Fintech industry leader and CEO of Nubank, David Velez, during the week, shared a top management secret of his company with the public.
David, whose company is currently rated as the world’s largest digital bank, stated that, contrary to market intelligence, the growth recorded by the digital bank came about by $0 marketing cost.
According to him, the brazil-base bank acquired over 20 million new customers within two years based on words of mouth, underscoring the significance of customer satisfaction and the place of an attractive employee pay cheque for business owners.
Eight year old Nubank hit 34 million customer base point this year (2021), a 22 million upward growth from 12 million recorded earlier in 2019.
Commenting on the development, in a press release on the company’s newly closed $400 million Series G, David explained that the startup spent what would be marketing money on “great salaries” and superior customer service.
The CEO and cofounder further explained that the ripple effect, in turn, created “fanatic” customers who shared their love for the brand with others.
Besides clinching the record of becoming the world’s largest digital bank, however, the new $400M raiser also puts the Fintech company at a $25B valuation under the leadership of David Velez.
Nubank reaches the unbanked population in Brazil, especially those who financially cannot access a credit card.