Mint’s Shutdown Presents Opportunity for FIs Willing to Evolve
- Date:January 23, 2024
- Author(s):
- Dylan Lerner
- Report Details: 6 pages, 4 graphics
- Research Topic(s):
- Digital Banking
- Digital Strategy & Experience
- PAID CONTENT
Overview
The PFM space has always been FIs’ game to lose. Unlike fintech startups running on limited funding and desperate for customer acquisition and profitability, FIs are already in consumers’ pockets—on their smartphones and in their wallets. But FIs’ troubled history with PFM has proved that this prime position doesn’t guarantee success. Once bitten and twice shy, jaded bankers are understandably reluctant to pursue it further. However, Mint’s longstanding success and the reaction to its demise underscore that there is still an opportunity for FIs to win if they can learn from the past.
The first lesson for FIs: Don’t strive to be the next Mint. Strive to be better. Although bankers may wince at the sight of “PFM”—and rightfully so, as the controversial term carries a connotation of outdated, do-it-yourself tools—they understand that personal finance features have a powerful potential to engage customers. In this report, Javelin Strategy & Research explores the successes and failures of PFM apps like Mint and five key ways FIs can build beyond Mint.
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