Alex Khomyakov: Hello everybody and welcome to another episode of The Curiosity Code podcast. Today we welcome Alex Romanovich, a leader in global business management and growth consultancy. With over 25 years of experience, Alex has driven transformational strategies for major brands, including IBM and American Express. His FinTech background includes his role as managing advisor partner at WeFund Health and FinTech Meet Health Tech Startup.

Alex Khomyakov: As a Forbes Business Council member, he specializes in digital and AI transformation, international business, and market entry strategies. Today’s discussion will center on global expansion and digital transformation in the fintech space, leveraging Alex’s extensive experience. Well, Alex, I’m happy to have you on the show. Let’s start. What’s happening right now? What’s your current focus?

Alex Romanovich: Alex, thank you for having me. Alex and Alex, I guess, talking about FinTech and what’s happening in the world. And I like the way you pronounce my last name, Romanovich. That’s the old-fashioned way. Typically, Americans and globally, they will pronounce it as Romanovic. But Romanovich is the Eastern European way, which is great.

Alex Khomyakov: Ha ha ha.

Alex Khomyakov: Yeah, you know why I pronounce it right. Try pronouncing my last name.

Alex Romanovich: Yeah, yeah, of course, of course. Correct, correct. Well, we’re doing quite a bit right now. Global Edge Markets is the derivative of the digital marketing agency that I used to have in New York City on Madison Avenue. And in 2019, we transformed into a global business management consultancy.

Alex Romanovich: It’s still a boutique firm. We’re not a large organization. We’re about 10 people plus. But we’re primarily concentrating on softening the global expansion, softening the landing, if you will, in various parts of the world for a number of companies, number of sizes as well. So we work with a lot of early-stage companies. We also work with a lot of mature, midsize, and enterprise-based companies as well.

Alex Romanovich: We do quite a bit of digital transformation work, obviously with agentic AI that’s taking place right now. And we work in a variety of strategies that range anywhere from how do we actually adapt to new markets, how do we take our products and services to new markets, to execution-based work such as how do we change our entire user experience or how do we change our branding to fit the destination market.

Alex Romanovich: This is a very fascinating type of environment. And the reason we delved into it is because I’ve traveled to over 75 countries worldwide. I’ve done business in about 10. So it was easier for me to consider this type of business, which still requires me to travel quite a bit and help companies expand globally.

Alex Khomyakov: Impressive. So as you mentioned, you worked with both scale-ups and enterprises on digital transformations. How has the digital landscape changed the traditional approaches to global expansion, and what strategies have become more effective as a result?

Alex Romanovich: Great question, by the way. And in digital, again, I’m comparing this to, let’s say, 10 years ago, even five years ago. Digital has changed quite a bit. As you know, we now have advancements in artificial intelligence, not just in terms of generative AI where folks are using it in conversations or to develop content, but also in how AI is transforming organizations through agentic AI.

Alex Romanovich: AI now helps with automation, cloud computing, and numerous internal processes. I used to be a developer a long time ago, a technology architect working for IBM, and I could never imagine that we would be able to generate code, replace entire functions, and in some cases, even careers inside an organization with AI advancements.

Alex Romanovich: AI has drastically lowered barriers to entry for companies. You can now conduct faster research, access competitive intelligence much quicker, and make data-driven decisions with precision. This isn’t just about putting something into ChatGPT or Grok and getting an answer. It’s about merging AI with legacy data to produce real-time, actionable insights.

Alex Romanovich: Regarding financial services and FinTech, the benefits are numerous. You can now embed financial services directly into other platforms via API integrations. Instead of launching standalone FinTech products, companies can embed financial tools into existing ecosystems much more easily.

Alex Romanovich: Cross-border payments, decentralized finance (DeFi), and blockchain advancements are making business transactions more seamless. Additionally, RegTech—regulatory technology—is streamlining compliance processes, automating fraud detection, and improving transparency, all of which are powered by AI.

Alex Khomyakov: Let’s talk a bit about another aspect of digital transformation and international expansion. In your opinion, what are the most overlooked but crucial factors that determine whether a fintech company succeeds or fails when expanding internationally?

Alex Romanovich: What’s interesting about expansion is, as I mentioned before, regulatory compliance is a critical factor. Many companies underestimate the complexity of different regulatory environments when entering new markets.

Alex Romanovich: Take payment gateways as an example—PayPal dominates in the United States, while WeChat Pay is the leading payment platform in China. Yet, most Americans know little about WeChat Pay, and vice versa. Understanding the local regulatory landscape is essential for FinTechs looking to expand globally.

Alex Romanovich: Another crucial factor is understanding local customer behavior, both for B2C and B2B. Credit cards are still prevalent in the U.S., while mobile wallets dominate in Asia. When entering a new market, FinTechs need to adapt their products to the preferred payment and banking behaviors of that region.

Alex Romanovich: Talent acquisition, cultural adaptation, and local partnerships are also critical. I used to work for IBM, and we always emphasized the importance of hiring local talent and adapting marketing strategies to fit each country’s unique culture.

Alex Romanovich: Scalability is another overlooked aspect. Expanding globally isn’t just about entering a new market; it’s about ensuring your infrastructure can scale efficiently. One company that has done this well is Stripe. They prioritized regulatory compliance and localized checkout experiences, allowing them to successfully partner with financial institutions in multiple markets.

Alex Khomyakov: That’s a great example. Let’s continue this discussion in the next part.

Alex Khomyakov: Can you share a case where a company leveraged digital transformation to expand globally but faced unexpected challenges? What lessons can fintech firms take from that experience?

Alex Romanovich: Absolutely. One case that stands out is N26, a German neobank that attempted to enter the U.S. market. Neobanking had gained massive traction in Europe, and N26 assumed the U.S. market would follow a similar trajectory. However, they underestimated the regulatory complexity and local banking expectations in the U.S.

Alex Romanovich: The U.S. financial system is highly fragmented compared to Europe, where open banking regulations make it easier for fintechs to integrate with traditional banks. N26 faced challenges with licensing, compliance, and customer trust. Eventually, they exited the U.S. market because the operational hurdles outweighed the benefits.

Alex Romanovich: This case highlights a key lesson for fintechs: don’t underestimate regulatory and cultural differences when expanding internationally. Local partnerships, compliance expertise, and understanding customer expectations are critical for success.

Alex Khomyakov: That’s a great example. I’ll probably post a link in the description to a case study on N26. Now, let’s talk about the technology side of international expansion. Beyond usual CRMs and data analytics tools, what emerging technologies will redefine how companies enter new markets?

Alex Romanovich: The biggest game-changer is AI-driven market intelligence. Companies now have access to predictive analytics, which can help them assess risks, identify customer trends, and personalize financial services before entering a new market.

Alex Romanovich: Agentic AI—AI that can make autonomous decisions—is also transforming international expansion. AI-powered chatbots and virtual assistants can now handle regulatory queries, automate localization processes, and even adapt customer onboarding experiences in real-time.

Alex Romanovich: Another critical technology is API-driven fintech infrastructure. Instead of building new payment systems from scratch, fintech companies can integrate local banking services via API partnerships. This allows them to scale more efficiently across borders.

Alex Romanovich: However, scalability is only as good as your risk assessment. Companies must assess geopolitical risks, data privacy laws, and infrastructure limitations before entering a new market.

Alex Khomyakov: That’s insightful. Now, let’s tap into your marketing expertise. When a fintech startup enters a new market, it often faces credibility challenges. How can these companies establish trust with consumers and regulators?

Alex Romanovich: Trust is everything, especially in fintech. If customers don’t trust your platform, they won’t adopt your services, no matter how innovative they are.

Alex Romanovich: The first step is regulatory compliance. Compliance isn’t just a legal necessity—it’s a trust-building tool. Companies that demonstrate transparency in how they handle regulations gain credibility faster.

Alex Romanovich: Another key factor is co-branding and partnerships. Fintech startups should collaborate with well-known banks, payment providers, or financial institutions in the local market. Stripe did this exceptionally well by forming partnerships with financial institutions in every country they expanded into.

Alex Romanovich: Content marketing also plays a major role. Personalized, localized content helps build trust. AI-powered content tools can now generate region-specific financial education materials, which fintechs can use to establish themselves as thought leaders in new markets.

Alex Khomyakov: That makes sense. You mentioned AI-powered personalization earlier. From your experience, what are the most innovative and unconventional AI applications that could give fintech companies a true competitive edge?

Alex Romanovich: AI is transforming fintech in ways we couldn’t have imagined a decade ago. One of the most exciting areas is fraud detection and social fraud prevention.

Alex Romanovich: For example, a company called Secure uses AI to detect fake customer data without violating privacy laws. They partner with major financial institutions, analyzing publicly available social data to prevent fraud in real-time.

Alex Romanovich: Another innovative use of AI is emotion-based financial advice. AI can now analyze customer sentiment through voice tone and facial expressions to tailor financial recommendations. Think of it as hyper-personalized wealth management that adapts to a customer’s emotions and risk tolerance in real-time.

Alex Romanovich: AI is also streamlining regulatory compliance. Instead of manually navigating complex financial regulations, AI-driven RegTech platforms automate compliance monitoring, reducing risk for fintech firms expanding internationally.

Alex Khomyakov: We’ve discussed AI a lot on this podcast, but this is the first time I’ve heard about emotion-based financial advice. That’s fascinating.

Alex Romanovich: Yes, it’s a growing area. AI emotion analysis started in industries like automotive and healthcare but is now expanding into fintech. Companies are exploring ways to use sentiment analysis to improve financial decision-making, risk assessment, and even fraud prevention.

Alex Khomyakov: That’s really interesting. Now, you also have experience in health tech. You were a general manager and CMO at Think, a Japanese health and wellness company that uses AI. What insights from health tech can be applied to fintech for personalized financial services?

Alex Romanovich: There are actually a lot of parallels between health tech and fintech, particularly in personalization and risk assessment.

Alex Romanovich: In healthcare, AI is used to personalize treatment plans based on a patient’s medical history, lifestyle, and genetic data. Similarly, AI in fintech can personalize financial planning by analyzing a person’s spending habits, investment preferences, and risk tolerance.

Alex Romanovich: Another area is predictive modeling. In health tech, AI predicts potential health risks based on biomarkers and patient history. In fintech, AI can forecast financial risks, helping individuals and businesses proactively adjust their investment or savings strategies.

Alex Romanovich: AI-driven diagnostics in healthcare also have a fintech equivalent—AI-powered fraud detection. Both rely on pattern recognition and anomaly detection to prevent issues before they escalate.

Alex Khomyakov: That’s a great comparison. I can see how predictive modeling applies to both industries. Now, to wrap up, let’s tap into your role as a CMO. You’ve worked with top CMOs worldwide. What are some innovative marketing strategies fintech companies can adopt to stand out?

Alex Romanovich: Community-driven growth is one of the most powerful marketing strategies. Instead of just building a brand, fintech companies should aim to build a movement. Engaging with advisors, influencers, and partners creates organic brand momentum.

Alex Romanovich: Personalization is another major trend. AI-driven hyper-personalization allows fintechs to tailor products, services, and marketing messages to individual customer preferences.

Alex Romanovich: Lastly, fintechs must embrace experimentation. The best marketing strategies come from continuous A/B testing, real-time sentiment analysis, and adapting to changing customer behaviors.

Alex Khomyakov: That’s fantastic advice. Alex, thank you so much for joining us today. This has been an insightful discussion.

Alex Romanovich: Thank you, Alex! It’s been a pleasure.

Alex Khomyakov: And to our listeners, thanks for tuning in! Don’t forget to subscribe and share this episode. See you next time!