GreenSky Credit is a financial institution that has brought a lot of change in the financial market, especially in the credit sector. Being a huge financial firm, the organization has opted to operate its business in a more classic and wholesale manner than the other financial lenders do. The first initiative that GreenSky Credit has adopted is lending to the small financial lenders. This happens in the situations where a creditor may be having a lot of credit customers but cannot sustain their financial needs. In such scenarios, GreenSky cheeps in and provides the finance to the lender who lends the money to the customers. GreenSky gets a commission of the total outstanding balance of the customers’ loans.
The other initiative that GreenSky Credit has taken to cope with the market competition is entering into business relationships with merchants and other wholesalers of products like the home improvement products, furniture, roofing facilities and other services. These merchants provide their services to clients and customers who don’t have enough money to get the services. Instead of getting loans from financial institutions, the customers are allowed access to the services and agree to pay the amounts in future installments. In this way, there is a mutual benefit between the three parties; the customers, GreenSky Credit, and the merchants who can retain their customers.
The unique strategy
The CEO of GreenSky, Mr. David Zalik has been very tactical in the way he has been leading the marketing campaigns for the organization. While the other financial firms find it easier to get to the media to promote their companies, Zalik’s strategy has been different. Instead of relying on the media, he has trained his employees in relationship building. The personnel is trained in how to build and maintain relationships with other stakeholders like the small credit firms and the merchants.
In return, GreenSky Credit can leverage the customer bases of these firms to make profits from the commissions it gets from the lending activity. Since its formation in 2006, Greensky Credit has changed the way transactions in the lending sector are done. This has been through the introduction of their mobile application for an efficient loan application process.