Samsung, KB team up for financial 'super app'

A promotional image of Monimo, a mobile app jointly developed by financial affiliates of Samsung / Courtesy of Samsung Financial Networks

Samsung Financial Networks, a joint brand of Samsung's financial affiliates, has partnered with KB Kookmin Bank to attract more users to its mobile app, Monimo. The market anticipates a significant impact from this collaboration between Samsung, a leader in the non-banking finance sector, and KB, the top-ranking bank in Korea.

Samsung Financial Networks recently announced that KB Kookmin Bank has been chosen as the preferred partner to activate its "super app," Monimo, where customers can access all of Samsung's financial services at once.

In March, the network sought cooperation from various banks, with KB Kookmin Bank, Hana Bank and Kbank expressing their intention to participate. These banks then competed for the partnership with competitive pitches.

Following the contract signing, Samsung Financial Networks and KB Kookmin Bank will undergo a designation process by the Financial Services Commission for innovative financial services, aiming to launch a new service by the end of the year.

The new service is expected to incorporate KB's deposit and withdrawal account into the app. With this account integrated into Monimo, users will be able to directly pay expenses such as bills from Samsung Card or insurance premiums from Samsung Fire & Marine Insurance, without the need to preload funds.

Monimo is nearing its second anniversary. Despite the ambitious launch, the absence of banking services has been a significant drawback to the app. It made efforts to enhance user engagement through the introduction of exclusive financial products but failed to attract a significant number of users.

With a monthly active user count of approximately 4 million, Monimo lags behind competitors such as Naver Pay, Kakao Pay and Toss, each boasting over 10 million users.

Samsung Financial Networks is seeking to expand its customer base through its partnership with KB Kookmin Bank, which is renowned for its robust retail banking services. KB Kookmin Bank leads among commercial banks with the highest number of monthly active users, at 12.2 million.

Earlier, Naver Pay partnered with Hana Bank to launch a deposit product, while Kakao and Toss have each ventured into the internet-only banking sector.

The collaboration is expected to intensify competition in the mobile financial market, which is dominated by big tech firms.

"Through this partnership, Samsung can not only enhance its super app, Monimo, but also provide KB Kookmin Bank a prime opportunity to acquire new customers with its support," an industry source explained.