The rise of fintech companies has been well charted over the last decade in Australia. Companies within the fintech sphere need to be constantly adapting to changes in their industry in order to stand out from their competitors. Jacaranda Finance is constantly looking for ways to stay ahead of the curve, with a focus on innovation and continuous customer-accessibility and functionality. Jacaranda Finance is an online lender based in Brisbane that specialises in delivering small loans to Australians in need of short term finance.
In line with these objectives, Jacaranda conducted a number of tests to verify whether personalisation has a positive influence on conversion. Personalisation is the use of data and segmentation to create a completely unique customer experience. The results of this test were undeniable; personalisation drives conversion rates and thereby attracts new business opportunities.
What Do The Experts Say?
98% of marketers believe that personalisation is instrumental in furthering positive customer experiences. In a personalisation report conducted in the United States, it was found that 40% of consumers spend more money when their online experience is personalised. This clearly demonstrates the importance of personalised service for business success, especially in such a technologically-oriented market.
The Test
Jacaranda Finance implemented a personalised landing page, with the user’s name and loan amount along with other pre-populated fields. They conducted a control test and variation to ensure the results were as accurate as possible. The results indicated that the bounce rate and rate of people completing their applications were both significantly influenced.
The variation resulted in a 49.3% reduction in user bounce rate, and a 46.65% increase in application completion. Overall, by serving the users with personalised landing pages that matched their information and needs, Jacaranda Finance was able to effectively communicate with and reassure their customers that they were in the right place, and not just completing a standard application form.
What Does It All Mean?
By implementing a personalised service, Jacaranda Finance significantly increased conversion rates, thereby attracting new business opportunities. This outcome is supported by studies that demonstrate that businesses using content-personalisation see higher conversions in the form of visitor engagement and lead generation. The application completion increase is in line with the previously mentioned personalisation report statistics, indicating that the results are highly accurate.
Personalised service is an effective way to differentiate from competitors and stand-out in a highly saturated online marketplace. It gives customers a sense of reassurance when applying for an online personal loan, which is clearly an effective tool for application completion and, overall, business growth.
Why Is This All So Important?
Young people expect products to be a copy of their own passions and interests. The integration of a highly-personalised service throughout messaging as well as their product range has allowed Jacaranda Finance to gain the trust of consumers.
Daniel Wessels, CEO and Founder of Jacaranda Finance, has always had a laser focus on making their customers' lives easier.
“Today’s borrowers are tech-savvy. When they need to borrow money, they want a digital led solution that is simple and fair relative to their personal situation. Like many companies, we have gone as far as leaving a permanently empty chair in our meeting rooms. The empty chair reminds us who the most important person in the room is - our customer.” says Wessels.
He continued to discuss his passion for financial innovation: “I have always been extremely passionate about improving our customer experience by innovating the online application process. The logical next-step for us was to hyper personalise the first interaction a consumer has with us - our application form.”
Overall, it is clear that personalisation is vital for converting and attracting new business. This has been clearly demonstrated in the test by Jacaranda Finance, which resulted in a 49.3% reduction in user bounce rate and 46.65% increase in application completions.
