1. TransferWise Here Comes the Boom!
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2. Agenda Challenge Delia Key Issues & Objectives Recommendation Analysis
Alternatives Chelsey
Implementation Plan Allison
Financials Jennifer
Risks & Mitigations
What Success Looks Like Delia
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3. Challenge
How can TransferWise dominate remittance services market and approach zero-fee target?
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4. Key Issues Emergence of blockchain technology Outflow exceeding inflow
Changing regulatory environments
Reputational challenges
Industry currently dominated by Big Banks
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5. Key Objectives Increase client volumes to maximize revenue growth
Manage liquidity position
Mitigate potential security risks
Curate reputation to obtain bigger clients
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6. Recommendation
Develop strategic partnerships with major banks to become the world’s leading low-cost remittance provider
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7. Analysis
Delia warren

8. International Remittance Environment
THREATS:
Blockchain disruption threats remittance services industry – eliminates fees
Industry rife with money-laundering, sanction avoidance, and fraud
Space dominated by large scale commercial banks & inexpensive, globally present competitors
Lack of trust in online money transfer services
OPPORTUNITIES:
30% of financial services to be owned by tech. companies, not banks by 2026; globalization
Banks make international currency exchange expensive and cumbersome
Avg. remittance fee $US12; avg. remittance amount $US200 – migrant populations
Peer-to-peer money transfer gaining relevance and trust
Operating in highly complex space with unpredictable future but huge potential
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9. TransferWise Internal Analysis
STRENGTHS:
Powerful investors, “world’s most successful fintech unicorn”
10% international market share
Transparent operations, registered compliance teams
Operating in 50 countries globally
Successful partnerships with small, startup banks
WEAKNESSES:
Lack of experience
Service offering lacks innovation
Navigating complex regulatory space – high risk
Reputational damage (false ads, Hawala comparison)
Susceptible to data breaches
Facing liquidity issues
Must navigate carefully to avoid major scandals and curate reputation to grow business
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10. Competitive Environment
Remittance Institution
Value Proposition
Western Union/MoneyGram
Fast, low-fee service
Broad service offering (phone, cash pick-up)
Target low-value, high-volume remittances (C2C)
OFX/ World First
No fees
Target higher-value remittances (C2C, C2B, B2B)
Banks
Trusted, globally established, secure
Value proposition not unique enough to compete with established, low-fee remittance providers
Strategic banking partnerships provide access to client volume and improve reputation – bigger clients
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11. Financial Snapshot
Jennifer button

12. Financial Snapshot $ US 151 Million Revenue 78% Revenue Europe
22% Rest of World
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13. Remittance Market US$ 574 Billion in Remittances
-Competitors 25% of this Business
-US$ 430 Billion Available
Transfer wise is saving customers US $2.65 M daily
Goal of reducing transaction fees to zero (10 years)
Need to increase volume of transactions
Liquidity issues
Currently borne by TransferWise
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14. Countries to Target
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15. Alternatives
Chelsey king

16. Alternatives 1 2 3 Integrate Blockchain Technology
Strategic Partnership Paypal
Remittance Service Provider for Banks 1 2 3
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17. Alternative 1: Integrate Blockchain Technology
Advantages
Hedges against industry disruption
Disadvantages
Uncertainty around blockchain technology
Loss of control over verification process
Timeliness of transactions
Energy inefficiency; costly
Association with money laundering and corruption
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18. Alternative 2: Strategic Partnership with Paypal
Advantages
Opportunity to operate in the ecommerce space
“Bigger Picture” focus and Paypal support
Leverage data security competencies
Disadvantages
Limited to Paypal’s reach
Departure from peer-to-peer
Does not address outflow exceeding inflow
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19. Alternative 3: Remittance Service Provider for Banks
Advantages
Access to liquidity
Access to all banking clients including businesses
Leverage data security competencies
Previous success with smaller banking institutions
Reducing the risk of cross-boarder transfer to banks
Disadvantages
Symbiotic relationship with banks
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20. Decision Matrix Key Objectives Blockchain PayPal Banks
Increase client volumes to maximize revenue growth
Manage liquidity position
Mitigate potential security risks
Curate reputation to obtain bigger clients
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21. Recommendation
Develop strategic partnerships with major banks to become the world’s leading low-cost remittance provider
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22. Implementation Plan
Allison penton

23. Implementation Plan Framework for Strategic Bank Partnership
Defined Marketing Strategy
Target Large Scale Clients
Talent Management
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24. Timeline Establish strategic partners with big banks
Phase 1: 0-12 months
Marketing campaign
Talent management
Continue seeking strategic partners
Phase 2: months
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25. Framework for Bank Partnerships
Number of Customers
Reputation
Volume of Transactions
Geographical Footprint
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26. Banking Recommendations
USA
Bank of America
China
HSBC
India
Royal Bank of India
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27. Benefit of Partnership
TransferWise
Access to more clients
Improved liquidity - Reputational advantages
Added security features
Financial Institutions
Increased volume of transactions
Low-risk option
Commission fee
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28. Marketing Strategy Digital Marketing Campaign
Increase SEO and Blog Articles
Peer-to-Peer Marketing Campaign
Promote Low Transfer Fees
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29. Cybersecurity Department
Talent Management
Software Developers
Marketing Leads
Sales Lead
Cybersecurity Department
Data Analysts
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30. Enhanced Security SMS Verification Code _ _ _ _ _ _
Two-factor authentication
Decreases risk of security breaches
Financial Institution Security
- Capitalizing on current security mitigations existing within
SMS Verification Code
_ _ _ _ _ _
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31. Financials Risks & Mitigations
Jennifer button

32. Financial Analysis
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33. Where is the money coming from?
Use existing cash
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34. Risks and Mitigations Lack of buy-in from Big Banks Competition
Medium risk
Providing opportunity for banks to reduce risks and still make money
Lack of buy-in from Big Banks
Joining banks, not trying to beat them.
Improving reputation through partnerships.
Competition
Low risk
Immature technology
Customer uncertainty
Block Chain Disruption
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35. Conclusion
Delia warren

36. What Success Looks Like
Increase client volumes and maximize revenue growth
Manage liquidity position
Mitigate potential security risks
Curate reputation to obtain bigger clients
Partnership with large scale banking institutions in USA, China and India
Leveraging financial position of big banks and building reputation
Leveraging bank security protocols
Two factor authentication
Become world’s low-cost remittance provider
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37. Questions?
Thank you!

38. Contingency Plan Sell company to Paypal - Familiar with business
- Capitalize on e-commerce transactions
- Mature markets
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