MSC helped HFC Bank in Kenya to roll out its digital transformation strategy for low- and middle-income customers. We conducted market segmentation, behavioral research and design, digital product proof of concept, and pilot testing. We also carried out a comprehensive digital readiness assessment to enhance HFC Bank’s insights into what the bank offered and the current gaps and opportunities that could be addressed through digital financial services.

Based on insights from the assessment, MSC developed a comprehensive business case that identified the approach, constraints, roadmap, and viable options to offer better inclusive digital banking services. We used insights from the research to make recommendations on HFC Bank’s digital roadmap. The roadmap prioritized the enhancement of HFC Bank’s digital product offering with a customer acquisition plan, unique selling propositions, as well as growth and retention strategies.

HFC’s digital strategy meant a re-focus of the financial services business from value to volume. In July, 2018 HFC launched its HF Whizz mobile application to offer a full suite of banking services for low- and middle-income segments.

By the end of September, 2018, the HF Whizz App had acquired over 100,000 new virtual accounts and mobilized over KES 100 million (USD 1 million) from them. HFC also disbursed over 15,000 loans on the app with a cumulative loan book of KES 58 million (USD 0.5 million). During this time, the app facilitated transactions worth KES 686 million (USD 6.8 million), which contributed to the non-funded income of KES 5.86 million (USD 58,000).