Monzo - 2019 - Will it Thrive or Fail?

(Jamie 🏳️‍🌈) #123

Why didn’t you just leave it dormant to see how it develops?

(James Prince) #124

not interested in having so many accounts

(Jonathan) #125

I think the idea of turning up on spec and unannounced expecting staff to see you is a bit naive in 2018/19. The webchat help platform is fantastic, really friendly and quick to respond any time I have had an issue. In today’s business and more so in the last 20 years or so speed of task completion is paramount

(Jordan) #126

Overall Monzo needs to carry on their good work and account openings that they saw in 2018. But this means #FULLMONZO users as well - Monzo will gain little benefit for people putting in a few quid here and there - the drive has to be changing the way people bank (which has always been Monzo’s tagline).

Realistically, I don’t see profitability in 2019 - there are too many things Monzo are planning that are going to cost money - but I don’t see the need to get to profitability right now - they’ve just had a hugely successful crowdfund from both private sources and the supportive consumers.

Competition will not cause Monzo to topple - we have 5 major Banking Groups in the UK - saying that one would cause the other to go out of business is silly - Monzo’s greatest challenge in my mind is themselves - can they manage themselves properly and can they scale efficiently and can they offer truly innovative and useful products (I wouldn’t personally but the business account is something that covers this/ as does a loan offering). With the appointment of Non-Exec Chairman and the overall transparency of what we can expect - I can see Monzo making another loss this year - but being really ready to tackle 2020 (still a loss making year but hopefully close to breaking even).

(Michael) #127

In the sense of a new addition?

He replaced Baroness Kingsmill in the position if I remember correctly

Other than having a different network of contacts, not sure that will change many things

(Jordan) #128

I was aware she was a Director (but resigned in April 2018).

But what I mean is that it shows Monzo are gearing up and looking to manage themselves (not that they weren’t before) properly.

Although a Non-Exec Chairman won’t be involved in the day-to-day decision making they’ll be able to ensure the Board are operating efficiently and effectively and will have the ability to operate as a pseudo-consultant that can help guide the Bank forward.

(Morgan Perry) #129

I’m hoping we’ll see IBAN implementation in the first half of Y19. This is the only thing that is stopping be from moving everything to Monzo. My employer is based in Ireland and requires an IBAN to pay me, even in Pounds Sterling.

For me, one of the real limits at the moment is the in-app payments screen. It’s great that I can so easily access my friends on Monzo (I have over 50!). But, for traditional accounts with legacy banks it’s hard to organise and navigate this section. It quickly becomes crowded, especially when I’ve paid other Monzo users. I like the method Starling has used to implement this, but I’m sure Monzo will come up with an innovative solution.

I know Monzo is up for the challenge, but ensuring scalability as they invite new people to the platform will be really important – and I think this has been a test in the past. I’m sure the new office in Cardiff will help.