- With its 18-month beta trial now complete, next-generation neobank app Douugh (DOU) has officially launched in the United States
- The launch is aimed at Millennial and Gen-Z consumers, using Google’s AI-powered ad bidding platform to target profitable customers
- A major part of the launch is the introduction of the Bills Jar feature, which helps users track and cover their fixed and recurring expenses
- The company is now looking to scale-up its U.S. user base with the roll-out of its Autopilot and Investment Jars features over the next few months
- Shares in Douugh spiked 10 per cent in early trading yesterday but ended the day 7.14 per cent down at $0.32 each
With its 18-month beta trial now complete, next-generation neobank app Douugh (DOU) has officially launched in the United States.
For the last year and a half, the fast-moving fintech company has been working towards meeting a variety of anti-money laundering (AML) and Office of Foreign Assets Control (OFAC) regulations.
Douugh was also focused on completing a host of technological refinements to ensure a satisfying user experience, including optimisation processes for the latest iOS 14 software and iPhone Max screens.
The Banking-as-a-Service (BaaS) model uses a mobile application that applies artificial intelligence and machine learning to a user’s personal income and spending data, cultivating an individually tailored financial solution to assist in more frugal spending and greater savings.
With the beta work now complete, the focus has shifted to the U.S. Millennial and Gen-Z market, which has been identified as a key sector for Douugh’s “financial wellness” app.
Central to the company’s launch is the use of Google’s AI-powered ad bidding platform to target profitable customers, along with a new “member-get-member” distribution channel designed to grow the app’s presence through word-of-mouth.
Notably, the U.S. launch marked the introduction of the Bills Jar feature, which uses a virtually-linked card to help users track and cover their fixed and recurring expenses.
“Through our beta phase, we found that one of our customers’ biggest pain points was keeping track of their fixed and recurring bills, especially subscriptions,” said Andy Taylor, CEO of Douugh.
“Bills Jar flags upcoming bills, allowing customers to sweep in funds and use the dedicated virtual card to become the principal card on file to pay recurring bills, outside of the main Douugh checking account,” he added.
In yesterday’s release, Douugh pointed to a recent poll conducted by The Wall Street Journal and NBC News, which showed that voters between the age of 18 to 34 were most likely to suffer an economic blow as a result of COVID-19, such as losing health insurance or receiving a pay cut.
A GOBankingRates survey from 2019 also identified that 70 per cent of adults in the U.S. have less than $1,000 in savings compared to 58 per cent in 2018.
With revenue from interchange that is substantially higher than elsewhere in the world, coupled with a boom in digital banking, Douugh says the U.S. offers a favourable banking market structure.
“We want to build a global brand and platform business, and the U.S. is the place we need to start to allow us to build the scale needed to execute on our long-term business plan,” Andy continued.
Douugh said it will now look to grow its customer base in the U.S., rolling-out its Autopilot and Investments Jars features over the coming months and introducing a monthly subscription fee at a later date.
Shares in Douugh spiked 10 per cent in early trading yesterday but ended the day 7.14 per cent down at $0.32 each.