April 8, 2021 | BLOG POST | By Lani Oneil
With all the information available to us with a few keystrokes, consumers are more prepared and informed about a product before they buy it. But even with access to all this information, we can still find ourselves looking back and questioning some of our purchases. It’s not that different for fintech leaders operating in the B-to-B space. You would do well to remember some of the lessons from your consumer purchasing experiences when making big, long-term decisions about technology investments. Here are a few examples:
- The hidden fees. Airline ticket prices quoted online have become almost meaningless, as airlines add on upcharges for bags, change fees, priority boarding, and upgraded seating options. Some technology providers act the same way, hooking you with a low annual fee for the basic service and then running up the bill for every activity you initiate. Take care to understand the total pricing package applied to your business.
- The cost of operation. When shopping for a car, we know that the stated MPG on the sticker isn’t a guarantee. Many factors, such as how and where you drive, will impact your actual fuel efficiency. Similarly, fintech buyers should consider the impact of a technology purchase to its direct and downstream users. How does the technology benefit the daily user and where does data need to be delivered? The ease of use, access to information and delivery of data to other enterprise technology will dramatically impact total cost of use.
- The cost of innovation. Astute home buyers have a vision for the space they want to live in. Considering whether the house meets their current needs and whether it can be adapted to grow with their changing needs is extremely important. Similarly, a smart technology buyer will seek to purchase technology that meets their direct needs today, and can easily adapt to support future products and strategies. Using technology built with modern techniques and tools sets the foundation for cost-effective, ongoing customization. This avoids those future uh-oh moments when you realize your technology cannot do what you need. Having flexible technology that can efficiently change to support new products or markets is paramount to maintaining control of your business so you can capitalize on upcoming opportunities.
Fintech buying is quite a bit trickier than buying a plane ticket, a car or even a house—and the stakes are high. But fintech buyers can learn a thing or two from their real-world experiences when reviewing their investor recordkeeping needs.