エンジンを始動せよ！ NCINO NSIGHT 2024の要約
Lightning Quick Technology at the Home of Lightening Quick Cars Helps Financial Institutions Take the Checkered Flag
Yes, I DO think there is a strong connection between banking technology and sports car racing, so buckle your seat belts. Last week I had the opportunity to attend nCino nSight in Charlotte, NC from May 14-16, 2024. The conference was held at the Charlotte Convention Center, which is adjacent to the NASCAR Hall of Fame (an interactive museum that celebrates the history of stock car racing and honors legendary drivers), where nCino held its nSight customer party during nSight 2023. More than 1,700 attendees and 300 unique financial institutions made a pit stop in Charlotte for nSight 2024 during a busy banking conference season to learn, network, and buy technology to lap the competition.
Many thanks to nCino for the invitation (along with my colleague Patricia Hines) to present to, meet, and share insights with nCino customers from around the globe, nCino executives, and technology partners that complement nCino solutions, over the course of a fast-paced two and a half days. This conference is large given its focus on commercial lending, retail lending, and related technologies, but nSight was small enough where attendees could find each other.
The event included a plethora of information about new nCino solutions and capabilities. It was also an in person “launch party” for nCino’s recently introduced consumer loan origination system (LOS) that supports personal, automobile, HELOC, and other retail loans. Celent has covered cloud-based loan origination systems extensively in our recent report, Next-Generation Retail Loan Origination Systems: Shifting to the Enterprise and Cloud to Modernize Front and Back Office Systems
Banking and Racing Are About Speed and Agility
Banking and racing are both about speed and agility to win races. Financial institutions need composable, loosely coupled, API-first, cloud-based technology to introduce new products and services rapidly to outpace their competitors. Stock car racers need componentization as well. Think about a pit stop where the racer gets gas, new tires, and advice. Race teams have re-engineered that process and applied both hardware and software technology to speed it up. A pit stop to change four tires and refuel can take 12–16 seconds at a NASCAR race; at the Indianapolis 500 race this past weekend, the pit stop time is about 7 seconds. This now happens in about seven seconds. The pit crew fills up the gas tank, jacks up the car in about one second, takes four wheels off in about two seconds, puts on new tires in about two seconds, jacks down the car in about one second, and the car takes off.
Source: NASCAR Hall of Fame
If you’re slower doing a pit stop than the competition, they is going to get ahead of you. It is the same situation for lenders. If a competitor introduces a new product, how long will it take you to create your own competing product? It might take about seven months today, but if you can shorten that to seven weeks (or less) with composability you’re going to stay ahead of the competition and win the race. So banks need technology just the way race car teams need it to outperform the competition.
Navigating Through Lending Cycles
I had the opportunity to present to and speak with over 90 of nCino’s financial institution executives during a session entitled, Navigating and Thriving Through Uncertainty: Returning to Growth: Global Lending and Technology Trends and Insights. In addition to my presentation, we conducted live polling questions and compared audience responses with Celent’s global banking and lending survey responses for five global regions.
Source: Patricia Hines (nCino nSight 2024)
Of particular interest was the question, “what are your current loan origination system (LOS) IT investment priorities?” Forty percent indicated that LOS replacement/upgrade was the highest priority. It was higher than digital account opening, decisioning engine replacement/upgrade, product bundling, and digital document management. I left the session feeling that this audience was navigating through the current high interest rate environment very well, and was making the investments needed to thrive through the next upturn when interest rates decline.
Looking Ahead
Contact me at info@celent.com or cfocardi@celent.com if you would like to discuss loan origination systems and related data, analytics, and decisioning systems. If you are a client email me or your relationship manager to set up a call.
Related Research
ICICI Bank: Transforming the Lending and Borrowing Experience With iLens