The German FinTech Market 2023: Opportunities and Challenges (a Report)
Germany is a sizeable FinTech market in terms of its potential, though it is particular in terms of market needs, as the local consumers and companies have different expectations and needs compared to other markets. Due to its history, size, and culture, specific challenges and opportunities await the companies entering the new market, even those coming from neighboring countries.
The historical and cultural differences make it harder for foreign financial service providers to find B2B or B2C pilot customers and raise interest. Although we have been observing a positive digital finance and start-up trend in Germany in the aftermath of both Brexit and the pandemic, the recent developments, including the Russian invasion of Ukraine, economic turmoil, inflation, and start-up valuation downturns, have changed the perception and priorities of the locals.
In light of the insolvencies of market players (Nuri, Ruuky) and the many layoffs that were announced in Q3 and Q4 2022, market players are less experimental and cautious. They are preparing for a "tough winter."
Considering the particularities of the market, Contextual Solutions and FinTech Consult were commissioned to prepare a report about the German FinTech ecosystem in Q3 2022 on behalf of the Netherlands Enterprise Agency (RVO) and the Netherlands Business Support Office (NBSO) Frankfurt am Main.
The study aims to guide newcomers using best practices and market insights while highlighting the status quo and was published in Q1 2023 after extensive research and interview processes.
The study was presented on February 8th in Amsterdam at an event hosted by Holland Fintech. We are happy to finally share the fruits of our labor with all players interested in the German FinTech market and prevent them from expensive learnings.
Click the button below to be directed to the report landing page. For any questions, suggestions, or German market entry queries, please get in touch with us via info@contextuals.de. We are looking forward to welcoming you to the German market!
