Prior Situation / Scenario
- Loans accessible to only 54% of the total prepaid customer base with highly restrictive rules
- Generic, limited-value proposition
- High/flat fees for customers
- Loans solely based on prepaid balance
Client Challenges
- Improve data pack adoption and usage
- Lower bad debt
- Difficulty in assigning segmented/contextual offers for each subscriber profile
- Improve customer experience
Strata Solution/ Key Enablers
- We deployed a risk scoring model combined with real-time triggers to target subscribers based on their previous usage and payment behavior to determine loan amounts.
- Segmented payback was implemented to reduce fees depending on outstanding debt.
Outcome
- Increased the loan amount while maintaining controlled risk.
- Expanded the service’s targetable group.
- Simplified and shortened prepaid loans and accelerated loan repayment rates.
- Customer satisfaction improved due to the service’s accessibility and timely Loan offers.
Results
Within the first 12 months of the micro-loan deployment, the target group increased by 27% and the total credit amount issued increased by 39%, while the bad debt remained stable.
