Most fintechs aren’t struggling because they lack leads.

They’re struggling because too many potential customers drop off after signup or because the never build lasting habits. This is a lifecycle problem, not a marketing one.

At allset agency, we’ve worked with up-n-coming and well established fintechs to design lifecycle strategies that drive revenue. Along the way, we’ve seen similar mistakes resurfacing in one form or another, and those can be grouped in 5 categories.

Here’s what they are and a few notes on how to fix / approach them.

1. Weak onboarding flows = leaky buckets

Many fintechs pour budget into acquisition, only to lose users in the first 7 days. You prospects sign up, browse around, click around, and leave before hitting their “aha” moment.

Why it happens: Founders assume value is obvious. Growth teams focus on features, not journeys. Product and marketing don’t co-own onboarding.

Fix:

• Map the first-use journey by behavioral milestones, not just UI clicks.

• Trigger time-sensitive nudges (email, in-app) based on inactivity or intent.

• Build for activation, not information.

2. Thinking retention is a CRM problem

Retention is often treated like an afterthought. A few emails and SMS messages. After a prospect becomes a customer, we may think that they'll stay a customer and we can relax. But retention requires cross-functional effort.

Why it happens: There’s no clear owner. Marketing “does automations.” Product “tracks churn.” No one drives a unified strategy.

Fix:

• Define lifecycle stages: onboarding, activation, habit, risk.

• Assign owners across Product, Marketing, and CX.

• Use coordinated systems and not siloed channels.

3. One journey fits one segment

Fast track vs guided onboarding? High-value vs. not high value? If everyone gets the same communication, nobody feels seen.

Why it happens: Segmentation feels complex. The data is messy. Teams default to “blast and hope.”

Fix:

• Start with 2–3 high impact segments (e.g., dormant users vs. power users).

• Base segmentation on behavior, not just static personas.

• Adjust messaging based on user intent and lifecycle stage.

4. Measuring what’s easy, not what matters

Teams still report open and click rates, but rarely connect lifecycle efforts to revenue, churn, or LTV. How can you tell with confidence that your efforts are eventually driving a positive financial impact?

Why it happens: No attribution model. Metrics live in silos. The data stack doesn’t reflect the actual strategy.

Fix:

• Choose one key metric per stage (activation rate, 30-day retention, etc.).

• Tie campaigns to product usage events.

• Use funnel and cohort views to track improvement over time.

5. Trying to scale lifecycle too early

Some teams go all-in on lifecycle flows before finding product market fit. Others wait until churn is a crisis.

Why it happens: No clear framework to decide when to prioritize lifecycle vs. growth.

Fix:

• <500 users: Manual nudges, founder led outreach.

• 500–5k users: Automate the top 3 flows tied to revenue.

• >5k users: Build a full-funnel lifecycle system.

Final Thought

Often there are too many opportunities to work on. When in doubt go back to the drawing board, and first of all take a look at the most critical business metrics. Are you leaving most money on the table because your user to do proceed past onboarding? Is there a big gap between sales and customer success delivery? Start with what hurts most and the rest will fall eventually in place.

Take aways.

• Redesigning onboarding can cut drop-off by 40%

• Retention isn’t a campaign—it’s a strategy

• A 5% increase in retention can drive over 25% more revenue

• Personalized in-app messages can boost 28-day retention to 74%