How a Banking App May Market in the U.S.
"We see the U.S. as a big opportunity, because digital banking is underdeveloped," N26 CEO Valentin Stalf told Reuters for an article published on Monday in the New York Times. "There are no clear rivals for us there."
Current Marketing Methods May Translate
The app targets 18- to 35-year-old customers of established banks. With that strategy, N26 has acquired 1,500 to 2,000 customers a day, Reuters reports.
The app itself helps with acquisition and retention, because it contains all of the customer data from interactions and helps the financial services provider “offer tailor-made, value-added services.”
The "anchor product" of a free account brings in money through “card usage, savings, credit and insurance services.”
So the data stored helps in this way, Stalf says.
"If I happen to book a trip and hire a car with my N26 card, my app would instantly use that information to offer me travel and car insurance."
N26 is also banking on good word-of-mouth and high Apple Store ratings to reduce its marketing costs, Reuters reports.
"Today, you can create a trusted brand much faster — because everything is more transparent," said the 32-year-old Vienna-born entrepreneur to Reuters.
Timeframe and Regulation Changes
Right now, N26 is a European mobile banker. Within the next three years, N26 will have a 5 to 10 percent share of the market in the main countries where it operates, Stalf says.
Since its launch in Germany in 2015, the company has expanded rapidly into 17 European countries including Austria, France, Spain and Italy. It recently said it will start operating in Britain and the United States next year.
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