Part 2 – Why challenger banks need to be 100 times better than incumbents In my previous article I attempted to reframe the “Fintech debate” into one centred around its goal (competition) rather than its means (Innovation, Fintecth, etc.). In this piece I would like to offer a framework to discuss what an overall banking proposition is and why one will be better than another. This will lead me to argue that a challenger will have to be 100 times better than an incumbent to challenge at scale. What is a bank made of? First I would like to propose a simple model that will give us a framework to discuss the competitive advantages of different retail banking propositions. Let’s consider a retail bank to be made up of 4 core blocks: A block that makes it profitable and ensure it…