The financial technology boom of the past few years will ultimately lead to opportunities for the banks willing to take advantage of them—either through partnership or acquisition. In November, 145 bank senior executives and board members shared their views on the fintech boom. The poll was conducted at Bank Director’s annual Bank Executive & Board Compensation Conference in Chicago. Additional respondents participated online. We’ve tabulated the results, which we share along with insights from leaders in the fintech space.

1. FINTECH
DISRUPTION SURVEY
2015

2. Which traditional area of a bank’s business do you believe will be most
greatly disrupted by nontraditional financial providers?
WHAT THE RESULTS SAY:
Businesses and consumers have grown more comfortable borrowing from alternative
lenders. “They’ve had a good experience, so [banks] are fighting” to protect their
customer base and attract new business.
– Rob MacMahon, executive vice president of business development and channel management, CheckAlt
41%
35%
16%
6%2%
Lending
Payments
Deposit accounts
Wealth management
None of the above

3. In the near future, successful banks will most likely…
WHAT THE RESULTS SAY:
“Many of these fintechs represent capabilities that banks would very much like to
have… It’s going to be an interesting time, because the ultimate beneficiary of all this
is the end consumer. I can see a lot of amazing solutions and choices coming at far
better economic terms to the end consumer in the next decade.”
- Somesh Khanna, director, McKinsey & Co.
Partner with fintech firms
Acquire fintech firms
Innovate in-house
None of the above
Invest in fintech startups
60%
17%
16%
4%3%

4. Which of the following companies represent the most partnership potential
for your bank?
WHAT THE RESULTS SAY:
More than 750 banks and credit unions in the U.S. partner with Apple. Despite the
noted disruption in the lending area, few see significant partnership potential in
Lending Club, Kabbage or other marketplace lenders.
Apple Pay, Android Pay, etc.
Moven, Simple, GoBank, Yodlee
Lending Club, Kabbage, etc.
None of the above
ClearXchange, Venmo
38%
28%
15%
10%
8%

5. What is the greatest obstacle to innovation within traditional banks?
WHAT THE RESULTS SAY:
An organization’s ability to innovate really boils down to a bank’s culture. Fostering
that culture comes from the top of the organization.
“You have to allow for this culture to develop where you experiment…That has to
come from the C-suite, to let their teams know that it’s okay to explore.”
- Brad Leimer, head of innovation, Santander Bank N.A.
35%
26%
19%
19%
Culture
Regulatory environment
IT security concerns
Outdated legacy tech

6. What is the greatest advantage fintech firms hold over traditional banks?
WHAT THE RESULTS SAY:
Bank CEOs must balance innovation with regulatory and competitive pressures, and
are fighting to gain efficiencies. “You compare that to someone who’s in a startup
who wakes up every morning just trying to kill a bank. They’ve got one objective:
Destroy the enemy.”
– Somesh Khanna, McKinsey
Limited Regulation
Culture
More efficient distribution
Lack of legacy tech
42%
27%
24%
6%

7. What is the most likely outcome of the fintech boom?
The fintech sector will continue to
thrive, but some banks and fintech
companies will work together
61%
Larger banks will acquire many
of the fintech companies to gain
access to their technology
31%
Fintech companies will eventually
supplant traditional banks in payments
and in many lending sectors
5%
Most fintech companies won’t survive
the next recession, and the movement
will lose momentum
3%

8. What is the most likely outcome of the fintech boom?
WHAT THE RESULTS SAY:
Bank leaders see a future where banks and fintech firms work together. It’s a future
that’s playing out now.
“We’re making these investments to learn, to start the engagement, and we think that
through these investments, the bank can do a better job of learning than just sitting on
the sidelines... It’s about trying to actively participate.”
– Jay Reinemann, executive director, BBVA Ventures, to Coindesk

9. In November, Bank Director polled 145 bank directors and
C-suite executives to gain their views on the impact of fintech
firms in the banking industry. The poll was conducted online
and as an audience survey at Bank Director’s annual Bank
Executive and Board Compensation Conference in Chicago.
ABOUT THE 2015 FINTECH DISRUPTION SURVEY
Contact Emily McCormick, director of research, at
emccormick@bankdirector.com.
QUESTIONS ABOUT OUR RESEARCH?