Just as pleasingly for the company, the average revenue per user has cracked $75 per year at $75.68, up 6.4 per cent year-on-year. The trend reflects a marketing push by the company to cross-sell higher revenue products such as Raiz Plus, which enables a customer to have more investment input.
Raiz Plus was offered for the first time in July as a portfolio option for the company’s superannuation customers. It increased its funds under management by a whopping 22.7 per cent growth to $246.2m.
Raiz says its customers are increasingly favouring long-term wealth strategies over transactional savings. The shift is evident in rising account balances, which grew by 22.1 per cent year-on-year to an average of $5054 per customer.
The strong growth across all key areas coupled with a strong stock market performance also boosted total funds under management to more than $1.6 billion, up a massive 32.4 per cent year-on-year and approaching $1.67b as January draws to a close.
Raiz Invest managing director and chief executive officer Brendan Malone said: “Key initiatives driving these positive results are our enhanced marketing systems and processes, a changing product mix focused on higher revenue products and increased customer retention and engagement, which is a key strength and point of difference that Raiz continues to deliver.”
Raiz has a consistently high-ranking financial sector spot on Apple’s Australian app store, suggesting the company’s offering is well-liked by users. In what management described as an outstanding result and perhaps an even bigger feather in its cap though, the company recently picked up a Finder Awards gong for investment product innovation.
Raiz Super also nailed SuperRatings’ top spot in the balanced super funds category for the 2024 performance of Raiz Super’s moderately aggressive investment option.
With strong momentum and a scalable technology platform, Raiz appears poised to continue its growth trajectory and to cement itself as a leading part of Australia’s fintech landscape
Is your ASX-listed company doing something interesting? Contact: mattbirney@bullsnbears.com.au
