The influence of modern digital technologies on the competitive positions of banks in the financial market

Abstract

The article examines the impact of the main types of FinTech innovations on the competitive position of banks in the financial market. The peculiarities of competition and conditions of formation of competitive advantages of banks in order to protect their competitive positions are substantiated and the processes of development of financial technologies in the market of banking services are studied, the main factors The following research methods were used in writing the article: logical generalization and scientific abstraction; methods of comparative and statistical analysis. The bank's competitiveness is assessed by its ability to remain attractive to its customers. The emergence of fully digital banks without branches and affiliates has a significant impact on banking competition. An important factor in competitiveness is to improve the quality of banking services, primarily through the introduction of innovations. Therefore, banks are actively digitizing both internal processes and processes related to customer service. Internet technologies have provided banks with new opportunities to promote their products and implement a customer-oriented approach. A competitive bank must demonstrate not only the stability of financial performance, but also the successful implementation of the overall business strategy, the successful use of digital sales channels, expanding access to financial services.The results show that banking competition is significantly affected by: government regulation; a significant number of competitors: "bank – b ank", "bank - on-bank financial institutions", "bank – non-financial companies", which, depending on the level of their concentration can be represented as individual and group and intra-industry species competition. FinTech does not undermine the model of banks, it only fills in the gaps. After all, the banks themselves are quite active in developing digital technologies in their activities, which suggests that traditional banks will retain their value, and fintech organizations will also have their own field of activity, so the most common business model is probably the integration of traditional and fintech. oriented activity models.