Publicis moves from advertising to FinTech

Publicis Groupe, a reference in the French communication market, has just announced the signature of an unexpected partnership with Siam Commercial Bank, a Thai bank committed to adapting new technologies to banking offers. This partnership is all the more unusual in that it leads to the creation of a new FinTech.

FACTS

• The new FinTech created by the merger between Publicis and Siam Commercial Bank has been named SBC Tech X. It is 60% owned by SCB and 40% by Publicis Groupe.

• This joint venture aims to become one of the largest FinTech operators in the South East Asian region.

• Taking the form of a platform-as-a-service hosted exclusively in the Cloud, SBC Tech X intends to distinguish itself in both form and substance.

• It will offer credit, current and savings accounts, but also non-financial services such as travel booking, meal delivery and health and wellness content.

• Its target audience: private individuals and commercial players.

• The SBC Tech X joint venture will start operations with a team of around 1,200 employees.

CHALLENGES

• A highly technological approach: In its very description, SBC Tech X emphasises its commitment to rethinking the latest technologies and making innovation its development driver.

• Extending its international positioning: More than the particularity of the initiative itself, the launch of an atypical FinTech by Publicis represents a way for the group to concretise its geographical extension in areas considered as having high growth potential. The total transaction value of the digital payments market is expected to reach more than $1 trillion by 2025 in the region.

MARKET PERSPECTIVE

• The Publicis Group has a long-standing interest in the start-up and FinTech market. It is, for example, behind the Viva Technology trade show in partnership with Les Echos since 2016, which has become a key event for innovation in France.

• Siam Commercial Bank is considered an innovative player in its market and in 2018 it distinguished itself by using biometrics for its KYC.