What is the difference between Internet finance and traditional finance?

Internet finance is also a mode of developing traditional finance online.

Internet finance has become a hot topic in recent two years. In large and medium-sized cities with developed economies, you can hear people casually say "Ma Yun said …" and "Liu said …" or read some information related to Internet finance on the Internet, magazines and newspapers. If you can't say one or two things about Internet finance, you will feel left behind.

Social analysis of traditional financial industry

Traditional finance faces the challenge of internet finance, which may not be its end. You know, there is competition and there is development. For its own development, the traditional financial industry should also take active actions to seek benefits for itself.

Social Analysis of Internet Finance

The current pattern of Internet finance consists of traditional financial institutions and non-financial institutions. Traditional financial institutions mainly include Internet innovation and e-commerce innovation of traditional financial services. Non-financial institutions mainly refer to e-commerce enterprises that use Internet technology for financial operations, and P2P-based peer-to-peer lending platforms, such as hamster finance (P2F) online investment platform (safer) and third-party payment platform.

What is the Internet financial model? The P2F model, which we often talk about, provides more intermediary services, combining the lenders and demanders of funds. There are four modes of Internet finance, and the relatively secure P2P mode is the secured transaction mode of guarantee institutions. As an intermediary, such platforms do not absorb deposits or lend, but only provide financial information services, with double guarantees provided by cooperative small loan companies and guarantee institutions. For example, hamster finance has third-party custody, risk reserve, risk control team grasp and so on.

Internet finance pk traditional financial industry

The difference between internet finance and traditional financial industry lies not only in the different media used in financial business, but also in the fact that financial participants know the essence of "openness, equality, cooperation and sharing" of the Internet. Through the Internet, mobile Internet and other tools, traditional financial services have a series of characteristics, such as greater transparency, higher participation, better collaboration, lower intermediate costs, more convenient operation and so on.

Lu, vice president of Rong 360, is a standard "bank executive": graduated from Shanghai Jiaotong University with an MBA, served as the vice president of Ningbo Bank Shanghai Pudong Branch from the account manager of Standard Chartered Bank, and has 1 1 year experience in commercial bank management. 20 1 1 I founded Rong 360 with my friends, specializing in product search in the financial retail market.

Compared with the relationship-oriented sales of banking products in the banking system, Lu, vice president of Rong 360, now appreciates the effect-oriented sales method of the Internet.

The two different sales models reflect the huge differences in product characteristics between the two industries-behind selling products by relationship, the product homogeneity is too serious, and the product itself can't convince customers, so it can only take the big customer relationship; Internet financial products emphasize "product value", amplify the experience of customers and users, and let products convince customers.

Internet finance is coming, who is the biggest beneficiary? Ma Yun, Chairman of the Board of Directors of Alibaba Group, said that 80% of customers in China's financial system were not served. According to our survey results, nearly 90% of customers with financial needs are not satisfied in the traditional financial system. I call them "Xiaorong" users. Whoever firmly grasps the users of Xiaorong will be able to occupy the commanding heights of competition in the Internet finance era.