For its new services such as digital and T24, Maveric Systems is planning to expand its footprint in Europe and the USA. While most of the revenues come from APAC, ME and UK, it has already made investments to take its set of service offerings to Europe and North America. In line with this thought process, the company has established the required sales organization, specialized services development and product partnerships in these regions to accelerate new client acquisition. Ranga Reddy, CEO and Co-founder of Maveric Systems, shares more about the company and its future roadmap.
What is the current revenue and what is the split between the legacy and the new business?
In 2017-18, Maveric Systems successfully transitioned from a single service focused company with an assurance-only model to one that is technology-driven with specialised competencies across data, digital, T24 and QA. As of March 2019, new services namely digital, data and T24, have contributed 20 per cent to the overall revenues. We have closed the FY 2018-19 with a revenue of Rs 337 crores – an increase by 44 per cent over FY 2017-2018 and an estimated EBIDTA of 16 per cent. Also, Maveric is well placed to achieve an overall revenue of over Rs 430 crores in FY 2019-20. Our QA/QE services with a base revenue of over Rs 290 crores in FY 2018-19 continues to have a 20 per cent growth trajectory for the coming three years. Data, digital, T24 and telecom, which constitute 20 per cent of the overall FY 2019-20 revenues, are poised to grow its pie to over 40 per cent in the next three years.
Maveric, which used to categorise customers on the basis of their asset value, has now switched to segmenting them on the basis of their ability to disrupt their business models to be leaders in the open financial ecosystem. We have identified priority and key customers, categorised primarily on the basis of being global or regional banking leaders, which account for 80 per cent of the company’s revenue.
What are the different product and service offerings of Maveric Systems; and what are the company’s focus verticals?
We are committed to enabling banks to achieve faster time-to-market, open banking adoption, and agility through bi-modal approach, integrating legacy back-end and digital front-end. Our services span across data, digital, core banking, compliance and quality engineering, thereby enabling our clients to drive business agility and velocity. We are focused on the banking space since inception and we work extensively with global and regional banking leaders, challenger banks as well as fintech companies. We also have data, digital and QA services being offered to telecom operators.
How is digital transformation impacting customers experience in banking sectors?
Changing customer behaviour, increasing expectations, omni-channel experience, rise of fintech companies with the ability to redefine customer experience and speed, have brought along what we call the ‘digital arms race’ in banking. At one level, digital transformation provides banks entry to new customer bases and it also offers enhanced visibility into consumer behaviour through advanced analytics of structured and unstructured data, enabling them to find or create the most suited products for their customer. The power of analytics and the availability of rich data sets about customer behaviour have taken personalisation to the next level by sharpening customer experience further. Banking leaders are also moving beyond traditional business models, to areas like partnerships with fintech companies and financial ecosystem players to accelerate superior customer experience.
Which are the new technologies that have had a serious impact on banking processes?
In my opinion, AI and analytics are having the most impact on the banking industry. Using these technologies, banks are trying to focus on hyper-personalisation at scale and are trying to transform customer experiences. Open Banking is accelerating digital transformation across the global banking industry. Banks are focusing on delivering customer-centric solutions using new business models and open services. Micro services and APIs are driving agility along with innovative ways to collaborate.
Cloud computing has made inroads into the banking sector, but adoption has been slow. Owing to the sensitive nature of data, banks have been wary of adopting cloud solutions, especially public and hybrid clouds.
Finally, the importance of data cannot be over emphasised. With the banking landscape witnessing multiple M&A scenarios and omni-channel experience being key to retaining and acquiring customers, the ability to integrate, exchange and leverage data across multiple systems is paramount.
