Making Monzo's quarterly goals public

Monzo Chat News & Updates
21

I haven’t come across B Corporations before, very interesting!

I agree, of course, that large companies can be ethical. But there are strong pressures to do otherwise that even the best of people struggle with.

22

Interesting to see the 15% stat of market share on new accounts, and the 20% full Monzo. If that’s just on new accounts, what proportion of the 800k are full Monzo?

4 Likes
23

Fair comment. I currently do this with Halifax. I’ve no idea where the actual card is :grinning:

24

Would a pot that allows direct debits to access be any benifit for you? I hear this is something that may be considered in the future.

1 Like
25

Hello, I’m interested in your grow goal. What is your definition of a customer in this goal? Is it number of customers with a live account? Does it need to have some recent activity on the account? Is it app downloads? I ask because there has often been discussion about customer numbers being a vanity goal and not necessarily a useful metric e.g. Monzo may have 1m customers but if no one is using it then does it bring value (I’m not suggesting this is the case).

Keep up the good work, and I love the transparency.

26

I know they talk about “weekly active” and “monthly active” customers a fair bit, so ones that use the account within those time frames would be my best guess, I’d also be curious to know though

27

I don’t consider this a vanity metric, it’s one of several useful metrics, as long as you don’t draw the wrong conclusions from it. It is a useful indication of how successful Monzo are at attracting new users & getting them to sign up, it’s not a useful metric (in isolation) to use to try to predict thing like revenue, costs etc. As you mentioned, active user numbers are often more helpful for that sort of thing.

I assume that their definition of customer here is a user who has a Monzo account as they reference this number in that section of the blog -

At the beginning of Q3, we had about 770,000 customers.

plus

In the next three months we’ll focus on growing our customer base

1 Like
28

I do like the idea of making my Monzo account my primary account, however, this isn’t feasible for me currently for 2 (maybe 3 reasons):

  1. I use the Nationwide FlexPlus account (paid for) which offers good value for me in terms of the extras. Until Monzo can compete with this as a paid account (which I suspect may not happen as even the other big banks packaged accounts are behind this one in my opinion), I won’t be able to switch.

  2. I’ve been with Nationwide for a while and subsequently they offer me a very large overdraft limit. Whilst I actually don’t use it at all, it has a positive contribution to my % utilisation of credit and I’d be reluctant to let that go.

  3. The Nationwide Credit Card that they offer to customers has 0% spending overseas. Whilst the Monzo Card does as-well, I like the option of credit card protection if making a costly purchase overseas. Although I am aware there are other cards on the market I could switch to so this is less of a concern.

Hope this helps, just wanted to share my views with regards to it being a main account.

29
  1. You’ll save more by managing your money more carefully using Monzo.
  2. I doubt your credit utilisation is that important, when it comes to lending assessments.
  3. What’s the FX rate that Nationwide gives you on overseas spending? It’ll be worse than Monzo’s.
30

Very reasoned arguments. But I wouldn’t say any of them mean it’s unfeasible to transfer to Monzo:

  1. Why not just continue to buy the paid–for services off Nationwide by only putting the £13 per month fee through the account? Why do you have to use the account for any other transaction at all? You’d simply be buying a set of insurance products in much the same way as you do home insurance.

  2. While it’s fair to say your utilisation of the total credit available to you is low, by having but not using the overdraft, it would be equally fair to suggest that another lender may not advance you further credit as the total credit available to you might be too high. This is, of course, very subjective. Neither of us can really second guess how a particular lender would view your unused overdraft. And if you’re keeping your FlexPlus open anyway after point 1, there’s no reason to cancel the overdraft either.

  3. Apart from the fact Alex is correct – £1000 spent on your Visa credit card on 1st July would have converted to £889.04. The same would’ve cost £888.89 on your Monzo Mastercard debit* – Monzo don’t issue a credit card, so why not just keep your Nationwide one?

*figures from the respective Visa and Mastercard currency converter websites.

31

Nationwide gives the Visa exchange rate for this credit card, with no mark-up, so it’s essentially the same as Monzo (give or take a few pence due to Visa and Mastercard using slightly different exchange rates).

32

It is essentially the same. Monzo works out very slightly cheaper. Of course, cost doesn’t address the point the original post made about credit card protection, but as I said above, :monzopride: Monzo doesn’t replace a credit card so I don’t feel this is a barrier to switching to Monzo.

1 Like