Fintech disruption threatens wholesale payment revenues

By Anna Fedorova

Wholesale payments and cash management (PCM) is a rapidly growing area, but existing players are under threat from technological disruption and must innovate in order to survive, according to a report by management consulting firm Oliver Wyman.

In ‘Wholesale payments report: Disrupt from within’, the consultancy argues that banks must look closely at the strategies adopted by challengers and make changes to their legacy systems in order to defend their turf. 

“We see up to $175 billion (70% of revenue pool) in revenues at risk for incumbents,” writes Ronan O’Kelly, partner at Oliver Wyman and co-author of the report.