Banking Innovation of the Month: ‘For Funding’ by Intesa Sanpaolo

Innovation of the month

09 August 2019

Efma-Accenture’s Banking Innovation of the Month award for August 2019 goes to Intesa Sanpaolo for ‘For Funding’, a unique platform that is changing the crowdfunding scene by merging both lending and donations.

As the leading Italian Bank, Intesa Sanpaolo recognized its impact on society, and hence sought to become more socially responsible through concrete and meaningful actions within the community. At the same time, the bank became aware of the rising importance people were giving to social engagement and their desire to actively contribute to community projects.

In this direction, the bank developed a unique crowdfunding platform, called For Funding, dedicated to non-profit associations that aspire to start social projects involving a broad-based community of active donors. Through this online platform, individuals and companies alike can truly support social causes and projects run by non-profit organizations that are close to their heart.

This pioneering solution is changing the rules of crowdfunding by financing social projects with no fees. In addition, it is the first platform – both in Italy and internationally – to combine social lending and donation into a single disruption solution. Alternatives so far have only focused on one or the other.

The results so far have been more than impressive. As of the beginning of July 2019, 23 MN EUR of community loans had been raised and 2.3 MN EUR of funds had been donated, making the platform the 7th and 3rd place for donation and lending in the Italian landscape, respectively. In total, the platform has helped fund 152 different projects, thanks to financing from 1,865 lenders and 14,536 donators.

Moreover, individual donations from Italy increased by 9.5% in 2018 compared to 2017, and online donations increased from 15% in 2016 to 18% in 2017 (compared to SMS). In light of this success, Intesa Sanpaolo is motivated to become the leading social-digital lender – a point of reference in the domestic and international crowdfunding scene.

For Funding was developed with the involvement of the bank’s Marketing and IT divisions over nine months in 2017. The second phase of the project was to integrate a previously existing lending platform called ‘Terzo Valore’, which is no longer available in a stand-alone solution but is fully integrated into the new platform. This phase was carried out from December 2018 to May 2019, after which For Funding went live.

To guarantee a rapid time to market and provide a best-in-class user experience, Intesa Sanpaolo outsourced and cooperated with a qualified external provider to build and run the platform. On the other hand, the bank takes charge of all business aspects of the platform, overseeing for example the selection of the most relevant social projects and the relationships with non-profit associations and foundations.

Intesa Sanpaolo’s crowdfunding solution will be automatically selected as a nominee for the Efma-Accenture Customer Insight & Growth Awards 2019. Submit your innovations on the Efma Customer Insight & Growth portal until 6 September. Participation is free of charge and open to all banking institutions.

Keywords : Corporate social responsibility (CSR) , Crowdfunding , Digital/Mobile channels , Credit

Geography : Italy