Prudential Partners with FreedomPop to Upsell Financial Services

Home » FinTech » FinTech News » Prudential Partners with FreedomPop to Upsell Financial Services

Mobile service startup FreedomPop is taking on a new direction while still continuing to offer their popular phone plans. As TechCrunch reports the company has announced a partnership with Prudential that will effectively bring FreedomPop into the financial services space… sort of. The partnership is aimed at Prudential upselling its customers and driving conversions using a FreedomPop-developed platform.

In order to understand the Prudential/FreedomPop partnership, one must first understand the latter company’s business model. FreedomPop boasts free wireless plans — including talk, text, and data — to a number of customers by buying network capacity from other carriers. However their monetization model finds the company offering a number of paid upgrades such as voicemail and extra data allowances. This conversion platform is one they’ve dubbed Accelerate Platform, which is what Prudential will be utilizing to similarly market to their own customers.

FreedomPop claims that their Accelerate Platform has one of the highest conversion rates on the web with 50% of customers purchasing at least one paid service. By comparison, other “freemium” modeled companies such as Spotify reportedly have conversion rates less than half that. As a result it’s easy to see why businesses in other spaces — especially in the financial field — would want to take Accelerate for a spin.

Explaining his company’s decision to work with FreedomPop and their Accelerate Platform, Prudential’s Chief Digital Officer Al-Noor Ramji said, “We chose to work with FreedomPop because they have a proven model and have already demonstrated reliability and scalability with world-class companies. We are excited to leverage FreedomPop’s Accelerate platform to surface, assess and maximize data monetization opportunities in new and innovative ways.” Meanwhile FreedomPop’s CEO Stephen Stokols explained how their platform will assist Prudential, telling TechCrunch, “They would have had seven or eight different segments in the past. Now we’re talking about thousands of micro-segments, based on actual experiences.”

Although Prudential is the first financial services company FreedomPop has partnered with in this manner, it apparently has four other deals in place that are expected to roll out next year. This has led Stokols to suggest, “We think financial services might even be bigger than telecoms for us in the long run.” So while FreedomPop nor Prudential may be FinTech companies in the traditional sense, this partnership certainly brings the two halves of that term together and could be the start of something big in the financial services space.


Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *


Jonathan Dyer

I'm a small town guy living in Los Angeles looking to make solid financial decisions. I write for a number of finance websites, including HuffingtonPost and Business2Community. I founded in 2015 to focus on personal finance and the emerging FinTech markets.

Other Articles by Jonathan Dyer

Home Prices Surged in February 2018

Those looking to sell their home this spring may be in the right market. U.S. home prices rose 8.8% in February of 2018, marking the largest jump in nearly four years (March 2014). It was also the 72nd straight month of growth.

Amazon Said to Be Eyeing Small Business Credit Card Offering

Amazon making moves toward embracing and boosting small businesses seems like a smart strategy. Despite any animosity on the part of some business owners, there's no doubt there are plenty of B2B benefits to be had on both sides.

Google Banning Cryptocurrency-Related Ads with Latest Policy Update

Google is planning to ban cryptocurrency-related advertisements from their ad products. This will cover any crypto content, including ads for cryptocurrency wallets, initial coin offerings, and more.