Fintech Douugh has increased its customer base, as it expands its super app in the US and prepares for its official launch into Australia to replace it’s current Goodments share trading app. Crypto trading services will also be launched as a key driver of growth for the app alongside stock trading.
Leading ASX fintech Douugh (ASX:DOU) has delivered another strong quarter, as the company sees continued growth in the US market across all key metrics.
Douugh finished Q3 with its customer base growing to 97,389, or around 227% year-on-year (YoY).
Its total accumulated card spend by existing customers since launch also grew to $16.8m, a massive 1,674% YoY.
The strong uptake led to its revenue run rate growing to around $400k, which was up 4,219% YoY.
The fintech has now fortified its balance sheet, with accumulated cash deposits of $32m, up 3,282% YoY since launch.
All this was achieved while the company reduced its cash burn on paid marketing activities, focusing instead on low-cost growth hacking initiatives.
During the quarter, Douugh has made adjustments to its product roadmap following extensive market research.
The aim is to better align the product offering to better appeal to the ~160 million Americans in lower salary brackets who can benefit from fintech solutions which help them manage their expenses and establish a saving trajectory.
Serving a huge market
This particular mass market segment is living from paycheck to paycheck, and struggles to afford basic emergency expenses or to grow their wealth.
The opportunity to serve this huge market led Douugh to prioritise several features on its super app – including the introduction of several new functionalities like Cashback Rewards, Early Pay, and Roundup.
For example, Cashback Rewards was launched via a dedicated Google Chrome extension, providing cashback and coupon offers to over 30,000 merchants, and helping customers to spend smarter and save more.
The Early Pay feature on the other hand, gives customers access to their paycheck up to two days earlier than offered by traditional banks.
This allows Douugh members to manage their budget earlier, vital when their paycheck is only paid only after rent or a car payment is due.
Meanwhile, the Roundup feature was launched to help customers save by rounding up Douugh card transactions to the nearest dollar, and sweeping them to a nominated Stash Jar on the platform.
This feature will soon be expanded and bolstered by a feature that automatically purchases cryptocurrency and stocks, as Douugh prepares a launch of these services to target the Gen-Z and millennial market.
The company is now also building towards a full market launch in Australia with an offering set to disrupt the status quo in the country.
“We are almost at the point where Douugh can showcase its full functionality as a banking super app in order to enjoy the financial benefits of a fully-fledged transactional and subscription offering, once we deliver crypto and single stock trading,” says Douugh’s Founder and CEO, Andy Taylor.
“Credit will also become a critical component of the platform and revenue story in the future.”
“This proposition means we can enter strongly into the Australian market to win market share, which we are on track to achieve in the coming months,” Taylor added.
Douugh has also begun to assess enterprise partnerships, as it looks to further boost customer growth across the Australian and US platforms and accelerate revenue growth.
The company is currently evaluating a Douugh-as-a-Service offering for the enterprise market, and is investigating potential opportunities in providing API and white-label offerings as further ways to accelerate revenue growth.
This article was developed in collaboration with Douugh, a Stockhead advertiser at the time of publishing.
This article does not constitute financial product advice. You should consider obtaining independent advice before making any financial decisions.