Premium price match Nationwide Flexplus

Any thoughts on monzo trying to do this?

Lower the price by £2 a month. Include breakdown cover in that price.

Suddenly market leading with a lot of press and additional monthly paying customers incl me.

I literally have an empty nationwide account just sat there as they’re a crap bank to use but I’d much rather give that money to monzo.

£2 a month more to gain what I see as less just seems silly though

This has been done to death when Plus and Premium launched. Monzo need to make money, and it’s hard to do when you have to offer so many things. Wouldn’t be surprised if FlexPlus was loss leading for Nationwide.

Also, you (and I) want breakdown cover. But the next person wants bike cover. Yet another person may want aplaca insurance. How do you cater for everyone?

Also, you do get a discount with RAC, I believe

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Tbh I’d prefer bike cover than car cover. But what I’m suggesting is to go with the masses and add car.

If it’s massively losing money and monzo don’t have the funds I get it. But it should drive a lot of press and money blogs to point customers to monzo. More than already do

Nationwide make money from lending and other products, so just putting your deposits in their account is making them money.

Monzo do too but not to the same scale. That’s why they can’t offer something as competitive as this. It would serve them no purpose other than to cost them money.

From what I’ve read they need to start lending more soon or they’ll not exist in the not too distant future.

Again it would get a lot of press and new customers and deposits they could lend with

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Monzo need to make money.

You want them to lower the price and include another product.

Never going to happen.

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I don’t know how many people pay for their premium product but I doubt it’s many.

If you don’t have competitive products you won’t make any money

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But people do, and they are making money.

The Flex account isn’t a surprise to Monzo, they decided not to compete directly with it and plenty of people still have Premium.

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I think Monzos strategy is to add value to the accounts with additional tech, eg account linking, virtual cards which is their strength rather than third party products they can’t compete on. People are buying it, the annual report figures look good.

I agree more money on lending is ultimately necessary. I think they will get there.

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Or people would do what they do with Nationwide: dump £13 in the account with a standing order and forget about it

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Only reason I do that with nationwide is they are a terrible bank to try and use. It would hopefully help ppl see how good monzo is.

I tried to switch to nationwide but it’s just awful so SO £13 it is :slight_smile:

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It’ll not happen. Monzo will have crunched the numbers of what they can get away with in the 1st place. It’s making them money on a regular basis, customers are signing up to it, we get numbers every so often about how many are signed up, via need reports, annual reports etc.

As others have said Nationwide can do cheaper deals as they have higher customer numbers, they have multiple ways of making a profit, through sales of other financial services.

I doubt they have many active premium customers. Maybe like 10K or something. They subtly never seem to actually release the numbers which means they’re probably low.

They either talk signups (who may leave after 1 month or less) or total customers/revenue across all of plus, premium and business.

Unless I’ve missed something! Would be interested to see numbers :slight_smile:

Okay, lets pretend it is £10k. From that £15 they make, lets say £7.

But in your version, they have to pay for car cover (£2, again, making this up) and make it £2 cheaper. So now they make £3.

They’d need to more than double the current numbers just to make the same amount of money but with more effort.

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Which I think they’d easily do if they did that. That’s my theory!

But someone with the actual numbers has crunched it and decided they don’t think it will.

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They’d also easily pull in a bunch of customers if they offered Premium for £5 and paid every customer £20 a month in return

More customers != better

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Sign me up, this sounds like it’s sustainable :ok_hand:

They’d become one of those services that get you hooked on a great deal, then email you a few months later telling you that the price is going up :-1:

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I would be extremely suprised if the above was true - I can almost guarantee it isn’t.

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