target audience: TECH BUYER Publication date: Apr 2023 - Document type: IDC Perspective - Doc Document number: # US50582623
Embedded Finance and Banking as a Service Fuels Customer Experience Modernization Efforts
This IDC Perspective discusses how embedded finance and banking as a service is modernizing the customer experience. There is much discussion about the term embedded finance, primarily in the context of other terms that have been used lately in the financial services industry. IDC believes that embedded finance is an evolutionary step in the process of what will ultimately be an open environment in which the roles of multiple, heterogeneous industries will come together to provide value and improved experiences to the customer, both consumers and businesses.
"Prepare now for how an open world will impact the banks' strategy and brand and plan accordingly," says Marc DeCastro, research director, IDC Financial Insights. "We as an industry need to recognize that in our digital-first world, the trend toward embedded finance, multi-industry ecosystems, and everything as a service is inevitable."