Make or Break. Business Model Determinants of FinTech Venture Success

Abstract

In recent years, the phenomenon of rapidly proliferating FinTech companies along diverse segments of the financial services value chain has attracted considerable interest in academic research and practice. So far, various factors of FinTech venture success have been explored, but there is little empirical insight through the lens of business model theory. To close this gap, we build on a FinTech business model taxonomy and examine 221 FinTech companies in order to statistically infer crucial business model determinants responsible for FinTech venture success. Our findings show that the business model component “Product/Service Offering” is the most important determinant for the success of a FinTech venture.