Struggling to target a Crowded Market? Here’s How Strategic Intelligence Can Redefine Your Growth

The Cards and Payments sector in Australia and New Zealand is fiercely competitive. Established players, fintech disruptors, and credit unions are fighting for dominance, leaving little room for missteps.

An Australia-listed payments solutions leader faced this very challenge:

• How to benchmark themselves against competitors?
• Where to capture untapped opportunities?
• How to align with customer needs to stand out?

Ken Research delivered answers—and results.

Client Background

Our client, a leading Payments-as-a-Service provider, serves as a Mastercard Principal Issuer across Australia and New Zealand. With tailored solutions for credit unions, building societies, and fintech firms, the client has been a trusted partner in driving digital payment adoption.

However, the evolving landscape presented new challenges:

• Emerging fintechs were capturing market share with innovative pricing and products.
• Credit card customers were increasingly demanding better rewards, lower fees, and seamless digital experiences.
• The client needed actionable insights to optimize their market strategy and customer engagement.

The Problem

Despite a strong presence, the client faced critical questions:

1. Who are the biggest competitors, and how do they stack up?
2. What is the size of the market opportunity?
3. Why are customers choosing competitors over existing card solutions?
4. How can customer preferences drive product innovation and retention?

Without clear answers, staying competitive and growing market share seemed increasingly challenging.

Ken Research’s Strategic Approach

1. What Was the Challenge?

The client needed a 360-degree market view to identify growth opportunities, benchmark competition, and address customer pain points in the Cards and Payments sector.

2. Who Was Involved?

Ken Research’s team of analysts collaborated with:

• Key stakeholders from the client’s leadership team.
• 50+ credit card customers across target demographics.

3. When Did It Occur?

The project was executed over a 3-month timeline, delivering timely insights to inform the client’s FY 2024 growth strategy.

4. Where Was the Focus?

The engagement targeted the Australia and New Zealand markets, focusing on Payments-as-a-Service solutions within the Cards and Payments sector.

5. Why Was It a Problem?

The client was losing ground to competitors who:

• Offered superior rewards and incentives.
• Leveraged advanced digital adoption strategies.
• Captured customer loyalty with lower fees and seamless experiences.

The lack of comprehensive insights was preventing the client from responding effectively to these market dynamics.

6. How Did Ken Research Solve It?

Ken Research implemented a two-phased approach—a blend of secondary research and primary customer insights:

Phase 1: Market Sizing and Competitive Benchmarking

• Market Opportunity Analysis:
  • TAM (Total Addressable Market): Valued at USD 500 million across Australia and New Zealand.
  • SAM (Serviceable Available Market): USD 250 million within fintech, credit unions, and building societies.
  • SOM (Serviceable Obtainable Market): Realistically identified as USD 37-45 million (15-18% market share).
• Competitor Benchmarking:
  • Analyzed Top 3 competitors across:
    • Market share: Competitor A (20%), Competitor B (12%), Competitor C (18%).
    • Pricing models: Subscription fees, transaction-based fees, and freemium offerings.
    • Digital adoption: 85-90% satisfaction rates driven by mobile app integration.

Phase 2: Voice of the Customer Insights

Ken Research conducted 50+ telephonic interviews with targeted customer personas:

Top Insights:

• 83% of customers cited “Rewards & Incentives” as the most critical factor.
• 77% prioritized Ease of Use, highlighting seamless digital integrations.
• 72% focused on Interest Rates and Fees, demanding competitive offerings.

The Results: Tangible Impact Delivered

Ken Research’s tailored insights enabled the client to achieve measurable success:

1. Market Opportunity:
   • Focused on capturing USD 45 million in obtainable market share.
   • Identified fintech and credit unions as key growth sectors.
2. Competitive Positioning:
   • Benchmarked against top competitors to identify pricing gaps and product opportunities.
   • Recommended digital adoption strategies to enhance satisfaction scores to 90%.
3. Customer-Centric Strategies:
   • Enhanced Rewards Programs to align with 83% of customer preferences.
   • Simplified card usage features to cater to 77% demand for ease of use.

Conclusion

By combining market intelligence and customer insights, Ken Research enabled the client to:

• Identify USD 500 million market opportunities.
• Enhance product offerings to align with evolving customer demands.
• Strengthen their competitive positioning against fintech disruptors and traditional players.

The result? A clear roadmap to capture 18% market share and boost customer satisfaction to 90%.