Continued from Flux Trend’s annual 6 Trends of 2018…
Brands pivoting into finance
The traditional approach to banking is dwindling exponentially. Already 62% of millennials are happy to pay via a trusted brand’s app, rather than traditional banking systems.
The creation of apps which enable consumers to open bank accounts and purchase government bonds without FICA regulations are emerging. Brands are creating new avenues to interact with consumers. Many are doing so by providing alternative financial services. This year sees the opening of Discovery Bank and the creation of Uber credit cards. Starbucks has already announced its intention to pivot into a mobile payments company, while Snapchat and Apple have already filed for trade marks for peer to peer payment platforms. The death knell for banks is clanging loudly.
By Dion Chang and Khumo Theko
Image credit: PYMNTS.COM