How to Harness Customer Loyalty in Fintech
It’s well known that Fintech is one of the fastest growing industry areas in the world, with a 114% increase of active start-ups from 2018 to 2021. Global investment in Fintech companies has risen from 60 billion dollars in 2017 to a pre-COVID peak of 215 billion in 2019.
Given this explosion of financial services solutions available on the market, customer loyalty is more important than ever. A successfully enticing loyalty programme can secure a business’ survival in an overly crowded market such as this and, in an acquisition-rich environment, a solid and loyal customer base will also make any business look more attractive. Offering a successful loyalty programme will make your business stand out from the competition, building your USP to inspire your customers and investors, as well as win new business.
"The challenge for banks isn’t becoming “digital” – It’ providing value that is perceived to be in line with the cost – or better yet, providing value that consumers are comfortable paying for." Ron Shevlin
One of the spaces most suited to a traditional loyalty programme is the merchant payment industry, especially for those with small/independent merchants in their client base. Frequent but small ;payments are perfect for a transaction-earning loyalty model.
There is so much opportunity for clients to get value back from their loyalty in this setting. Loyalty in B2B is exciting because you can offer more to help those& merchants than just cashback or physical rewards. Being industry experts in commerce, mobile payment providers have the knowledge and best-practice wisdom to help grow their clients’ businesses.
If you are involved in a merchant payment programme, here are some loyalty models that can help grow your client base and even increase customer spend by helping to mature their business.