I made a guest appearance on the Small Business Obesessed podcast. We deep dived into the Jobs of SMBs in the US, the asymmetries in competition and the threat this poses to banks.
In this podcast, I joined Derik Sutton and Chris Spiek from Autobooks. Both have a huge depth of experience and knowledge in fintech, product management and Jobs to be Done so it was a hugely enjoyable conversation. Some of the highlights for me were:
There's big differences between the UK and the US market. In the UK there has been a surge in challenger banks and non-banks that are offering intelligent digital services to the micro end of the SMB segment. In the US, there is much less innovation in this space
When we look at the Jobs to be Done for SMB owners in the US there are some big lessons for financial service providers. Financial services need to humanis there customer experience. This means speaking in the customers language, not banking language like "ACH batches". Importantly, there is a big services gap in helping customers with their business finances and therefore a huge opportunity for new product design.
As we look at the market through a customer jobs lens, banks could face disruption at the low end of the market and be pushed upstream. Banks recognise this and care a lot about SMBs, but they are not well equipped to respond quickly to some of the bigger disruptors in the market like PayPal and Square.