Moven has announced a strategic shift to focus solely on promoting their patented wellness technology to enterprise level partners. Plans to spin-off Moven’s consumer-facing business hit a significant snag with major multi-year funding withdrawn as a result of market conditions, whilst the Enterprise business remains funded and growing.
As a result of both the recent successes within Enterprise and increasing uncertainty around coronavirus, Moven has decided to wind down the direct to consumer offering and will close all accounts in Q2 of 2020.
The founder and chairman of Moven, Brett King announced,
“While our Enterprise business continues to see strong demand, marked by our recent multi-year deal announced with STC Pay based in the Kingdom of Saudi Arabia, the impact of coronavirus on our long-term committed funding pipeline has been impaired, unfortunately. Our plans for the spin-off of the direct-to-consumer business have had to be shelved as a result. It has become patently clear we need to focus our energies and our resources on the segment of our business where we can reach the most consumers moving forward, and that is our distributed smart banking and financial wellness capabilities.”
“The Moven brand now has the opportunity to represent patented financial well-being, available to enterprises of all types,”
according to Denny Brandt, Head of Moven’s US Strategy.
“Our patent gives us new competitive strength in a rapidly evolving B2B environment,”
he went on to say.
“We continue to be involved in ventures in multiple geographies where we power direct-to-consumer banking services.”
Moven users have received communications from the company on what to expect as they take steps to formally stop supporting the app and customer accounts in the US. The company expects the account closure process to take several weeks and will communicate with users as needed to ensure smooth account transitions.
Featured image credit: Brett King – founder and chairman of Moven, Screengrab from Youtube
This article first appeared on fintechnews.ch
