ramanbansal9876/First-Loan-Fee-Waiver-Campaign

From funnel gap to first loan - how wallet transaction signals and stratified experimentation drove NTC conversion across African markets. # 🎯 First Loan Fee Waiver Campaign — Digital Lending | Emerging African Markets ## 📌 Overview In digital lending platforms operating across emerging African markets, a significant portion of eligible customers never convert to their first loan — despite being active on the platform. This project addresses that gap through a **data-driven, incentive-led acquisition campaign** targeting high-potential New-to-Credit (NTC) customers using mobile money wallet transaction signals. The campaign offered eligible customers a **loan application fee waiver** — conditional on timely repayment — to reduce the psychological and financial barrier of taking a first loan. --- ## 🔍 Problem Statement Analysis of the customer funnel revealed that **~51% of the eligible base had never taken a single loan**, despite being active wallet users with healthy transaction behavior. These customers represented a significant untapped revenue opportunity. **Key Question:** > *Can we convert high-wallet-activity New-to-Credit (NTC) customers into first-time borrowers by offering them a time-bound application fee waiver?* --- ## 💡 Campaign Design ### Offer Structure | Market | Fee Waiver | Condition | |--------|-----------|-----------| | Uganda | 2% application fee waived | Repay within loan tenure | | Tanzania | 6% application fee waived | Repay within loan tenure | The offer was designed to be **self-liquidating** — customers who repay on time cost the business only the waived fee, while generating full interest revenue and establishing a repayment behavior pattern. --- ## 🔧 Methodology ### Step 1 — Funnel Analysis - Pulled the **end-to-end customer funnel report** to quantify the NTC gap - Identified that 51% of eligible customers had **NTC = 1** (New-to-Credit, zero loan history) despite platform eligibility - Cross-validated with **mobile money wallet transaction data** to confirm active financial behavior among this segment ### Step 2 — Base Generation & Segmentation Rule-based …