Green Dot bags Walmart exec as part of bigger strategic overhaul
Green Dot, one of the world’s largest prepaid debit card companies, has landed a new executive vice president and chief product, strategy and development officer from Walmart.
The appointment shortly follows the firm’s designation of a new CEO, who is looking to change the strategic course of Green Dot by using its banking license to drive more profits.
The firm’s latest executive addition, Daniel Eckert, spent more than ten years at US retailer Walmart, with the last few years of his career dedicated to its digital acceleration, which saw him oversee the implementation of 64,000 automated kiosks, boost the Walmart app from 685th place to 2nd on the App Store, and develop new partnerships with FedEx, PayPal, Euronet and his new employer, Green Dot.
“While at Walmart, Daniel served as a catalyst for Green Dot’s creativity, always pushing for continued innovation on the programmes and platforms we support for this important relationship,” Green Dot’s president and CEO Dan Henry said in a statement.
Last October, the former Walmart exec led the creation and launch of TailFin Labs, a joint venture between the US retailer and Green Dot.
The fintech accelerator was designed to help start-ups develop solutions which integrate omni-channel shopping and financial technology for either consumers or businesses. Products can also be built on top of Green Dot’s Banking-as-a-Service (BaaS) platform.
Eckert, who also spent years at JP Morgan and HSBC, will lead Green Dot’s product and Banking-as-a-Service (BaaS) platform business.
“For a decade I had a front row seat to witness Green Dot’s transformation from a prepaid debit card company to a fintech powerhouse that was able to evolve not just the Walmart MoneyCard, but also the entire BaaS industry,” says Eckert.
“The combination of Green Dot’s technology platform, bank charter, and BaaS partnerships has created a financial services innovation ecosystem that is unmatched in the industry and I’m looking forward to realising its full potential.”
In March, the firm’s new CEO Henry was hired to revive Green Dot after its stock price fell by roughly two-thirds over 2019.
Since he’s been hired, shares in Green Dot have risen by more than 50%.
Henry, formerly CEO of Green Dot rival NetSpend, wants to change the rhythm of the prepaid debit card firm.
Instead of launching one product a year and marketing it, he wants to reduce marketing spend by offering more consistent product sets through its Utah-based bank subsidiary, which does business as Green Dot Bank, GoBank and Bonneville Bank.
“I think what you’re going to see is kind of a philosophical change in the approach in terms of consumer marketing,” the new CEO said in Green Dot’s first-quarter earnings call.
Currently Green Dot works with companies like Uber and Apple to offer banking services to these firms’ customers, and its bank offers an attractive unlimited debit card which offers 3% cash back on online purchases and a 3% yield on savings of up to $10,000.