Easy Financial Market and Competitors

Part
01
of three
Part
01

EasyFinancial Competitors

Six true competitors to EasyFinancial include Upgrade, Upstart, Avant, OneMain Financial, LendingPoint, and Prosper. EasyFinancial offers high-interest loans ranging from $500 to $35, 000 to subprime borrowers with annual percentage rate from 19.99% up to 46.96%.

Upgrade

  • Upgrade is a true competitor to EasyFinancial as they offer high-interest rates on loans to subprime borrowers (as is EasyFinancial). Upgrade offers loans with annual percentage rates of up to 35.89% as analyzed on with loan amounts ranging from $1, 000 to $50, 000 as analyzed on NerdWallet.

Upstart

Avant

OneMain Financial

LendingPoint

Prosper

Research Strategy

To find the six true competitors to EasyFinancial (other high-interest financial companies who cater to subprime borrowers) the research team searched through established financial consultancy and analytics web pages this being Credible and NerdWallet. The search proved successful as we identified the above six high-interest financial companies that cater to subprime borrowers. With details of their different rates and amount of loans offered to borrowers.

Part
02
of three
Part
02

EasyFinancial Competitors Advertising

Following an exhaustive research on the video and display advertising used by EasyFinancial's competitors, we were able to discover that most of its competitors do not use video advertising. Instead, they mostly use standard ads, programmatic ads and image ads. Easy Financial's main competitors include Upgrade, Upstart, Prosper, Lending Point, One Main Financial and Avant.

Upgrade

Upstart

  • 25% of their total website traffic are paid ads.
  • 96% of all Upstart creatives are standard ads with their longest ad running for 108 days. 4% of their ads are native ads with the longest running ad being 37 days.
  • Their ad creatives consist of 75% image ads and 11 % image/text ads. They have a total of 114 creatives for their advertising campaigns.
  • The 2 main publishers categories for Upstart are shopping and sports categories.
  • Their main creative messaging is simple and engaging with messages such as 'getting covered for a rainy day'.

Lending Point

  • 25% of their total website traffic comes from paid ads. Image/text ads consist of 26% of their ads.
  • 76% of their advertisements are standard ads (115 standard ads). They also have 37 native ads which represents 24% of the sites ads.
  • Lending Points' top publishing categories are in personal finance and travel.
  • Their creatives are simple, informative and colorful. Examples of their creatives can be viewed here.

Prosper

  • 6% of their online traffic comes from ads.
  • 52% of their ads are image ads.
  • 1% of Prospers' website runs native ads with most of their ads being over 200 standard ad creatives.
  • Prosper creative messaging targets fixed interest rates, payments and peace of mind for personal loans which will not affect its customers credit scores. Examples can be found here.
  • They do not have any current video advertising.

One Main Financial

  • 13% of the total website traffic comes through paid ads.
  • They use Direct ads (11%) and Programmatic ads (89%) as their advertising channels. Moreover, 31% of their creatives are image ads.
  • Their ads have been published on 94 publisher sites exclusively in news and personal finance categories.
  • 43% of its advertising is through standard ads with the longest running ad being 263 days. The company has also run 702 native ads with the longest running native ad being 86 days.
  • 1% of their ads are video ads.
  • Their creative messaging revolves around planning ahead, personal loans, auto loans, freeing oneself from credit card debts and quick loan approval.

Avant Personal Loans

  • Only 1% of the total website traffic are paid ads.
  • They use programmatic ads as their sole advertising channel.
  • Avant publish on one publisher site in the Arts & Entertainment and News categories.
  • The company ran 256 standard ads and 337 native ads in the last thirty days.
  • Most of the messaging on their creatives are images of vehicle and home accidents without texts. They have 106 creatives

Part
03
of three
Part
03

High-Interest Loan Market Size

The current market size for high-interest loans in the United States is $90 billion. This is a $50 billion increase over the $40 million market size in 2010 and 2015.

Current Market Size

  • According to the Office of the Comptroller of the Currency, the current U.S. market size for high-interest loans, which are defined as "short-term, small-dollar loans that typically range from $300 to $5,000," is $90 billion.
  • In the Fortune article that provides the market size and definition for high-interest loans, the term "payday loans" is used synonymously with "high-interest loans."
  • Additionally, the definition of a payday loan according to Investopedia is a "type of short-term borrowing where a lender will extend high interest credit based on a borrower’s income and credit profile."
  • Fortune notes that high-interest loans range between $300 and $5,000 and The Economist mentions that the typical payday loan is $350.
  • Therefore, payday loans and high-interest loans are used interchangeably in this report.

2010 and 2015 Market Sizes

  • In 2010, the market size for payday loans (used interchangeably with high-interest loans) was approximately $40 billion.
  • While the payday loan market size increased to nearly $50 billion in 2012, it dropped back down to just under $40 billion in 2015.
Sources
Sources

From Part 02
Quotes
  • "Programmatic advertising is the automated buying and selling of online advertising."
Quotes
  • "Standard ads are trusted formats that when combined with newer digital units provide a superior user experience."