Transaction times in the financial services and insurance (FSI) sector are trending shorter and shorter, spurred on by the disruption of new AI capabilities, tightening regulations from bodies like the SEC, and modern investor preferences.
At the same time, more and more financial service providers are champing at the bit when it comes to monetizing their data and unlocking new revenue streams with the help of native and connected applications.
But with as many as 64% of organizations plan to monetize their data by the end of this year, even as the marketplace itself continues to accelerate, enterprises risk falling behind in a crowded market and missing out on significant revenue streams without the right product development strategy—and without the right talent and tech stack to implement it.
Choosing the Right Tech Stack for Data Product Development
For many financial services and insurance organizations, leveraging data to directly generate revenue has become increasingly urgent.
At the same time, many of these same organizations are falling behind in their overall data modernization efforts, with only 8% of these organizations report that their data stores and pathways are “extremely efficient and scalable.”
Industry data leaders, then, must make not one but two major leaps in order to reach their monetization goals—building a centralized data platform that can give them the efficiency gains they need to scale, and then leveraging that technology stack to expand their addressable market.
Taking the first step toward data maturity, the vast majority of these organizations have indicated their intentions to leverage external support from a trusted data partner this year.
At the same time, the Snowflake AI Data Cloud offers unique capabilities that, paired with offerings like Hakkoda’s PDO support, could open a path for FSI businesses looking to get data products on the market and open up revenue streams faster.
Using Snowflake Marketplace to Broaden Market Reach
For enterprises still frantically working to centralize data on a primary data platform, the Snowflake AI Data Cloud is uniquely positioned to help carve a path to data monetization by virtue of its Native Application development and deployment model.
The Snowflake Marketplace provides a powerful platform for FSI businesses to expand their market reach and customer base without needing to look outside the Snowflake ecosystem. By building and sharing their data products as Snowflake Native Apps, organizations can take advantage of the Marketplace’s built-in audience of fellow Snowflake users to exponentially grow their addressable markets.
The marketplace also simplifies the deployment and management of data-driven applications, offering a flexible pricing model that allows financial services companies to further refine their marketing strategies while catering to the needs of their customers.
Finally, Snowflake Native applications support seamless integration with existing data infrastructure and best-in-breed applications across the Snowflake ecosystem, making it easier for FSI organizations to introduce innovative solutions quickly and adapt to the needs of their customers with the full host of capabilities the modern tech stack has to offer.
Outsourcing Product Development to Drive Innovation
While the case for turning to a trusted data partner applies across stages of data maturity, outsourcing software development in particular offers a slew of strategic advantages for financial services and insurance organizations looking to build cutting-edge customer-facing platforms while accounting for the industry’s stringent privacy and security requirements.
By working with an experienced data partner, these companies can streamline their development processes while focusing internal resources on core business functions. Maintaining an in-house development team can be prohibitively expensive, particularly when it comes to hiring and retaining talent in specialized areas specific to application development. Outsourcing to a data partner can enable FSI companies to scale talent up or down as needed, optimizing costs and resources without compromising on quality.
Outsourcing the development process can also significantly reduce time-to-market for new applications. By utilizing a dedicated team of experts, organizations can sidestep common deployment barriers to expedite project timelines.
Lastly, outsourcing fosters a culture of innovation within financial services organizations. By collaborating with external partners who bring fresh perspectives and have already pioneered innovative solutions for industry leaders, companies can drive continuous improvement and stay at the forefront of technological advancements.
Building Your Data Product with Hakkōda:
Hakkoda’s product development outsourcing (PDO) service offers a powerful way for FSI enterprises to create and deploy data-driven applications.
With data teams led by industry veterans who have been in the customer chair, and with a proven track record of building customer-centric data platforms for leading organizations, Hakkoda fuses technical expertise across the modern data stack with the industry depth you need to turn your next data product into a strategic investment that aligns with your larger vision—not only for your data, but for your business.
Ready to take an outcome-oriented approach to building your next client-facing platform? Talk to one of our experts today.
