Don’t get me wrong - I agree with what he has put in the article, I just didn’t/ couldn’t find any sort of definitive conclusion/ viewpoint on it (from the author).
I agree with your points above - but you have come to a definitive answer/ view on it. The end of the article for me just felt a bit limp. The consequences of saying a challenger bank “doesn’t matter” could have been explored a bit more.
@Anarchist comes to a pretty succinct conclusion following the blog as do you - I guess I just got a little lost in the barrage of previous article quotes and quotes from specific people.
Only 1.2 million (out of 2 million) use their account at least once per week - Considering Monzo’s budgeting features require you to use the app as your daily spending card, that implies a huge number of people who likely use their account very little.
27-30% pay their “salary in”… But that’s not entirely true - It states that Monzo class “paying salary in” as a bank transfer of £1,000 per month… So this could be from your actual salaried “legacy” account if I’m reading that right?
If that’s the case, the people who actually have their salary paid in is likely to be significantly lower… Not particularly transparent if true - Would love to know what is actually true here.
This is really just semantics. Tom spoke about this recently. I’m massively paraphrasing, but essentially £1k is the figure that we landed on to where a transfer of that amount every month indicates that you are most likely using Monzo are your primary account.
And primary account usage is what we are looking for. Whether someone’s employer technically puts the BACS credit directly into a Monzo account or not is a little bit beside the point. It’s the spending behaviour that follows that, that is more important.
I disagree, because the data wouldn’t then include “salaried” users whose salary is less than £1k a month. I think that’d balance it out.
I’ve seen the “trust” thing being used in “promo” type articles - “30% trust Monzo with their salary” etc.
Perhaps it’s just how I look at it, but trusting Monzo with your actual salary, vs using it as a pre paid type top up card with budgeting features is very different.
Fair point, although I still think it would be lower than 30%.
Isn’t the 30% number about 6 months old, and the graph that’s @anon91821566 put on Twitter showed that had been growing well for the previous 6 months?
Edit:
Yes it is 6 months, and that same graph showed growth from 10% to 30% in 2018
I go to some of the FS club events where Chris is chair and am a subscriber to his newsletter. He is very definitely pointing out that the once fabled “primary banked” metric is less useful than its ever been. Although, agree he could have ended with a sentence like that and made it clear.
Would be good to know the updated stats. Im hoping its mentioned in the imminent annual report. Even then the annual report is to end of feb 2019 so not fully updated
We’re looking at this from two different perspectives. You’re speaking as the consumer.
What I’m saying is that, in the company, there’s little meaningful difference between someone getting a salaried BACS payment in once a month straight to us, and someone getting the BACS in elsewhere and then transferring most of it, or more than £1k to us, because getting the salary is the indicator, not the goal. The goal is primary account usage. We want salary in to drive primary account usage, but it’s perfectly possible, and quite common to have primary account usage without getting a direct salary in. I suspect if we ran a poll where the question is “Do you consider Monzo to be your main bank account?” then you’d see an even higher figure than 30%, regardless of salaries in.
I agree that there’s a trust indicator there, but we haven’t had any problems growing and building trust, even before it was even technically possible to get your salary in.
Whether you agree or disagree with the point made here. I think it is great that we can have these conversations like this with a company. Can think of very few others that this would be possible!
I was one of those that transferred the main bulk of my salary to Monzo after being paid into another account. Only changed my salary account details in March this year, been with Monzo from the offset
This is going to go down like a lead ; cue the % representation replies/arguments.
Monzo is my “main” bank account but I don’t know anyone else who would make the same assertion. This includes my partner who I share a JA with, who puts most spending through Monzo but doesn’t transfer >£1,000 in a month.
; cue the % representation replies/arguments.