Research conducted by new entrant to the UK fintech market, Modularbank, in partnership with market research specialists, OnePoll, has found that 83% of UK consumers claim that technology, that improves payment ease and flexibility, forms an important part of their decision in choosing which retailers, telecoms and utilities companies to give their business to.
In fact, based on a survey of 2,000 UK consumers, only 22% of respondents claimed to not require anything further from online merchants when it comes to the payment process, with 34% wanting more payment flexibility, 45% increased security and 45% a simpler checkout process.
It’s not just retailers of goods – a significant proportion of UK consumers would also like to see easier transactions (49%) and more flexible payments (30%) from day-to-day service providers such as telecoms and utilities companies.
Estonian fintech company, Modularbank, which now offers its services in the UK, provides a technology platform which allows any business to offer flexible financial services to customers, including credit and finance agreement.
Vilve Vene, co-founder and CEO of Modularbank comments: “It is clear that good technology is really key when it comes to attracting and retaining a customer base – nowadays every company should, to some extent, act as a fintech company.
“With 37% of UK consumers having abandoned a planned purchase due to lack of payment flexibility, 42% admitting they would abandon a high cost transaction if their preferred method of payment wasn’t available, and nearly a quarter (23%) if they were not able to pay flexibly (i.e. in instalments), our platforms which allow for any business to offer seamless and tailored financial services is one that merchants and service providers can scarcely afford to pass up.”
Modularbank can help companies to integrate financial services technology seamlessly into their existing infrastructure within a matter of weeks, in a way that is tailored to their business. In addition to the benefit to customer relationships, the ability to provide credit,
for example, can also constitute an additional revenue stream for companies with the resources to do so.
Customer loyalty can also be increased, as the ability to offer these financial services may encourage customers looking for technology that improves payment processes to stay with the retailer or service provider that offers this, rather than shopping around. For example, for day-to-day transactions such as utility bills, a provision of an easy-to-use credit offering may be the only point of differentiation between one provider and another.
Modularbank was founded in Estonia in 2018 and has operated in this market, the most advanced digital society in the world, ever since. It is part of the Fintech Power 50 2020, an annual guide to the most influential, innovative and powerful figures and businesses in the fintech industry. For more than 25 years, its co-founder and CEO Vilve Vene has been working to bring technology to the finance sector, devising innovative financial technology offerings even before “fintech” became an established concept.