My Observations from Client Calls This Week – A Narrative by Matt Slonaker, Chief Revenue Officer at Ensemblex

This week, I’ve had the exciting opportunity to engage with a prospective lending client, and I’m thrilled to share what I’ve uncovered as Matt Slonaker, Chief Revenue Officer at Ensemblex. These conversations have given me a front-row seat to their business challenges and ambitions, and I want to use this as an example of how we can drive transformative results for you, our potential new client. Here’s the story of what I learned, why it matters, and how Ensemblex can turn your challenges into a revenue-boosting, risk-mitigating success story.

It all kicked off on Monday with a planning call alongside their project lead—a forward-thinking leader eager to fuel aggressive growth while keeping risks in check. As we chatted, I could feel the pressure they’re under: with interest rates climbing and economic uncertainty looming, their default rates have edged up to 3.2%, just above their 2.5% target. They shared some initial materials—a loan tape with FICO scores and loan amounts, plus a 2022 credit policy doc that hadn’t been updated. I skimmed it during the call and noticed it lacked insights on recent market trends or alternative data. When I asked about their underwriting model, their data science lead revealed it’s a three-year-old logistic regression built on just 20 variables. I saw a red flag—but also a golden opportunity. For you, this could mean untapped revenue if we modernize your models with techniques like Gradient Boosting Machines (GBM) to approve more creditworthy customers.

Tuesday brought me into a lively discussion with their head of marketing and acquisitions. Over a virtual coffee, they described their target market: 30-50-year-olds with incomes over $50k, reached through digital ads and partnerships. They’re proud of a 10% conversion rate, but the cost per acquisition has risen to $150, and credit performance is slipping. I probed about their marketing models, and they admitted to using basic segmentation—no predictive analytics. I jotted down a note: “Perfect chance to optimize channels with AI scoring.” They’re excited to test small-ticket loans in underserved regions, and I could see the potential—maybe $1M-$5M in new revenue for you, depending on your portfolio size. This is the kind of growth opportunity we can unlock together.

By Wednesday, I was deep in the weeds with their credit strategy team, tracing their lending lifecycle. Their underwriting process felt sluggish—manual overrides are stretching decisions to 2 seconds per application, and 20% of preapprovals are being declined. They showed me loan performance data with NPV models, but the assumptions haven’t been revisited in over a year. I asked about monitoring, and they pointed to a monthly Excel update—far from real-time. I felt a twinge of concern, knowing this leaves them vulnerable. But their goal to cut losses and boost approvals sparked my optimism—we can build you a dynamic dashboard tracking KPIs like AUC and PSI, driving efficiency and profitability.

Thursday’s call with their collections lead opened my eyes. They’re using an auto-dialer for delinquency buckets, but cure rates hover at 30%, and they’re not using models to prioritize outreach. They mentioned three years of internal data plus bureau feeds—untapped potential I could almost taste. I envisioned a proactive collections strategy tied to delinquency stages, which could slash your losses by 10-15%. For you, this could mean millions in preserved revenue, depending on your loan volume.

Friday wrapped up with their tech and compliance teams. Their Loan Origination System (LOS)—Ellie Mae—is solid, but integration with modeling is spotty, and their data warehouse is a patchwork of silos. The compliance lead flagged ECOA concerns, citing near-misses with fair lending audits. I nodded, confident our fairness analysis can shield you from fines that could top $100k. Their credit team, though small, is dedicated, but their hiring process lacks focus on analytical talent. I saw a chance to build your team’s capabilities with training, fostering a data-driven culture that accelerates decision-making.

Reflecting on this week, I’m energized by what this client—and you—can achieve with Ensemblex. They’re at a turning point, much like you might be, with a strong foundation—clients like Axis Bank and investors like Andreessen Horowitz in their network—but held back by outdated models and processes. As the Chief Revenue Officer, I see us delivering a CRD that benchmarks your operations against the best, moving your underwriting from “Average” to “Advanced,” cutting decision times by 50%, and reducing defaults by 10-15% with upgraded models. Imagine a “Credit Risk Compass” with a tailored roadmap: quick wins like testing small-ticket loans to unlock revenue, and long-term innovations like AI-driven pricing for a 20% ROI. Our monitoring tools will keep you agile, adapting to market shifts and maximizing your bottom line.

This is the value we bring—turning challenges into a competitive edge that drives revenue growth, mitigates risk, and positions you as a market leader. For this client, the next step is a kick-off meeting in April to dive into their data and align on goals. For you, it’s the same—let’s schedule your kick-off, share your loan tapes and policies, and start building your success story. What do you say? Ready to partner with Ensemblex and see the difference?