How Can You Effectively Communicate Complex Fintech Concepts to Nontechnical Stakeholders?
Fintech Interviews
How Can You Effectively Communicate Complex Fintech Concepts to Nontechnical Stakeholders?
Navigating the intricate world of fintech can be daunting for non-technical stakeholders, which is why we've gathered insights from top industry leaders. From focusing on the 'Why' before the 'How' to relating complex ideas to familiar concepts, here are the top four pieces of advice from a Chief Product Officer and a CEO on effectively communicating complex fintech concepts.
- Focus on 'Why' Before 'How'
- Simplify Concepts with Relatable Examples
- Keep It Simple, Relatable, and Relevant
- Relate Complex Ideas to Familiar Concepts
Focus on 'Why' Before 'How'
One key piece of advice for effectively communicating complex fintech concepts to non-technical stakeholders is to focus on the "why" before the "how." Start by explaining the business value or problem that the fintech solution addresses, using simple and relatable terms. Highlight how it impacts the organization's goals, efficiency, or customer experience.
Next, use analogies or real-world examples to bridge the gap between technical jargon and everyday understanding. Avoid overwhelming your audience with technical details—keep the conversation focused on the benefits and outcomes that matter most to them.
Simplify Concepts with Relatable Examples
When communicating complex fintech concepts to non-technical stakeholders, my key advice is to simplify without oversimplifying. Focus on breaking down the concept into relatable analogies or real-world examples that tie into their everyday experiences. Avoid jargon, and instead, highlight the practical benefits and real-world applications of the technology.
For example, when explaining blockchain, rather than diving into technical details, you can describe it as a secure digital ledger that ensures trust in transactions without needing a middleman. This approach keeps the conversation accessible while emphasizing the value fintech solutions bring to business outcomes.
Keep It Simple, Relatable, and Relevant
When you're communicating complex fintech concepts to non-technical stakeholders, the key is to keep it simple, relatable, and relevant. Here's the deal: ditch the jargon. No one cares about your fancy algorithms or blockchain buzzwords if they don't get what it means for them.
Think of it this way: you're not explaining a new financial app to engineers. You're talking to people who care about outcomes. They want to know how this impacts their day-to-day, saves them time, or helps them make more money. So, focus on the benefits, not the technical details.
1. Start with the 'Why'
Why does this fintech solution matter? What real-world problem does it solve? Lead with that. If you're rolling out an AI-based loan platform, don't start with machine learning. Say, 'This tool gets you faster loan approvals, so you're not stuck waiting weeks for a decision.'
2. Use Analogies They Get
Analogies are your best friend. If you're explaining how blockchain secures transactions, say, 'It's like a digital ledger that everyone can see, so no one can cook the books.' Keep it relatable.
3. Cut the Clutter
Keep it short. If you're spending 10 minutes on how the tech works, you've already lost them. Break it into bite-sized chunks. Think conversation, not lecture.
4. Focus on Real-Life Use Cases
Stories sell. Instead of getting bogged down in details, show how this fintech product has helped others. 'This mobile payment system reduced transaction times by 30%, so users get paid faster.' Boom—real-world impact.
5. Preempt Their Questions
They're probably thinking, 'How does this affect me?' Answer that up front. Talk about security, cost savings, scalability—whatever matters most to them. Keep the focus on their concerns, not your technical triumphs.
6. Use Visuals
Some people are visual learners. Show them how it works with simple charts, infographics, or screenshots. Sometimes, a picture really is worth a thousand words.
In short, explain fintech like you're talking to your neighbor who still thinks 'the cloud' is where birds hang out. Forget the buzzwords, cut to the chase, and explain why it matters. If they walk away saying, 'Wow, that's cool!' instead of, 'What the heck did you just say?'—you've nailed it. Think less 'coding guru' and more 'neighbor wondering if they should upgrade their microwave.' Keep it simple, real, and, most importantly, engaging. If they're excited about the benefits and not Googling half your words, you've done your job right.
Relate Complex Ideas to Familiar Concepts
In FinTech, especially when dealing with complex areas like cryptocurrency, you need to simplify your communication with non-technical stakeholders to the bare necessities. To do that effectively, you first need to fully understand the concept yourself. If you can't explain it like you would to a fifth grader, it's a sign you need to dive deeper in understanding.
One of the most effective ways I've found to communicate complex ideas is by relating them to something the stakeholder is already familiar with. For example, in a previous role as Head of Product at a cryptocurrency brokerage, I educated our CX team on how crypto transactions worked by outlining the similarities and differences with normal bank transfers—something they understood well already.
