital
and expects seamless digital integration from initiation to fulfillment
27%would consider a branchless digital bank
71%consider their banking relationship to be transactional
rather than relationship driven
51%want their bank to proactively recommend products
and services for their financial needs
48%are interested in real-time and forward looking
spending analysis2014 North America Consumer Digital Banking Survey – Accenture
traditional banks need to catch up.
SMART STRATEGY
3
Payments
Aggregators
Forex
InvestmentsInvestments
LendingLending0% 10%20%30%40%50%
Amazon
Apple
Paypal
Square
Q: If these companies offered banking
services how likely would you be to bank with them?
2014 North America Consumer Digital Banking Survey – Accenture
Unbundling of the financial services domaindisruptors put 30% of traditional banking revenues at risk
SMART STRATEGY
4
Limited customer dialogue
Limited customer dialogue
ProductfocusedProductfocused
BranchBranchSeparatechannelsSeparatechannels
Digital
Fast time to market
Omni channel
Customercentric
Datadriven
Intuitiveapps
Real time
Current banking landscapehow disruptors differentiate from traditional banks
Incumbents need to- enter the ecosystem by offering a range of innovative
customer services;- focus on digital customer experience and journey - become the personalized financial advisor- facilitate the customer to become the banker
but they have: the scale the customer base the data the ability to change
Disruptors:- digital delivery is centerpiece of their product & service
offering- understand the customer through pervasive analytics- low entry barriers and no borders in digital world- think beyond traditional banking: innovative services
and plug and play business models- often own the primary relationship- fast moving, lean and mean- clear and easy solutions
SMART STRATEGY
5
Limited customer Limited customer dialogue
Productfocused
BranchMulti
channel
Digital
Fast time to market
Omni channel
Customercentric
Datadriven
Intuitiveapps
Real time
- 61% of bank executives say that a customer centric business model is very important
- 75% of banks make investments in this area
- Yet only 17% feel very prepared- PWC retail banking 2020 report
- 61% of bank executives say that a customer centric business model is very important
- 75% of banks make investments in this area
- Yet only 17% feel very prepared- PWC retail banking 2020 report
- It is not the design that will win customers, it is the service and the products they get
- It is what’s inside that will define what service and products can be provided
- Innovation of the banking architecture is required
- It is not the design that will win customers, it is the service and the products they get
- It is what’s inside that will define what service and products can be provided
- Innovation of the banking architecture is required
Next generation banking is about fundamental changeto enter the digital ecosystem
SMART STRATEGY
6
Uni-dimensional
B2B
Multi-dimensional
B2CPLATFOR
M
APIs
2000 2015 +
Toolbox,build solution on premise
Integrated product
Closed architecture API driven
Closed organization,payroll
Loose coupling with specialists
Server based,locked in infrastructure
Cloud
Monolithic,waterfall delivery
Incremental andAgile
Expanding, countryby country
Instantly global, no borders
Making the transition to the ecosystem economy
SMART STRATEGY
7THE ECOSYSTEM APPROACH
SMART STRATEGY
8IOT DISRUPTING THE INSURANCE BUSINESS
SMART STRATEGY
9Scope of our Strategy
Venture Capital
Ecosystem
Technology
- Instruments to support a buy-and-build strategy - Covering early-stage and growth with a venture building approach
- Organisation that connects the players of the Fintech ecosystem- Clear international scope
Create platform technology to move the financial services industry to the API-driven economy
SMART STRATEGY
10Scope of our Strategy
Venture Capital
Ecosystem
Technology
- Instruments to support a buy-and-build strategy - Covering early-stage and growth with a venture building approach
- Organisation that connects the players of the Fintech ecosystem- Clear international scope
Create platform technology to move the financial services industry to the API-driven economy
SMART STRATEGY
11Venture Capital Gap In Belgium
S E C T O R F O C U S U K N L B E
Life Sciences 22,2 20,8 47,7
Business & Industrial Products 2,2 8,2 13,1
Communications 15,8 24,4 12,9
Computer & Consumer Electronics 22 16,4 8,2
Energy & Environment 6,2 6,7 5,6
Unclassified 0,7 1,8 5,5
Consumer goods & retail 0,7 5,2 2,7
Transportation 0,5 0 2,4
Consumer services 8,9 2,2 1,0
Business & Industrial Services 5,5 2,8 0,5
Chemicals & Materials 0,7 0,4 0,3
Construction 0,3 4,9 0,1
Real Estate 0,3 0 0
Financial Services 14,1 5,7 0
Agriculture 0 0,6 0
1
2 3
1 1
2 2
3
3
Belgium based SmartFin Capital was founded in December 2014 and
has a focus on growth & expansion.
75 Mio EUR closure mid 2015
Percentage of Invested VC Money
SMART STRATEGY
12
– Offering hands-on entrepreneurial services to start-ups and growth companies, in collaboration with other organizations such as venture funds or accelerators
– We are a group of experienced entrepreneurs and professionals
– Our Services include
• Hands-on management support for start-ups and growth companies
• Operator services to independent and corporate incubator and accelerator programs
• Advisory services to technology investment funds and related organizations
– Target launch date September 2015
SMARTVENTURESVenture - building with our partners
SMART STRATEGY
13Scope of our Strategy
Venture Capital
Ecosystem
Technology
- Instruments to support a buy-and-build strategy - Covering early-stage and growth with a venture building approach
- Organisation that connects the players of the Fintech ecosystem- Clear international scope
Create platform technology to move the financial services industry to the API-driven economy
SMART STRATEGY
14Why Should There Be A Fintech Ecosystem In Brussels?
A lot of experience & international expertise in financial technology
A booming start-up scene
A critical mass of leading institutions and growth companies
A concentration of international and European public organizations
Brussels is an ideal FinTech hub for the whole of mainland Europe
SMART STRATEGY
15Ambition
Establish and be at the centre of
a leading European FinTech
ecosystem where knowledge
and experience, innovations and
technology can be shared.
SMART STRATEGY
16
Research & Studies
Collecting Data
Information Sharing
Funding
Mentors, Experts & Coaches
Co-Working Space
Open & Private Meet-Ups
Eggsplore Services
MEET
CONNECTDISCOVER
Networking EU Scope
SMART STRATEGY
17Location Phase1
- 800 m2 in Diegem, co-location with SmartFinand other FinTech companies
- 500 m2 co-working space available as of Nov 2015
SMART STRATEGY
18Location Phase II
- FinTech building in Brussels airport area
- Final decision to be made from different options
- 4000 m2
- Target opening date: September 2016
SMART STRATEGY
19Content focus - Strategic Programs
Applications for the Internet of Things
Being smarter with smart data
Embedding distributed ledger technology
Creating frictionless processes and products
Cybersecurity in the mobile era
Incubating and Seed-Financing Fintech start-ups
Scaling and Accelerating Fintech growth companies
Regulatory and policy considerations for Fintech
The role of government in the venture landscape
SMART STRATEGY
20Scope of our Strategy
Venture Capital
Ecosystem
Technology
- Instruments to support a buy-and-build strategy - Covering early-stage and growth with a venture building approach
- Organisation that connects the players of the Fintech ecosystem- Clear international scope
Create platform technology to move the financial services industry to the API-driven economy
SMART STRATEGY
21TheGlue in an nutshell
Next generation architecture
- Disconnecting front-end solutions and legacy
applications
- Fast and agile creation/adaptation of new banking
services (no back-end impact)
- Embedded big and fast data technology allowing
automated real-time analytics and reaction to
events
- Access to the disperse pools of data
- Standardized integration patterns
- Linearly scalable architecture
- Low latency due to in-memory access
- Product factory and process configurators
- Channel agnostic, contextual security
- Supporting cross channel customer journey
- Embedded non-functionals
TheG
lue
Middleware
Branch Internet MobileHelpdesk &Call Center
API platform
Processing grid
Data grid
Messaging grid
Front End platforms
Connectors
Data Lake
APP APP APP
AP
PA
PP
SMART STRATEGY
22TheGlue company differentiators Focus on banking (T1) only
Independent product provider silo/package independent
holistic view across the bank
Strategic partnering
Standardized approach (forced)
Dedicated capacity/resources common implementation model
bank can focus on integration, front-end digitization
Team with skills, expertise and experience: banking domains
architecture
solution building
Speed of development by The Glue’s engineers through use of light weight,
but repeatable end-to-end delivery process
Leveraging best practices from agile methodologies
Continuous testing, integration, delivery
Quick delivery cycles
JEED (“Just Enough Essential Documentation “)
Development and testing using cloud environments
Testing tools and methodology also packaged and made available to the clients
Banking expertise
Architectural vision
Delivery track record
Methodology driven
SMART STRATEGY
23Scope of our Strategy
Venture Capital
Ecosystem
Technology
- Instruments to support a buy-and-build strategy - Covering early-stage and growth with a venture building approach
- Organisation that connects the players of the Fintech ecosystem- Clear international scope
Create platform technology to move the financial services industry to the API-driven economy
SMART STRATEGY
24
European private equity fund targeted at Smart Technologies with a special focus on FinTech.
A next generation integration architecture.
Initiative aiming at catalyzing the European FinTech scene.
