Nubank has managed in just seven years to become one of the neo-banks are the most popular.
Think again, the medal of the neo-bank, the most popular is not won by N26, Revolut, or Monzo. The three european institutions are, just like the Chime in the United States, behind the juggernaut brazilian by the name of Nubank. Since 2013, the year of its creation, the mobile bank has gradually integrated into the life of the Brazilians.
Monday, June 1, the neo-bank has passed a new historic milestone. She reaches 25 million users, far ahead of Revolut who was hoping to reach 20 million customers by 2020, but that could revise downward its forecasts. For the time being, Nubank is, therefore, the bank’s independent digital is the most popular in the world.
A market appropriate
In a speech on the occasion of this new milestone crossed, the CEO of Nubank David Vélez has been a classic reference to the traditional bank, pointing the finger at his faults and hoping to ” give back the control of their money “ to its customers. A speech hiding the reality of the local market, which helps to explain more easily why the fintech and, in particular, the neo-bank has been able to make its place.
Indeed, through its 110 million of assets, Brazil has only 50 million people are holders of a current account and holders of a credit card. An eldorado for the model of neo-banks that are accessible from a smartphone, not expensive and the conditions are less strict. At the same time, Brazil is among the countries most connected to, listed in the fourth place of the ranking, although its banks are not enough to enhance the competitive offer of best online banks. A boulevard for the neo-banks.
The market encourages more startups to come and launch their new services, in particular to set up digital payments, as is the case in the United States with Cash App. Unfortunately, with the crisis in health and economic related to the epidemic of COVID-19, others have had to make the decision to postpone their arrival. This is the case of the N26, the neo-bank, a German based in Berlin.
Nubank is looking to deploy
Although a market appropriate and in which it is already well-positioned, the Brazil is not a limit to Nubank. The school wishes to deploy its offer on other markets, and its services have already won the Mexico last march. In the meantime, his position continues to attract investors. In July 2019, Nubank had completed a round of $ 400 million. Today, 20 % of his new customers have never had a credit card, which help to pre-empt Revolut nearly 15 million customers still.
Square, the enemy number 1 of the neo-european banks