Alexander Emeshev plans to transform his business into a business-to-business platform
In the dynamic world of Payment & Banking, Kevin Hackl, a native Viennese and a prominent figure in the industry, has been at the forefront of dialogue and politics. Hackl, known for his community-building skills, is also deeply involved in Vivid Money, a company that started as a disruptor in retail banking.
Founded by Alex, Vivid Money has undergone a significant evolution, transforming from a challenger bank offering retail financial products to a company with ambitious plans to become a leading B2B platform. This strategic shift involves a series of deliberate decisions and changes, each designed to cater to a broader customer base and adapt to the evolving needs of the market.
Vivid Money initially launched with Solarisbank’s infrastructure, offering current accounts, debit cards, and cashback rewards. Over time, it expanded its product range after obtaining regulatory licenses, such as the investment services license from the Dutch AFM in 2022, to include stocks and funds. This strategic decision to diversify offerings was a clear indication of the company's desire to appeal to a broader customer base.
The company's approach to decision-making and market expansion has been agile, as shown by its withdrawal of an Irish e-money license application due to regulatory complexity. This move balanced risk and growth opportunities, demonstrating a strategic approach that prioritises sustainability.
Vivid Money has also made strategic acquisitions to strengthen its market position. For instance, the acquisition of parts of an insolvent competitor’s customer base (Nuri) and the acquisition of a Luxembourg-based Electronic Money Institution in 2024 have been key steps in its evolution. These acquisitions have enabled the company to launch new business products and onboard SME clients, signifying a shift towards serving small and medium enterprises.
Moreover, the acquisition of treasury technology from the startup Pile has enabled Vivid Money to enhance cash management and automated treasury workflows, reflecting an adaptive and innovation-driven approach. This focus on technology integration is crucial in supporting the evolving needs of SME clients.
While direct commentary from Alex on the decision-making framework or business model evolution is not readily available, these strategic moves suggest a process involving obtaining necessary licenses, market analysis to decide on geographic and sector focuses, technology acquisitions to enhance product offerings, and customer base expansions by acquisition. The model has evolved from retail challenger banking towards integrated financial and treasury solutions for both retail and SME segments.
Navigating these strategic realignments requires courage, and Kevin Hackl, who feels most at home where dust is being kicked up and new things are being created, seems well-equipped to lead Vivid Money through this exciting phase.
As Vivid Money continues to make strategic decisions and implement changes, stay tuned to learn more about their journey. In addition to his role at Vivid Money, Kevin Hackl also serves as a lobbyist for financial themes at the digital association bitkom, further demonstrating his commitment to shaping the future of the Payment, Banking & FinTech Bubble.
However, getting a team on board with strategic changes can be challenging. As Vivid Money embarks on this new chapter, it will be interesting to see how they manage this aspect of the transformation process.
In the transformative journey of Vivid Money, the company has demonstrated a strategic focus on financial service expansion, aiming to become a leading B2B platform by diversifying their offerings beyond retail banking. This involves securing regulatory licenses such as the Dutch AFM's investment services license in 2022, and making strategic acquisitions like the purchase of treasury technology from Pile.
As Vivid Money continues to innovate and adapt to the evolving needs of the market, particularly the SME segment, their approach to decision-making and market expansion is demonstrating an agile and risk-balancing strategy, as shown by their withdrawal of an Irish e-money license application due to regulatory complexity.
