Product Burger 10

Back with a fresh product burger, a newsletter analysing product innovation and what it means for market consumption shifts over time. This week a product with which you could actually get a free juicy burger.?

A rewards credit card? Plenty of those in the market. Yet a lot of rewards go unused, are not something you really need or are hard to redeem. Although percentages vary, roughly 70% of rewards go unclaimed.?

Besides, the user, customer and brand experience (UX, CX and BX) of existing (reward) credit cards is lacking beyond the redemption of rewards. So let’s wander to Yonder…?

Tapping it

As a fintech geek I’ve ‘tapped’ quite a few credit cards over the past years, none have come close to a Monzo like experience. Yonder’s credit card is the first that has actually nailed a great BX and UX, I haven’t had to engage with their customer service, yet I suspect it will not disappoint.?

Some UK consumers might already see cards as futile, with our phones able to handle most payments, of course consumer habits change based on economic conditions (see the recent rise in cash usage by the UK consumer). So Yonder offers a free tier with a virtual card (works just fine online and with your smartphone wallet) and it’s up to you to order a physical card or not with their paid tier.?

Monzo’s mission to make money work for everyone shines through in Yonder’s approach too. In fact the two UK fintech brands indirectly compete on the credit card front. That said, Yonder’s is a reward credit card, in direct competition with the likes of Amex, while the Monzo Flex card focuses on spreading payments in a buy now pay later fashion (great UX too, but more on that in a future edition).?

Better save, than?sorry

Credit cards can unfortunately become ‘debt traps’, proper UX design and a clear view of spending (and what is owed) seem like simple product features yet a lot of incumbent offerings still don’t seem to get this right. Credit card and budgeting don’t always go hand in hand yet Yonder’s onboarding as well as user flows are taking a transparent and budgetary approach to credit. This includes a clear overview of what is owed, and I particularly liked that you could pay towards pending transactions.?

As with other such cards it comes with a fee (the free tier has a much lower credit limit and less points per ￡ spend), yet unlike most who charge on an annual basis, Yonder charges per month. Plus it clearly stipulates benefits and shows how rewards can ‘pay’ for these fees.?

Direct Debits can be set up easily (and switched off just as easily), with toggles to choose paying the minimum or the whole amount. Seems straightforward yet it is again something I have not seen as features in other such products. So if you’ve accidentally forgotten a minimum payment, had crazy fees charged for transactions, now you can be putting those pennies in your Chip account every month ??

Burger time?

Earning rewards and credit card spending made easy; with plenty of points earned if you use it for daily spending you’ll have a free burger in no time.?

Worth mentioning that it is still a smaller fintech that sees a lot of users based in London, so rewards redemption for those in other areas might be slightly more limited (to online or travel experiences).?

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