Virraj Jatania is an entrepreneur taking on the banks. Speaking to LS:N Global at our Elder Street offices, Jatania explains that by targeting the underserved and underbanked, his business Pockit offers customers a platform to regulate their cashflow using a prepaid card.
The card, developed in partnership with MasterCard, is aimed at a demographic who earn between £10,000 (€12,800, $15,900) and £30,000 (€38,400, $47,800) per year, offering a low barrier to entry at £0.99 (€1.27, $1.58) a unit.
Pockit also offers an app service that helps users better regulate spending by keeping them informed about key outgoings.
The data collected by Pockit will add to MasterCard’s already vast databank of card users, enabling it to better understand this key demographic, which LS:N Global investigated in our macrotrend The Just Nots.
Jatania plans to build on Pockit’s success in the UK, taking the product to emerging markets across Africa and Asia where he hopes it will provide a solution to the problem of bringing hard cash online.
For more on the types of partnerships MasterCard is entering, read our Insight story on the card issuer’s work with Zwipe.
1. Don’t become complacent. The financial services sector is undergoing a change from beneath.
2. Think about the smaller customers. Fintech companies such as Pockit are appealing to undeserved and underbanked demographic The Just Nots.
3. Collaboration can ease innovation. MasterCard is working with a number of entrepreneurial businesses, including Zwipe, a company implementing fingerprint recognition software in its cards.
4. Make the path to purchase as easy as possible. Emerging markets are predominantly served by cash-in-hand transactions. Pockit is beginning to address the issue of how you enable these people to take their cash online.
5. Empower your customers. Pockit’s bespoke app shows how consumers want financial services to give them back control and to educate them, as well as offering the standard service.