How Can Open Banking Transform Customer Engagement? Insights with Lasma Kuhtarska, Noda’s Co-founder & CSO

Welcome to a deep dive into the transformative world of open banking and its impact on customer engagement. Today, we’re privileged to gain insights from Lasma Kuhtarska, the Co-founder and Chief Strategy Officer at Noda. With the rapid evolution of financial technology, Noda stands at the forefront, championing innovative solutions like the Know Your Whales (KYW) program. This initiative promises to reshape how businesses understand and interact with their customers. Join us as we explore with Lasma the workings, benefits, and profound implications of this groundbreaking tool.

What is the Know Your Whales, and how does it work? What are the key technologies behind this tool?

Know Your Wales (KYW) is based on our data access as an Account Information Service Provider (AISP). The AISP allows customers to share their bank data with Noda straight away during the payment. This data is analysed and converted into valuable insights about customer spending behaviour, which helps our merchants create even stronger and more relevant offers for each customer. Even better, these signals are built to boost our merchants’ marketing acquisition strategy, decreasing the risk of acquiring less relevant users, which leads to optimising the marketing budget.

Is KYW safe? What are the key security features underpinning the programme?

The KYW operates under the European PSD2 regulations, which means that technology is inherently safe. Moreover, the application programming interfaces (API) access in the open banking space is also under strict regulations. Companies need to obtain a special AISP licence from the regulator before they can proceed. All the data sharing happens strictly via secured APIs, which are fully covered by GDPR policies. Therefore, KYW is a highly safe and trustworthy method to enrich valuable signals about the customers.

How can merchants use KYW for their benefit? List practical ways of using it to improve business performance

With KYW, merchants can improve their client acquisition strategy by targeting only users with high lifetime value (LTV). They can also enhance client engagement, getting a signal when high-margin users are onboarded. Ultimately, businesses can create better-re-marketing campaigns with data-driven confidence and build personalised solutions.

How can KYW help businesses of different sizes? Is the tool more appealing for small, medium or large businesses?

KYW perfectly suits businesses of all sizes. For example, small and medium businesses often struggle with effective customer acquisition, and KYW allows them to spend less money and target only high-LTV leads. On the other hand, large enterprises can significantly transform the experience for their high-margin customers by tailoring unique and relevant journeys.

Name some of the use cases for KYW across different industries and sectors

The use cases for KYW are versatile and apply to almost all industries and sectors. For example, online gaming businesses can use KYW for re-marketing of high-LTV clients. For e-commerce and travel merchants, KYW can enable client acquisition and re-marketing with data-driven confidence. For lending and loan companies, KYW can provide data enrichment for customers scoring, income verification, and shaping customers’ spending behaviour. The list goes on.

What are your five practical tips for merchants to use KYW effectively?

The first tip is not to wait too long. Get data instantly via API right after the first payment has been made. Once it’s done, KYW is ready to use. Secondly, invest in re-remarketing using exclusively KYW knowledge. Based on Noda’s merchants’ experience, this is the most effective way to use these insights. Finally, be respectful to your customers and store their data correctly. Safety and privacy must always come first.

How can tools like KYW improve the overall business landscape on a macro level?

Open banking tools like KYW enable smarter, data-driven decision-making. They help businesses efficiently target high-value customers, reducing marketing waste and increasing engagement. This leads to more personalised experiences, optimised spending, innovation, and eventually better business results. Essentially, open banking tools contribute to a more dynamic and competitive market environment.

The KYW program is not just a technological advancement; it’s a paradigm shift in customer relations and marketing strategy. As we’ve seen, tools like KYW are not merely about compliance or security—they’re reshaping the business landscape to be more adaptive, innovative, and customer-centric. By harnessing the power of open banking, businesses can thrive in an increasingly competitive market, offering personalised experiences that customers value. Noda’s commitment to empowering businesses of all sizes with these tools is a testament to their vision for a more connected and insightful commercial future.

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