Market Overview:
The global internet-only bank market is expected to grow at a CAGR of 16.5% during the forecast period from 2018 to 2030. The market growth can be attributed to the increasing demand for online banking services and the growing trend of digitalization across the globe. In addition, the rising adoption of smartphones and other mobile devices is also contributing to the growth of this market. The internet-only bank market can be segmented on the basis of type, application, and region. On the basis of type, it can be divided into two segments: those with their own banking license and those that are partnered with traditional banks. The former segment is expected to grow at a higher CAGR than that of partnered banks during 2018–2030 owing to its ability to provide customized services as per customer needs.
Product Definition:
An Internet-only bank is a financial institution that conducts all of its business over the internet. This includes accepting deposits, making loans, and issuing credit cards.
Internet-only banks have several advantages over traditional banks. First, they are typically much smaller, which allows them to be more nimble and responsive to their customers' needs. Second, they are able to offer lower interest rates on deposits and loans because they do not have the same overhead costs as traditional banks.
Own Banking License:
An own banking license is a provision that allows banks to operate in more than one state. For instance, national banks are licensed by the federal government and can operate in any state. State-chartered banks are subject to regulations set by each state government. The primary function of these financial institutions is to provide retail and commercial banking services; they may also offer some insurance products, depending on the laws applicable in a particular state.
Partnered with Traditional Banks:
Partnered with traditional banks is a service by which the internet-only bank can access the customers' account information maintained by a partner or joint venture partner of the internet-only bank. The term “partner” as used in this context refers to an institution that offers its services through an agreement with another financial company. For instance, checking accounts are offered jointly by commercial banks and savings accounts are offered jointly by savings and loan associations.
Application Insights:
The business organizations segment dominated the global internet-only bank market, accounting for more than 55.0% share of the total revenue in 2017. The growth can be attributed to increasing demand from SMEs and enterprises for cost-effective digital banking solutions. Internet-only banks offer various benefits including ease of access to capital, lower operational costs, and better control over financial data. These factors are likely to increase the adoption of internet-based banking services by business organizations over the coming years.
The personal consumers segment is expected to register a significant CAGR exceeding 12% during the forecast period owing to rising awareness about online banking security among customers along with convenience offered by these banks in comparison with brick & mortar institutions at an affordable price range as compared with other traditional banks operating in their respective countries or regions.
Regional Analysis:
Asia Pacific is estimated to be the fastest-growing regional market over the forecast period. The growth can be attributed to increasing internet penetration, rising adoption of smartphones, and increased spending on online transactions. According to GSMA, in 2016, there were 1.9 billion internet users in Asia Pacific and this number is projected to reach 2.7 billion by 2020. Moreover, according to World Bank Group data; as of 2015 around 60% of India’s population had access to the internet compared with 35% in 2014).
Growth Factors:
- Increased demand for online banking services as consumers shift their spending and payment habits to accommodate a more digital lifestyle.
- Banks focus on developing innovative technologies and features that improve the overall customer experience, making it easier and faster for customers to conduct their banking activities online.
- The continued growth of mobile commerce, which is projected to account for over 50% of all ecommerce by 2021 (source: Statista)
- Rising interest rates as the economy continues to strengthen, encouraging more people to invest in higher-yielding savings products such as certificates of deposit (CDs) offered by internet-only banks
- More consolidation within the industry as traditional banks face increasing competition from upstart internet-only institutions
Scope Of The Report
Report Attributes
Report Details
Report Title
Internet-only Bank Market Research Report
By Type
Own Banking License, Partnered with Traditional Banks
By Application
Personal Consumers, Business Organizations
By Companies
Atom Bank, WeBank (Tencent Holdings Limited), MyBank, Starling Bank, Tandem Bank, Hello bank!, DBS Bank India Limited, BBVA USA Bancshares, Inc., N26 GmbH, Fidor Solutions AG, Pockit LTD, Ubank, Monzo Bank Ltd, Holvi Payment Services Ltd, KOHO Financial Inc., Qiwi, AXA, Timo, au Jibun Bank Corporation, Jenius, K Bank, Kakao Bank
Regions Covered
North America, Europe, APAC, Latin America, MEA
Base Year
2021
Historical Year
2019 to 2020 (Data from 2010 can be provided as per availability)
Forecast Year
2030
Number of Pages
227
Number of Tables & Figures
159
Customization Available
Yes, the report can be customized as per your need.
Global Internet-only Bank Market Report Segments:
The global Internet-only Bank market is segmented on the basis of:
Types
Own Banking License, Partnered with Traditional Banks
The product segment provides information about the market share of each product and the respective CAGR during the forecast period. It lays out information about the product pricing parameters, trends, and profits that provides in-depth insights of the market. Furthermore, it discusses latest product developments & innovation in the market.
Applications
Personal Consumers, Business Organizations
The application segment fragments various applications of the product and provides information on the market share and growth rate of each application segment. It discusses the potential future applications of the products and driving and restraining factors of each application segment.
Some of the companies that are profiled in this report are:
- Atom Bank
- WeBank (Tencent Holdings Limited)
- MyBank
- Starling Bank
- Tandem Bank
- Hello bank!
- DBS Bank India Limited
- BBVA USA Bancshares, Inc.
- N26 GmbH
- Fidor Solutions AG
- Pockit LTD
- Ubank
- Monzo Bank Ltd
- Holvi Payment Services Ltd
- KOHO Financial Inc.
- Qiwi
- AXA
- Timo
- au Jibun Bank Corporation
- Jenius
- K Bank
- Kakao Bank
Highlights of The Internet-only Bank Market Report:
- The market structure and projections for the coming years.
- Drivers, restraints, opportunities, and current trends of market.
- Historical data and forecast.
- Estimations for the forecast period 2030.
- Developments and trends in the market.
- By Type:
- Own Banking License
- Partnered with Traditional Banks
- By Application:
- Personal Consumers
- Business Organizations
- Market scenario by region, sub-region, and country.
- Market share of the market players, company profiles, product specifications, SWOT analysis, and competitive landscape.
- Analysis regarding upstream raw materials, downstream demand, and current market dynamics.
- Government Policies, Macro & Micro economic factors are also included in the report.
We have studied the Internet-only Bank Market in 360 degrees via. both primary & secondary research methodologies. This helped us in building an understanding of the current market dynamics, supply-demand gap, pricing trends, product preferences, consumer patterns & so on. The findings were further validated through primary research with industry experts & opinion leaders across countries. The data is further compiled & validated through various market estimation & data validation methodologies. Further, we also have our in-house data forecasting model to predict market growth up to 2030.
Regional Analysis
- North America
- Europe
- Asia Pacific
- Middle East & Africa
- Latin America
Note: A country of choice can be added in the report at no extra cost. If more than one country needs to be added, the research quote will vary accordingly.
The geographical analysis part of the report provides information about the product sales in terms of volume and revenue in regions. It lays out potential opportunities for the new entrants, emerging players, and major players in the region. The regional analysis is done after considering the socio-economic factors and government regulations of the countries in the regions.
How you may use our products:
- Correctly Positioning New Products
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8 Reasons to Buy This Report
- Includes a Chapter on the Impact of COVID-19 Pandemic On the Market
- Report Prepared After Conducting Interviews with Industry Experts & Top Designates of the Companies in the Market
- Implemented Robust Methodology to Prepare the Report
- Includes Graphs, Statistics, Flowcharts, and Infographics to Save Time
- Industry Growth Insights Provides 24/5 Assistance Regarding the Doubts in the Report
- Provides Information About the Top-winning Strategies Implemented by Industry Players.
- In-depth Insights On the Market Drivers, Restraints, Opportunities, and Threats
- Customization of the Report Available
Frequently Asked Questions?
An Internet-only bank is a bank that does not have physical branches. Customers can access the bank's services online.
Some of the key players operating in the internet-only bank market are Atom Bank, WeBank (Tencent Holdings Limited), MyBank, Starling Bank, Tandem Bank, Hello bank!, DBS Bank India Limited, BBVA USA Bancshares, Inc., N26 GmbH, Fidor Solutions AG, Pockit LTD, Ubank, Monzo Bank Ltd, Holvi Payment Services Ltd, KOHO Financial Inc., Qiwi, AXA, Timo, au Jibun Bank Corporation, Jenius, K Bank, Kakao Bank.
The internet-only bank market is expected to register a CAGR of 16.5%.
Chapter 1 Executive Summary
Chapter 2 Assumptions and Acronyms Used
Chapter 3 Research Methodology
Chapter 4 Internet-only Bank Market Overview
4.1 Introduction
4.1.1 Market Taxonomy
4.1.2 Market Definition
4.1.3 Macro-Economic Factors Impacting the Market Growth
4.2 Internet-only Bank Market Dynamics
4.2.1 Market Drivers
4.2.2 Market Restraints
4.2.3 Market Opportunity
4.3 Internet-only Bank Market - Supply Chain Analysis
4.3.1 List of Key Suppliers
4.3.2 List of Key Distributors
4.3.3 List of Key Consumers
4.4 Key Forces Shaping the Internet-only Bank Market
4.4.1 Bargaining Power of Suppliers
4.4.2 Bargaining Power of Buyers
4.4.3 Threat of Substitution
4.4.4 Threat of New Entrants
4.4.5 Competitive Rivalry
4.5 Global Internet-only Bank Market Size & Forecast, 2020-2028
4.5.1 Internet-only Bank Market Size and Y-o-Y Growth
4.5.2 Internet-only Bank Market Absolute $ Opportunity
Chapter 5 Global Market Analysis and Forecast by Type
5.1 Introduction
5.1.1 Key Market Trends & Growth Opportunities by Type
5.1.2 Basis Point Share (BPS) Analysis by Type
5.1.3 Absolute $ Opportunity Assessment by Type
5.2 Market Size Forecast by Type
5.2.1 Own Banking License
5.2.2 Partnered with Traditional Banks
5.3 Market Attractiveness Analysis by Type
Chapter 6 Global Market Analysis and Forecast by Applications
6.1 Introduction
6.1.1 Key Market Trends & Growth Opportunities by Applications
6.1.2 Basis Point Share (BPS) Analysis by Applications
6.1.3 Absolute $ Opportunity Assessment by Applications
6.2 Market Size Forecast by Applications
6.2.1 Personal Consumers
6.2.2 Business Organizations
6.3 Market Attractiveness Analysis by Applications
Chapter 7 Global Internet-only Bank Market Analysis and Forecast by Region
7.1 Introduction
7.1.1 Key Market Trends & Growth Opportunities by Region
7.1.2 Basis Point Share (BPS) Analysis by Region
7.1.3 Absolute $ Opportunity Assessment by Region
7.2 Internet-only Bank Market Size Forecast by Region
7.2.1 North America
7.2.2 Europe
7.2.3 Asia Pacific
7.2.4 Latin America
7.2.5 Middle East & Africa (MEA)
7.3 Market Attractiveness Analysis by Region
Chapter 8 Coronavirus Disease (COVID-19) Impact
8.1 Introduction
8.2 Current & Future Impact Analysis
8.3 Economic Impact Analysis
8.4 Government Policies
8.5 Investment Scenario
Chapter 9 North America Analysis and Forecast
9.1 Introduction
9.2 North America Market Size Forecast by Country
9.2.1 U.S.
9.2.2 Canada
9.3 Basis Point Share (BPS) Analysis by Country
9.4 Absolute $ Opportunity Assessment by Country
9.5 Market Attractiveness Analysis by Country
9.6 North America Market Size Forecast by Type
9.6.1 Own Banking License
9.6.2 Partnered with Traditional Banks
9.7 Basis Point Share (BPS) Analysis by Type
9.8 Absolute $ Opportunity Assessment by Type
9.9 Market Attractiveness Analysis by Type
9.10 North America Market Size Forecast by Applications
9.10.1 Personal Consumers
9.10.2 Business Organizations
9.11 Basis Point Share (BPS) Analysis by Applications
9.12 Absolute $ Opportunity Assessment by Applications
9.13 Market Attractiveness Analysis by Applications
Chapter 10 Europe Analysis and Forecast
10.1 Introduction
10.2 Europe Market Size Forecast by Country
10.2.1 Germany
10.2.2 France
10.2.3 Italy
10.2.4 U.K.
10.2.5 Spain
10.2.6 Russia
10.2.7 Rest of Europe
10.3 Basis Point Share (BPS) Analysis by Country
10.4 Absolute $ Opportunity Assessment by Country
10.5 Market Attractiveness Analysis by Country
10.6 Europe Market Size Forecast by Type
10.6.1 Own Banking License
10.6.2 Partnered with Traditional Banks
10.7 Basis Point Share (BPS) Analysis by Type
10.8 Absolute $ Opportunity Assessment by Type
10.9 Market Attractiveness Analysis by Type
10.10 Europe Market Size Forecast by Applications
10.10.1 Personal Consumers
10.10.2 Business Organizations
10.11 Basis Point Share (BPS) Analysis by Applications
10.12 Absolute $ Opportunity Assessment by Applications
10.13 Market Attractiveness Analysis by Applications
Chapter 11 Asia Pacific Analysis and Forecast
11.1 Introduction
11.2 Asia Pacific Market Size Forecast by Country
11.2.1 China
11.2.2 Japan
11.2.3 South Korea
11.2.4 India
11.2.5 Australia
11.2.6 South East Asia (SEA)
11.2.7 Rest of Asia Pacific (APAC)
11.3 Basis Point Share (BPS) Analysis by Country
11.4 Absolute $ Opportunity Assessment by Country
11.5 Market Attractiveness Analysis by Country
11.6 Asia Pacific Market Size Forecast by Type
11.6.1 Own Banking License
11.6.2 Partnered with Traditional Banks
11.7 Basis Point Share (BPS) Analysis by Type
11.8 Absolute $ Opportunity Assessment by Type
11.9 Market Attractiveness Analysis by Type
11.10 Asia Pacific Market Size Forecast by Applications
11.10.1 Personal Consumers
11.10.2 Business Organizations
11.11 Basis Point Share (BPS) Analysis by Applications
11.12 Absolute $ Opportunity Assessment by Applications
11.13 Market Attractiveness Analysis by Applications
Chapter 12 Latin America Analysis and Forecast
12.1 Introduction
12.2 Latin America Market Size Forecast by Country
12.2.1 Brazil
12.2.2 Mexico
12.2.3 Rest of Latin America (LATAM)
12.3 Basis Point Share (BPS) Analysis by Country
12.4 Absolute $ Opportunity Assessment by Country
12.5 Market Attractiveness Analysis by Country
12.6 Latin America Market Size Forecast by Type
12.6.1 Own Banking License
12.6.2 Partnered with Traditional Banks
12.7 Basis Point Share (BPS) Analysis by Type
12.8 Absolute $ Opportunity Assessment by Type
12.9 Market Attractiveness Analysis by Type
12.10 Latin America Market Size Forecast by Applications
12.10.1 Personal Consumers
12.10.2 Business Organizations
12.11 Basis Point Share (BPS) Analysis by Applications
12.12 Absolute $ Opportunity Assessment by Applications
12.13 Market Attractiveness Analysis by Applications
Chapter 13 Middle East & Africa (MEA) Analysis and Forecast
13.1 Introduction
13.2 Middle East & Africa (MEA) Market Size Forecast by Country
13.2.1 Saudi Arabia
13.2.2 South Africa
13.2.3 UAE
13.2.4 Rest of Middle East & Africa (MEA)
13.3 Basis Point Share (BPS) Analysis by Country
13.4 Absolute $ Opportunity Assessment by Country
13.5 Market Attractiveness Analysis by Country
13.6 Middle East & Africa (MEA) Market Size Forecast by Type
13.6.1 Own Banking License
13.6.2 Partnered with Traditional Banks
13.7 Basis Point Share (BPS) Analysis by Type
13.8 Absolute $ Opportunity Assessment by Type
13.9 Market Attractiveness Analysis by Type
13.10 Middle East & Africa (MEA) Market Size Forecast by Applications
13.10.1 Personal Consumers
13.10.2 Business Organizations
13.11 Basis Point Share (BPS) Analysis by Applications
13.12 Absolute $ Opportunity Assessment by Applications
13.13 Market Attractiveness Analysis by Applications
Chapter 14 Competition Landscape
14.1 Internet-only Bank Market: Competitive Dashboard
14.2 Global Internet-only Bank Market: Market Share Analysis, 2019
14.3 Company Profiles (Details – Overview, Financials, Developments, Strategy)
14.3.1 Atom Bank
14.3.2 WeBank (Tencent Holdings Limited)
14.3.3 MyBank
14.3.4 Starling Bank
14.3.5 Tandem Bank
14.3.6 Hello bank!
14.3.7 DBS Bank India Limited
14.3.8 BBVA USA Bancshares, Inc.
14.3.9 N26 GmbH
14.3.10 Fidor Solutions AG
14.3.11 Pockit LTD
14.3.12 Ubank
14.3.13 Monzo Bank Ltd
14.3.14 Holvi Payment Services Ltd
14.3.15 KOHO Financial Inc.
14.3.16 Qiwi
14.3.17 AXA
14.3.18 Timo
14.3.19 au Jibun Bank Corporation
14.3.20 Jenius
14.3.21 K Bank
14.3.22 Kakao Bank
