During every public holiday whether it be Christmas, Easter or Valentine’s day, we seem to witness an increase in mass-consumerism and this is largely to do with the range of services FinTech has to offer. In this week’s blog post, we look at different types of consumer areas and whether FinTech has had a positive effect on them.
Amidst the cost of living crisis we are living in today, it is understandable that consumers would be drawn to lower prices and offers and this is definitely intensified during public holiday periods. For FinTechs, an advantage of this is that they would be able to use this as a marketing advantage; through offering discounts or enticing offers therefore meaning that it forces the FinTech industry to adapt and be more creative regarding consumerism and the different areas of it.
Impulse buying is becoming increasingly common and it is without doubt that FinTech has created a solution for this consumer market; the most popular being BNPL (Buy Now Pay Later) schemes. Although a service like this somewhat enables impulse buying, it is also important to consider the benefits that come from it too. For instance, BNPL checkout options can make some products more widely accessible to people from all walks of life, therefore promoting greater financial inclusion.
Loyal customers are essential to any company however they are one of the most important consumer areas because they are returning customers. To embrace this, FinTechs offer numerous ways which encourage customers to be loyal to their brand, including personalised customer service which are tailored to a user’s needs as well as small incentives. Incentives are a crucial part of maintaining customers, especially around public holidays as it could increase the number of sales, downloads and users, showing that it has a positive effect for all parties involved.
What the future holds
From looking into these key factors it is fair to say that consumerism has had quite a positive effect on FinTech in the sense that it has forced the sector to adapt and overcome by creating even more solutions to meet the challenging demands of consumers. This is seen through the vast range of service options available from payment plans to budgeting advice which are tailored to every consumer area. Ultimately the future seems exciting as FinTech can only continue to innovate further.