Would you use a mobile banking service that doesn’t meet your needs or confuses you? Probably not unless you like pain. But innovative FinTech solutions, customized for each person, are the future of financial technology.
Companies like Juntos are addressing customer satisfaction issues. Talk to any company providing financial services to the underserved. Many report dormant or underused services.
When an unbanked person joins the ranks of the newly banked, the battle has just begun. For the newly banked person to become an active customer, they need to be empowered. They need to feel connected to their financial services provider. They need to believe that having an affordable bank account means a better future and that this is within in their grasp. View the video below about one innovative Fintech solutions company.
Innovative FinTech Solutions for the Underbanked
What is needed is a warm relationship that is both affordable, and delivered through high-touch SMS or mobile applications. Juntos, a successful FinTech startup, is on the forefront of this effort. Company data confirms their value to underbanked customers.
Juntos sends customized text messages, tailored to local cultures, to new bank or telco mobile banking customers. Harnessing the power of behavioral research, their SMS program motivates the creation of new savings behavior and greater prosperity for the newly banked. Most financial service providers know your home address and ID number; Juntos wants to know customers’ dreams, whether it’s buying a goat or a solar panel.
Tigo Pesa (the leading mobile money provider in Tanzania) provides its 4.5+ million customers with a comprehensive collection of financial services ranging from “profit share” payments to international transfers directly to mobile wallets. A recent partnership between Juntos and Tigo Pesa piloted the personalized two-way SMS to help customers and merchants increase their comfort and usage of its merchant payments feature.
These results helped clarify obstacles to using Tigo’s product and behavioral triggers that may increase usage.
Juntos then designed customized SMS conversations based on these findings. (see figure to the right.) With over 100 unique messaging design tests and new insights delivered weekly, Juntos created a set of “core” conversations proven to engage, built trust with, and drive behavioral change with Tigo customers.
Transitioning From Adoption to Engagement
A five-week intensive study showed that personalized SMS conversations helped customers increase merchant payments usage. Two strategies brought astonishing results, further highlighting the importance of personalized interaction with newly banked customers.
- Real life stories of Tigo Pesa users who had successfully incorporated merchant payments into their lives inspired others to start using the payment feature as well.
- Helpful scenarios showed Tigo Pesa’s customers how they could use merchant payments for unexpected expenses, weekend shopping, or longer-term purchases. Placing these foreign financial services within a familiar context also dramatically increased usage.
The innovation behind Juntos does more than just tap into the inherent behavioral patterns of the newly banked; it also zeroes in on the specific aspirations of the people. They know they don’t have all the answers about what will make an incredible product experience for users—they believe they should seek that information from their users.
Recognizing that each customer is different their personal and financial goals will need to be tailored, innovative FinTech solutions like Juntos and Tigo Pesa will continue to help the newly banked.
This ideology is important for the future of FinTech and the success of digital financial services in emerging markets. More importantly, it’s essential for empowering engagement with new digital financial tools, the adoption of new financial behaviors and the development of lasting financial habits.
True wisdom comes to each of us when we realize how little we understand about life, ourselves, and the world around us. ~ Socrates