120%
Average daily/monthly active users from January 2021 to August 2023
2x
E-wallet transactions in 2023
2.5x
Collectibility rate through Xendit compared to other partners
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Kreditplus, which is a part of PT KB Finansia Multi Finance and has been operating since 1994, is a leading provider of financing solutions in Indonesia. With some 250 branches across more than 30 provinces in Indonesia, Kreditplus serves ordinary Indonesians with excellent reach and availability.
Offering a wide array of products, from financing for electronics and furniture to multi-purpose loans secured against vehicles or property, Kreditplus caters to individual and business requirements, including invoice financing for enterprises.
In addition, Kreditplus has also developed a mobile app— Kreditplus Mobile—which has received an ISO 27001 certification, underscoring the company’s commitment to providing fast, easy, and secure financial solutions.
Challenges
Existing manual payment experience were painful for both customers and staff
In 2017, the KreditPlus Mobile app had limited capabilities. Although it was able to help customers track their contracts, check the progress of their installments, and calculate repayment amounts, customers were not able to make payments from within the app.
Customers had to use either of the following ways to make payments:
- Visit Alfamart or Indomaret retail outlets to make over-the-counter payments
- Manually transfer funds to the bank account of the Kreditplus branch they are assigned to and subsequently send proof of payments to Kreditplus for confirmation. This process necessitates additional steps not only for customers but also for Kreditplus staff members, who also have to check payments and reconcile them manually.
Furthermore, since there are no in-app payments, customers had no reason to stay with the Kreditplus Mobile app. As a result, the app churn rate was high, and Kreditplus employees needed to carry out more manual debt collection steps.
Difficulties reaching younger customers due to limited digital payment channels
Prospective customers from the younger generations (such as Generation Z and the younger Millennials) have grown up in the digital age and expect to be able to perform transactions easily and digitally, preferably from the palms of their hands.
The existing payment methods described above are not convenient and appealing enough for these younger customers. To capture their business, Kreditplus needed to offer the payment methods they love and trust—and e-wallets are among the most important.
Limited time and resources to create a good payment interface
Kreditplus needed to create a good payment experience to maintain customers’ trust. The company needed to ensure that customers do not feel confused by redirections to external payment pages that look inconsistent with Kreditplus’ branding, as this would make customers feel less safe sending their money for repayment.
However, at the same time, the Kreditplus team is resource-strapped. As such, the team had to look for a ready-made checkout solution that can be easily customized and integrated, with an excellent customer support team that can help them resolve any issues fast.
Solutions
Enabling digital payments on the Kreditplus Mobile app easily
Partnering with Xendit, the Kreditplus team easily activated digital payment methods on the Kreditplus Mobile app. Integrating with Xendit API was a breeze, and Xendit’s team is always on hand to resolve the few issues that arose.
Now, Kreditplus has stopped accepting manual bank transfers for repayments. Customers can conveniently make payments from within the app through virtual accounts. At the same time, the Kreditplus team no longer has to manually check customers’ proof of payments.
Younger customers who prefer to use e-wallets for payments can also transact easily through popular e-wallets OVO, DANA, LinkAja, and ShopeePay.
Customizable, ready-made checkout UI with automatic retry mechanism
Xendit Checkout is ready to facilitate transactions out of the box. It’s very easy to integrate with, and the team could customize the look and feel of the checkout UI in just a few minutes. This saves a lot of time and resources while maintaining the consistent, trusted Kreditplus branding (such as consistent colors and fonts) throughout the transaction experience.
That’s not all. Xendit’s built-in automatic retry mechanism, with API callback of up to 6 times, helps increase the payment success rate, further adding to the smooth customer experience.
Results
120% increase in average daily/monthly active users
The in-app digital payment capabilities have helped the Kreditplus team increase the stickiness of their app, as evident from the 120% increase in average daily/monthly active users (DAU/MAU) from January 2021 to August 2023.
2x spike in e-wallet transactions in 2023, with DANA making up 45%
The drastic increase in e-wallet transactions show that the availability of e-wallet as a payment method has brought convenience to many customers. Adding DANA to the mix also helped tremendously as it’s the most popular e-wallet channel among Kreditplus customers, comprising 45% of total e-wallet transactions.
2.5x higher collectibility of loan repayments compared to other partners
Since users can make payments via the app comfortably, more customers can pay on time. The repayment collectibility rate through the app, powered by Xendit, is 2.5x higher compared to those done through other partners. This means Kreditplus is able to collect a higher proportion of loan repayments without intervening via manual debt collection steps.
| Before Xendit | After Xendit | |
| Accepting loan repayments | Customers have to make payments through one of these ways:
| Customers can make loan repayments directly in the app through virtual account and e-wallet payment methods |
| Customer growth and satisfaction |
|
|
| Payment collectibility rate | Faced problems of late repayment from users, which increases non performing loan. | With payments via the app, more customers can pay on time, making collectibility rate achieved 2.5x higher compared to other partners |
We are very happy that, even though it’s a ready-made UI, it was very easy to customize the checkout page and notification emails so that they are consistent with Kreditplus branding, making the customer experience seamless.
