XTXFX Business Plan — Go-to-Market

How borrowers are reached and converted, acquisition cost per funded loan, and the retention economics of repeat lending.

Go-to-Market

Jump to section

Customer acquisition is modelled at a blended R380 per newly acquired customer, with the new-customer share of lending falling from 74 per cent in Year 1 to 28 per cent by Year 5 as the book becomes repeat-driven. Repeat lending is the economic engine of the model: it carries near-zero acquisition cost and materially lower credit risk.

The shift to repeat lending
Figure 11. The shift to repeat lending.

Channel

Role

Economics

Performance marketing

Search and social acquisition against high-intent keywords

Highest volume, highest cost; disciplined cost-per-funded-loan targets by channel

WhatsApp and referral

Existing-customer referral with a compliant incentive structure

Lowest cost per acquisition; strongest credit performance

Employer partnerships

Financial wellness offering to mid-size employers, introduced from Year 2

Very low acquisition cost, verified employment, materially lower loss rates

Aggregators and comparison sites

Lead purchase on a cost-per-funded-loan basis

Scalable but adverse-selection prone; capped share of volume

Retention and graduation

Proactive pre-approved offers to performing Flex customers

Near-zero cost; the primary source of Term originations

Year 1

Year 2

Year 3

Year 4

Year 5

Loans disbursed

6 550

20 600

39 200

57 500

75 000

New customer share

74%

58%

44%

34%

28%

Acquisition spend, R million

1.8

4.5

6.6

7.4

8.0

Blended acquisition cost per loan

R281

R220

R167

R129

R106

Direct cost to serve, R million

0.5

1.6

3.1

4.6

6.0

Collections cost, R million

0.4

1.3

2.7

4.2

5.8

Total variable costs, R million

2.7

7.5

12.4

16.3

19.7