Neo-Bank: Revolut Reaches Out for Scandinavia

The British FinTech Revolut entered Sweden in February and further focuses on customer acquisition via expanding their range of financial services. Revolut claims they now have two million active users in Europe, and are aiming for Scandinavia where they expect to win 150,000 customers. They should feature their premium payment card and multicurrency savings account Vaults.

Their first innovative services to land in Scandinavia should be their premium payment card, along with the associated crypto-currency based cash-back system, and their micro-savings service Vaults (rounding-up their customers’ card transactions). The P2P payment feature Near Me should also be proposed for sending money to people nearby (detected via geo-location).

This London-based start-up stressed their interest in Northern European markets in February when they opened their office in Stockholm. In just a few months, Revolut won 15,000 users in Denmark (hoping to attract 100,000 customers on this market by the end of 2018). And, in Sweden, they aim for 50,000 by the end of the year, compared to 10,000 today.

By way of increasing their customer base, they will be enhancing their range of services in Europe, via integrating a robo-advisor and wealth management services to their set of offers, for instance.

Comments – Revolut further targets Nordics markets

Short and medium-term goals highlighted by the leading European “unicorn” reside in increasing their activity twofold, expanding their range of investment products, and improving their positioning in Scandinavia. In the Nordics, Revolut already adopted different strategies based on each targeted country. As with their other European markets, they identified weaknesses in local banking offers and came up with highly targeted answers/remedies.

Stockholm is famous for being a favourable ecosystem for start-ups (especially FinTechs): a place where innovation happens. Revolut aimed for Sweden first, since the opportunity came. They intend to meet Millennials’ expectations.

However aggressive their Scandinavian implantation is, this FinTech will have to face competition from local players including Tink, Dreams and Klarna. Revolut also follows in Klarna’s footsteps since they applied for a banking licence to support their international expansion.