This has certainly been a frustrating ride, it sure seems like they have a product that fits a need. Can they monetize it, and how fast to ramp?
The 92 percent, said Clark, refers to a result seen working with a payment processor needing verification, who switched to Mitek to verify documents in real time. The process that had been previously in place resulted in a decline of six out of 10 users. Simply put, that payments processor’s systems had not covered demographics well.
“Oftentimes,” explained Clark, these mobile-savvy users “are younger users, such as millennials” or underbanked. An optimal solution must be inclusive, and most users do indeed have identity documents. Now, that same processor is able to say “yes” to more than nine of 10 users in seconds or minutes.
Another good find. As you point out MITKs product seems superior. More impressive to me is what 440MM & 1.8B say about the total addressable market. I’m glad they’ve decided to focus their verification products & services in the direction of mobile banking. It’s one of those mega trends.
While I understand Bear’s concern about valuation in his post above “why I sold,” as well as your comment on swiftness to ramp, I can be patient while MITK uses more expense money on Marketing and R&D. This fast to ramp idea; how important? How to measure? It reminds me of my top gainer ELLI. I think it took them a few years.
Who doubled down on MITK early this week.
Community Fool - Ticker Guide for Industrial stuf. I appreciates the tech and other ideas here, especially others’ opinions.