Skeptics believe that NeoBanks’ recent stumbling blocks question the viability of this new type of financial services firm. I think the future of NeoBanking looks bright. The industry needs a new business model, and young consumers want something different. NeoBanks will be the bridge to the future of banking.
Right now, in some ad agency conference room, someone is saying: “Let’s survey Millennials to get to the heart and core of what they’re about.” Except it’s not just happening in “a” conference room–it’s happening in every freaking ad agency conference room across the US.
Quartz.com published an article which recounted an internal online conversation various staff members had one morning regarding online P2P payments (in particular, Venmo). The article showed the difference in attitudes and behaviors between the over-30 year olds at Quartz, and those under the age of 30. Or what they called the Venmo Line.
If you have an impulse purchase problem, the Amazon Fire Phone is not the phone for you. If you need help managing your financial life, don’t think that Amazon–through it’s amazing ability to gather, store, analyze, and deploy data–is going to help you anytime soon. The Fire Phone presents a threat and two opportunities to banks.
A Forbes article titled Millennial Marketing Lessons Every Financial Services Giant Will Need contains some of the most useless bunch of millennial marketing mumbo jumbo that I’ve seen in a long time.
Facebook’s problem is that the next wave of young people–today’s 12-18 year-olds–are not as engaged with the social media platform as the prior wave was. Facebook isn’t as cool to them as it was to today’s 20-somethings, as this new wave has Snapchat and Instagram, and other alternatives. Facebook’s challenge isn’t too different from what a lot of companies face: Does it change with the users who fueled the early growth, or focus on driving engagement with the next wave?.
Can financial institutions (FIs) create a new source of revenue from the fledgling marijuana industry? The potential hurdles and compliance burdens aren’t stopping one entrepreneur. I spoke with him recently to get his thoughts on why he believes his new venture, Dispensaries of Pot Employees Credit Union (DOPECU) will succeed.