Open Banking, Closed Minds?
How to Win Over Kiwi Customers

If I could change two things about New Zealand, it’d be better public transport and launching Monzo locally. With the Customer and Product Data Act (CDR) passed in March, we’re a step closer to achieving one of those (kind of).

CDR gives Kiwis more control over their data, (starting with financial), and will enable them to securely share it with banks, fintechs, and third parties. It means people will soon be able to get more value from financial services. The long-term goal? Empowered consumers, more competition, and new innovations – like easier bank switching, smarter budgeting, and faster loan approvals. It’s broadly referred to as ‘open banking’.

We’re already seeing more fintechs enter the market to seize the open banking opportunity. But behavioural change won’t happen overnight. 

Here are our top tips for fintechs looking to connect with Kiwis ahead of CDR’s go-live date in December:

Clarity Converts

Most Kiwis don’t yet understand open banking – and they won’t use what they don’t trust. That’s where your owned channels come in. Focus on the value you’re delivering and make it simple to  understand the benefits. In highly regulated sectors like lending or payments, clear comms are a superpower. The better your users understand your product – and the measures in place to protect them – the more confident they’ll be.

Trust is your new Currency

With scams costing Kiwis billions a year, it’s no surprise that Kiwis are protective when it comes to their financial security. It’s no wonder, that trust will be your biggest challenge when it comes to driving customer acquisition – and it can’t be built through an FAQ page alone. Fintechs need to proactively showcase their security credentials, highlight satisfied users, and build third-party credibility through media, ambassadors, partners, or likeminded brands. It’s about moving beyond your own echo chamber.

Be the Voice, Not the Echo

While we’re now heading toward the tail end of the regulatory process, there will still be opportunities to share your perspective on how the open banking roll out is unfolding in real time. This can be simultaneously leveraged to build trust and awareness in your offering and differentiate you from other players in the market.

Build a Brand, Not Just a Product

We’re a nation of fast followers – which means we have lots of examples to look to of what to do, and what not to do. Look at how global fintechs have built their loyal user bases – through iconic branding, clear tone of voice, smart incentives, or even co-building with users. Identify what sets you apart and use it to build advocacy.

The introduction of open banking is a huge opportunity for fintech brands to reshape the financial future of New Zealand, and we’re stoked to be working with the founders that are paving the way. 

We have over 14 years of experience working with companies of all sizes and stages in the financial services sector – from open banking infrastructure provider Akahu, to Revolut, Sharesies, and even Xero. If you’re a fintech founder looking to communicate your vision, educate your audience, or prepare for the open banking transition, we’d love to help. 

Slide into our inbox at [email protected].