The neobank market - France

The neobank market has witnessed a substantial rise with more than 10% of the French population holding an online account as of 2020, signaling a shift towards digital banking solutions. Despite the closure of physical branches by traditional banks and their move towards expanding digital offerings to compete with neobanks, many in France still prefer to use traditional banks as their primary financial institution. This preference is largely attributed to their attachment to in-person consultations with bank advisors and skepticism about entirely digital platforms and automated services (bots). Neobanks, on the other hand, are not just content with offering basic banking services; they are aiming to become fully-fledged banks by diversifying into products such as pension insurance, life insurance, and various credit products as part of their global strategy.

Analysis of Neobank Market Trends in France

The neobank market in France is currently experiencing a phase of significant growth and transformation. With the emergence of online banks that are primarily accessed via the internet and smart devices, there has been a shift in how banking services are consumed by the French public. In the year 2020, it is evident that more than one person in every ten in France has opened an online banking account, showcasing a shift towards digital banking solutions. Nonetheless, online banking still holds the position of a secondary banking option for most citizens, as a considerable number still rely on traditional banking institutions for their primary financial needs.

Traditional banks in France have not remained passive in the face of this change; they are seen to be actively closing physical branches to cut costs and are expanding their own digital offerings in an attempt to compete with these emerging neobanks.

The strategy of the new banks is ambitious – they are not content to offer basic banking services but are looking to become full-fledged banks themselves by diversifying their range to include products such as pension insurance, life insurance, and various credit products.

However, it is important to note that there is a significant segment of the French population that remains hesitant to fully embrace online banking. This reluctance is rooted in a preference for the personal touch of physical bank advisors, as well as concerns and distrust regarding the reliance on digital technology and the use of bots for communication.

In sum, the neobank market in France is marked by a blend of rapid digital adoption by a noteworthy segment of the population, vigorous responses from traditional banks, and a lingering sense of hesitation from a fraction of the populace who remain loyal to the conventional banking model.

The Vanguard of Virtual Banking: Key Market Players Revolutionizing the French Financial Landscape

The French banking sector is witnessing a monumental transition as a multitude of neobanks carve their names into the financial market with innovative online services. These avant-garde entities are reshaping the traditional banking experience, offering customers the convenience of branchless banking through sleek apps and cutting-edge platforms. The neobanks are expanding their footprint by not only catering to digital natives but also by diversifying their services to potentially become the primary banking choice for the wider population. In this chapter, we will highlight the principal actors that are leading the charge in the French neobank market.

• N26: Originating from Germany, N26 has successfully captured the French market's attention with its transparent fees and simplistic account management functionalities. Known for its intuitive mobile interface, N26 is appealing to tech-savvy consumers seeking efficient and hassle-free banking solutions.
• Revolut: A major player hailing from the UK, Revolut offers a plethora of services including budgeting tools, instant payment notifications, and favorable exchange rates for international transactions. With a strong focus on innovation, Revolut is consistently adding new features, such as cryptocurrency trading, to appeal to a diverse client base.
• Monzo: Also based in the UK, Monzo has made waves with its distinctive coral-pink cards and customer-centric banking services. Emphasizing user experience, Monzo's offerings range from savings pots to salary sorter features, all designed to provide users with greater control over their finances.
• Starling Bank: Starling’s entry into the French market signals its ambition to be taken seriously on the international stage. With its robust in-app analytics and business banking options, Starling Bank is targeting a broad demographic from individual freelancers to small and medium-sized enterprises.
• Orange Bank: The telecom giant Orange’s foray into banking brings its customer service expertise into the financial realm. By leveraging its existing infrastructure, Orange Bank provides a blend of digital convenience with the confidence of a well-known brand, enticing customers who might be reluctant to trust less established neobanks.
• Hello bank!: A digital offshoot of the traditional banking conglomerate BNP Paribas, Hello bank! combines the trustworthiness of a big bank with the agility of online services. It offers a range of products including savings accounts and personal loans, making it an attractive option for those who prefer the backing of an established institution. 
• Compte Nickel owned buy BNP Paribas is also a major and very successful actor of the french market

Informations

• Nombre de pages : 30 pages
• Format : Version digitale et PDF
• Dernière mise à jour : 22/02/2023

Sommaire et extraits

Liste des graphiques

• Evolution du nombre d'établissements enregistrés sous le code 6419Z
• Banque en ligne secondaire parmi les Français multi-bancarisés
• Nombres d'utilisateurs des principales néo-banques
• Parts de marché des 5 premières néo-banques
• Pertes des néo-banques
• Répartition des clients des néo-banques, par genre
• Répartition des clients des néo-banques, par catégorie professionnelle
• Répartition des clients des néo-banques, par âge
• Répartition des cliens des néo-banques, par milieu de vie
• Marché des néo-banques
• Marché des néo-banques par région géographique
• Evolution des clients de banques en ligne
• Sondage : motivations des clients de néo-banques
• Nombre de comptes ouverts dans des néo-banques par client
• Français ayant une banque en ligne comme première banque
• Clients ayant téléchargé l'application mobile de leur banque principale
• Fréquence de fréquentation de l'agence de la banque principale
• Temps que consacrent des PME à leurs activités