Mastercard Taps Into Digital Partnerships To Build Financial Resilience
Mastercard's Center for Inclusive Growth is leveraging digital partnerships and behavioral science to enhance financial resilience in Latin America. Key initiatives include:
1. Collaborating with Mercado Libre to increase credit access for entrepreneurs, resulting in a 73% increase in account linking.
2. Partnering with Gliber to help Chile's gig workers save money, doubling the number of users with active savings pockets.
3. Working with BancoSol and Flourish FI to implement gamification, leading to increased mobile app usage and improved loan repayments.
4. Studying Nubank's success in integrating financial education into user experience.
These initiatives have reached 180,000 users, with the potential to scale to 12.1 million, demonstrating the power of behavioral design in fostering financial well-being at scale.
Il Centro per la Crescita Inclusiva di Mastercard sta sfruttando partnership digitali e scienze comportamentali per migliorare la resilienza finanziaria in America Latina. Le iniziative chiave includono:
1. Collaborare con Mercado Libre per aumentare l'accesso al credito per gli imprenditori, portando a un incremento del 73% nel collegamento dei conti.
2. Collaborare con Gliber per aiutare i lavoratori autonomi cileni a risparmiare, raddoppiando il numero di utenti con tasche di risparmio attive.
3. Lavorare con BancoSol e Flourish FI per implementare la gamification, portando a un aumento dell’uso dell'app mobile e a un miglioramento dei rimborsi dei prestiti.
4. Studiare il successo di Nubank nell'integrare l'educazione finanziaria nell'esperienza utente.
Queste iniziative hanno raggiunto 180.000 utenti, con il potenziale di espandersi a 12,1 milioni, dimostrando il potere del design comportamentale nel promuovere il benessere finanziario su larga scala.
El Centro para el Crecimiento Inclusivo de Mastercard está aprovechando asociaciones digitales y la ciencia del comportamiento para mejorar la resiliencia financiera en América Latina. Las iniciativas clave incluyen:
1. Colaborar con Mercado Libre para aumentar el acceso al crédito para emprendedores, resultando en un aumento del 73% en la vinculación de cuentas.
2. Asociarse con Gliber para ayudar a los trabajadores del gig en Chile a ahorrar dinero, duplicando el número de usuarios con bolsillos de ahorro activos.
3. Trabajar con BancoSol y Flourish FI para implementar la gamificación, lo que conduce a un aumento en el uso de aplicaciones móviles y mejoras en el reembolso de préstamos.
4. Estudiar el éxito de Nubank en la integración de la educación financiera en la experiencia del usuario.
Estas iniciativas han alcanzado a 180,000 usuarios, con el potencial de escalar a 12.1 millones, demostrando el poder del diseño conductual para fomentar el bienestar financiero a gran escala.
마스터카드의 포용적 성장 센터는 디지털 파트너십과 행동 과학을 활용하여 라틴 아메리카의 재무 회복력을 향상시키고 있습니다. 주요 이니셔티브는 다음과 같습니다:
1. Mercado Libre와 협력하여 기업가의 신용 접근성을 늘려 계좌 연결 73% 증가를 달성했습니다.
2. Gliber와 협력하여 칠레의 긱 근로자들이 돈을 절약할 수 있도록 돕고, 적립형 저축을 사용하는 사용자 수가 두 배로 증가했습니다.
3. BancoSol 및 Flourish FI와 협력하여 게임화(gamification)를 구현하여 모바일 앱 사용량 증가 및 대출 상환 개선을 도모했습니다.
4. 사용자의 경험에 금융 교육을 통합한 Nubank의 성공 사례를 연구했습니다.
이러한 이니셔티브는 180,000 사용자에 도달했으며, 1210만 명으로 확장할 가능성을 보여주며, 대규모로 재무 안정성을 촉진하는 행동 디자인의 힘을 입증합니다.
Le Centre pour la Croissance Inclusive de Mastercard utilise des partenariats numériques et des sciences comportementales pour améliorer la résilience financière en Amérique Latine. Les initiatives clés comprennent :
1. Collaboration avec Mercado Libre pour accroître l'accès au crédit pour les entrepreneurs, résultant en une augmentation de 73 % des liaisons de comptes.
2. Partenariat avec Gliber pour aider les travailleurs de l'économie gig au Chili à économiser de l'argent, doublant le nombre d'utilisateurs avec des poches d'épargne actives.
3. Collaboration avec BancoSol et Flourish FI pour mettre en œuvre la gamification, ce qui a conduit à une utilisation accrue des applications mobiles et à une amélioration des remboursements de prêts.
4. Étude du succès de Nubank dans l'intégration de l'éducation financière dans l'expérience utilisateur.
Ces initiatives ont atteint 180 000 utilisateurs, avec un potentiel d'extension à 12,1 millions, démontrant ainsi le pouvoir du design comportemental pour favoriser le bien-être financier à grande échelle.
Das Center for Inclusive Growth von Mastercard nutzt digitale Partnerschaften und Verhaltenswissenschaften, um die finanzielle Resilienz in Lateinamerika zu stärken. Zu den wichtigsten Initiativen gehören:
1. Zusammenarbeit mit Mercado Libre zur Erhöhung des Kreditzugangs für Unternehmer, was zu einem 73% Anstieg der Kontoverknüpfungen geführt hat.
2. Partnerschaft mit Gliber, um Chiles Gig-Arbeitern beim Sparen zu helfen, was die Zahl der Nutzer mit aktiven Sparkammern verdoppelt hat.
3. Kooperation mit BancoSol und Flourish FI zur Implementierung von Gamification, was zu einer erhöhten Nutzung mobiler Apps und verbesserten Kreditrückzahlungen führt.
4. Untersuchung des Erfolgs von Nubank bei der Integration finanzieller Bildung in das Nutzererlebnis.
Diese Initiativen haben 180.000 Nutzer erreicht, mit dem Potenzial, auf 12,1 Millionen zu skalieren, und zeigen die Kraft des Verhaltensdesigns zur Förderung des finanziellen Wohlstands in großem Maßstab.
- Collaboration with Mercado Libre resulted in a 73% increase in account linking, enabling at least 137 businesses to gain credit approval
- Partnership with Gliber doubled the number of users with active savings pockets from 14% to 28%
- BancoSol's gamification tool led to a 21% increase in mobile banking app logins, 48% rise in online bill payments, and 36% improvement in timely loan repayments
- Nubank's behaviorally informed design helped 67% of customers access loan products and 36% make investments within 1.5 years on average
- Mastercard's initiatives have reached 180,000 users, with potential to scale to 12.1 million
- None.
Digital platforms have a unique opportunity to support workers and entrepreneurs by leveraging behavioral design to enhance financial resilience.
NORTHAMPTON, MA / ACCESSWIRE / July 29, 2024 / Mastercard
Originally published by the Mastercard Center for Inclusive Growth
by Luz Gomez, Carlos Alberto Rubio and Avni Patel
Digital platform use is on the rise throughout Latin America, providing a source of income for millions of people. "Gig" work is providing an alternative to low-productivity, low-quality jobs in the informal economy. Online marketplaces are enabling entrepreneurs to reach more customers and expand their offerings efficiently. Fintech credit products are providing vital working capital, helping small businesses grow and bounce back from economic shocks.
While a growing body of evidence points to the expanding role of digital platforms in fostering inclusive growth and resilience, many independent workers and entrepreneurs in the region remain disconnected from social protection benefits like paid time off, sick leave, health insurance and savings that could help strengthen their financial security.
To address this challenge, The Mastercard Center for Inclusive Growth has been working with our research and programmatic partners to test, iterate and scale approaches that use behavioral science to help people increase their earnings, obtain credit and save for unforeseen circumstances.
Behavioral science involves understanding what influences behavior. A range of techniques can be effective in encouraging positive financial behaviors. "Nudges" - in the form of reminders and communications or changes to the user experience - can steer individuals toward a desired action. Gamification incentivizes engagement with products and services, using elements of game playing such as point scoring and competition.
Most recently, we collaborated with digital platforms and financial service providers, including Mastercard partners Mercado Libre and Gliber, to test behaviorally informed interventions in Latin America. These findings, along with emerging insights from across the Mastercard partner network, point to a future where digital platforms not only thrive in their business endeavors but also contribute significantly to enabling people's progress on the journey to financial health.
From 2020 to 2023, 100 million Latin Americans (
25% of adults) accessed digital financial services for the first time.65% of surveyed independent workers reported that they lacked saving for emergencies and financial shocks.180k users reached in behaviorally informed interventions with digital partners and Common Cents Lab, with the potential to scale to 12.1 million.
KEY LESSONS
Innovative partnerships incorporating behavioral design offer a promising avenue for advancing inclusive growth at scale.
Behavioral interventions offer an alternative path for fostering financial well-being.
Traditional approaches to financial education have had mixed results and are often difficult to scale. Embedding behavioral science into digital platforms offers an alternative, evidence-based approach to boosting the financial health and resilience of individuals with cost-effective, scalable interventions.
For example, research shows that digital credit can help small businesses maintain liquidity, bridge shortfalls in their account balance and manage financial shocks. In our recent partnership with Common Cents Lab, we collaborated with Mercado Libre to understand how barriers, such as a lack of trust, could be keeping many entrepreneurs selling on their platform from taking actions that could expand their access to credit - such as linking accounts to share financial information. The study tested communications to encourage sellers to link their accounts, resulting in a
Other studies show that techniques like default options, auto-enrollment and predefined values are highly effective at changing behaviors with positive results. Common Cents Lab applied these insights with Gliber to help Chile's gig workers save money. Testing with 755 users over six weeks showed that creating savings pockets by default doubled the number of users with active savings pockets (from
With careful research and deep understanding of users' behaviors, we found these platforms can design and redesign their features to tailor and refine their services, achieving a dual objective: maximizing user benefits and simultaneously driving their own growth.
Integrating behavioral design is a win-win decision.
Collaborating with Common Cents Lab strengthened product teams' ability to incorporate behavioral insights into digital products while building the case for businesses to adopt these strategies. For instance, reminding e-commerce sellers to stock up during busy times can boost sales. Other research showed that if fintech lenders offered flexible credit payment dates, it could improve repayment rates and help small businesses manage income volatility.
In Bolivia, our partnership with Accion and financial service provider BancoSol demonstrated how gamification can support positive financial behaviors and drive real business outcomes. A recent Georgetown University study showed how the BancoSol gamification tool, which was developed by fintech Flourish FI, contributed to a
Nubank, a leading fintech that serves over
Companies have extensive expertise and networks that can be harnessed to support financial security and health.
Behavioral science isn't just the domain of researchers. The private sector also has expertise and networks to develop and scale behaviorally informed approaches. Every day, companies use behavioral science to better understand and influence consumer actions. They analyze data to personalize products and marketing, use techniques like nudging to guide decisions, and create loyalty programs and incentives to boost engagement. All these strategies can help improve customer experiences and enable people to earn more, save, use credit responsibly and make decisions that enhance their financial well-being.
Our approach at the Mastercard Center for Inclusive Growth has been to combine philanthropic support for research and connections with Mastercard business partners to design and test sustainable, scalable, evidence-based interventions for financial security. By cultivating diverse cross-sector partnerships with like-minded companies, these lessons and case studies help inspire others to replicate and continue to innovate upon these social impact models.
"It was an opportunity that was not being explored ... to help those users by making them conscious about their financial health and question ourselves: Is the way we are creating our products going to really help that person be able to create a savings pocket, prepare for a financial shock or a medical emergency?"
Product owner
Mobile banking app
Looking Ahead
Partnerships that bring researchers together with product designers to test and iterate behavioral intervention can help build an evidence base to inform investments that enhance financial well-being.
Targeted interventions conducted in partnership with Common Cents Lab have already marked a significant milestone by reaching 180,000 users and directly influencing the behaviors of 1,000 of them, putting them on track to improve their financial resilience. This is just the beginning.
As part of our efforts, Common Cents Lab is also working to develop an interactive tool that will allow digital platforms and fintechs to diagnose what their behavioral challenges are and replicate successful interventions already implemented to strengthen their product offering. With Flourish FI, we're supporting the development of financial management tools that will enable small businesses in Brazil to progress through a gamified journey to adopt healthier financial behaviors, which in turn can unlock rewards such as access to responsible credit.
Working with partners, we will continue to share lessons from these approaches and bring together know-how and networks across the private and public sectors, NGOs and research organizations to meet the evolving needs of workers and small businesses in an inclusive digital economy.
Follow the Mastercard Center for Inclusive Growth's journey to advance equitable and sustainable economic growth and financial inclusion around the world by following us on LinkedIn and Instagram.
View additional multimedia and more ESG storytelling from Mastercard on 3blmedia.com.
Contact Info:
Spokesperson: Mastercard
Website: https://www.3blmedia.com/profiles/mastercard
Email: info@3blmedia.com
SOURCE: Mastercard
View the original press release on accesswire.com
FAQ
How has Mastercard's partnership with Mercado Libre improved credit access for entrepreneurs?
What impact did Mastercard's partnership with Gliber have on savings for gig workers in Chile?
How did BancoSol's gamification tool, developed with Mastercard's support, affect user engagement?
What results has Nubank achieved through its focus on financial education and behavioral design?
