Global Neobank Market Research Report 2023-Competitive Analysis, Status and Outlook by Type, Downstream Industry, and Geography, Forecast to 2029

Global Neobank Market Research Report 2023-Competitive Analysis, Status and Outlook by Type, Downstream Industry, and Geography, Forecast to 2029

Neobank is an online financial institution similar to a bank, which only operates through digital means or mobile applications. Compared with traditional banks, Neobank's products are usually limited, sometimes just a simple check and savings account.

Market Overview:

The latest research study on the global Neobank market finds that the global Neobank market reached a value of USD 49277.2 million in 2022. It’s expected that the market will achieve USD 214153.74 million by 2028, exhibiting a CAGR of 27.75% during the forecast period.

The Impact of Covid-19 From the Perspective of Value Chain

Many intermediate inputs that are indispensable for the global value chain of each specific product are at both ends of the value chain and are provided by companies in developed countries, including multinational companies that manipulate the entire value chain. At present, both agricultural and industrial production are using services more and more, especially in the manufacturing industry, because manufacturing companies increasingly use intermediate services. Due to the rapid development of the Internet, global communications and exchanges have not been greatly affected. Therefore, the outbreak of COVID-19 has little impact on the financial and consulting services industries. Therefore, its adverse impact in the value chain is weak.

Market Drivers

People's way of banking is changing, and for many people, it is being fully digitized. This is partly due to Neobank: Small start-ups usually operate without a physical location and require account holders to trade online or on their smartphones. The old banks are also transferring their products to the Internet more and more, and the trend of Neobank is becoming more and more obvious. The change of banking mode will be combined with digitalization to develop rapidly, thus promoting the development of Neobank industry.

Neobank's product model tends to be oriented to customers who are proficient in technology, and they usually seek a simpler and more accessible financial management method. Many schools offer free budget tools and financial education. Because most branches of Neobank has less management costs, there are fewer employees operating these branches, and the business model is usually more streamlined, so users can usually enjoy higher interest rates and lower fees. Most neobank do not provide credit, which helps to reduce costs and limit risks. Most of these banks also provide physical debit cards to avoid affecting the user experience. All these factors will increase people's demand for neobank and promote the development of the industry.

Region Overview:

From 2023-2028, Europe is estimated to witness robust growth prospects.

Company Overview:

Ally is one of the major players operating in the Neobank market, holding a share of 8.88% in 2020.

Ally Financial Inc. is a leading digital financial services company and a top 25 U.S. financial holding company offering financial products for consumers, businesses, automotive dealers and corporate clients.

Axos Bank is an American federally chartered direct bank headquartered in San Diego, California. It is the main consumer brand of Axos Financial. The bank has three branches located in San Diego, California; Las Vegas, Nevada, and Columbus, Ohio. With a broad and ever-growing range of financial products and services, including checking, savings, CDs, money market, lending, and retirement, Axos specializes in convenience and customization.

Segmentation Overview:

Among different product types, Payments segment is anticipated to contribute the largest market share in 2028.

Application Overview:

By application, the Large Size Enterprises segment occupied the biggest share from 2018 to 2022.

Key Companies in the global Neobank market covered in Chapter 3:

Good Money
Starling Bank
Chime
Varo
Azlo
Atom Bank
Ally
Monzo
N26
Revolut
Simple
Axos

In Chapter 4 and Chapter 14.2, on the basis of types, the Neobank market from 2018 to 2029 is primarily split into:

Payments
Processing Services
Customer and Channel Management
Risk Management

In Chapter 5 and Chapter 14.3, on the basis of Downstream Industry, the Neobank market from 2018 to 2029 covers:

Small and Medium Size Enterprises
Large Size Enterprises
Personal

Geographically, the detailed analysis of consumption, revenue, market share and growth rate, historic and forecast (2018-2029) of the following regions are covered in Chapter 8 to Chapter 14:

North America (United States, Canada)
Europe (Germany, UK, France, Italy, Spain, Russia, Netherlands, Turkey, Switzerland, Sweden)
Asia Pacific (China, Japan, South Korea, Australia, India, Indonesia, Philippines, Malaysia)
Latin America (Brazil, Mexico, Argentina)
Middle East & Africa (Saudi Arabia, UAE, Egypt, South Africa)