TransferWise has taken on the currency transfer industry by storm by promoting one positive ideal and that ideal is transparency. The company fed a consumer market that had a greater need to transfer currency between international jurisdictions. What ended up happening as a result, was a viable business model that has began to make a dent in industry giants such as Western Union. What has made TransferWise a growing competitor is the fact that they have facilitated a need in the market for consumers who want to know what exactly they are being charged for international wiring fees.
In addition to their revelations in the wire transferring industry, TransferWise has been known for implementing a business model that revolved around peer-to-peer wire transfers. In fact, it is what they build their business model around in the beginning to attract investor giants such as Richard Branson. The idea was to allow “friends” or rather distant “acquaintances” to exchange their need to move currency across borders. By combining the fees that both consumers would prospectively pay, they were able to eliminate higher fees.
While this idea was sensational at the outset, the company has moved on to other viable models given that it is not always foreseeable that there will be two identical wire transfers to make between jurisdictions. Rather, TransferWise has looked to local partnerships that possess local currency reserves to reduce the overall rates charged.
The economical currency transfers aside, TransferWise has made substantial press with their innovative marketing campaign that surely has Richard Branson’s signature flair of raising eye brows. They have taken the “nothing to hide” slogan quite far with entertaining video campaigns on YouTube that literally have nothing to hide from the more youthful target audience. What is important about their efforts is that this company has taken their youthful global client base quite seriously and catered to how they interact to the technology in the world around them.
Examples of this marketing genius can be seen through their social media campaigns that target the younger social media savvy prospective consumer. TransferWise has implemented hash tag campaigns on Facebook, Twitter, and many more in order to target more business. Additionally, they have released rather provocative advertisements within the UK such as the infamous “FYCK – Your Bank Is Overcharging You On Your Overseas Money Transfer”, which has made the UK debate the notion of free speech in advertising. What these marketing campaigns show is that the financial company is targeting that “cool” global consumer that is operating in a more modern world.
That being said, even though TransferWise is arguably one of the “coolest” ways to transfer money, they also have to pay attention to conventional notions of customer service. In their first few months of business, they did a great deal of blind customer service quality check calls to see how their customer service representatives were doing. What was the entertaining result of these surveys was that TransferWise’s customer service agents were trained to make upset customers have the highest rate of laughter on the phone! All in all, this is a drastic improvement to the typical level of quality customer service that one receives from banks.
Another facet of TransferWise’s provocative change to the banking industry is their attention to sending chocolates to disgruntled customers. This is absolutely fantastic given that customers receive a note decorated with elegant stationary complete with luxurious chocolates to apologize for their money transferring mistake. It is measures such as these that have made consumers laugh, smile, and overall, return to TransferWise for their business.
TransferWise has truly made a spectacular difference in the money transfer industry. What makes this company so spectacular is that they saw a way of improving a necessary medium in our modern globalizing world by considering that perhaps the customer wants to know where their money is going and that they want to have a pleasant experience with banks and currency exchanges like 1 AUD to USD. TransferWise essentially filled an enormous gap in the financial market by simply providing the younger generation what they want and that is transparency, lower fees, and the occasional chocolate greeting card.
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