FICO Named Top-Tier Software Vendor by APPS RUN THE WORLD in the APPS and CLOUD TOP 500 Market Report

FICO Strengths, Domain Expertise, and Key Differentiators

FICO stands as a vanguard in leveraging predictive analytics and data science to optimize operational decisions across various industries. With a robust portfolio of over 190 US and foreign patents, FICO pioneers technologies aimed at bolstering profitability, enhancing customer satisfaction, and fostering business growth. Their solutions span a multitude of sectors including financial services, manufacturing, telecommunications, healthcare, and retail, among others. FICO's global footprint extends to over 100 countries, where their solutions play pivotal roles, from safeguarding billions of payment cards against fraudulent activities to facilitating credit access for individuals. Moreover, FICO's contributions transcend conventional boundaries, ensuring the seamless coordination of millions of assets like airplanes and rental cars worldwide.

FICO Recent Developments

FICO, renowned for its applied intelligence solutions, unveiled the FICO Originations Solution in November 2021, leveraging AWS Cloud, marking a significant stride in automating customer journeys in loan origination. In May 2020, the partnership with OpenWrks aimed to enhance affordability assessments and collections activities

FICO Mergers and Acquisitions (M&A) Activities

The sale of FICO's Collection and Recovery business to Constellation's Jonas Software in June 2021 and the acquisition of GoOn LLC in December 2018 underscore FICO's strategic realignment.

FICO Customers in ARTW Customer Database

Leveraging a rigorous data-centric research methodology, APPS RUN THE WORLD asks the simple question: Who’s buying FICO applications and why? And we provide the answers – supported by decades of research – to our clients around the world. Our Customer database has over 100 data fields that detail company usage of FICO and other enterprise apps by function, customer size, industry, location, implementation status, partner involvement, Line of Business Key Stakeholders and IT decision makers contact details. List of Verified FICO Platform customers.

FICO Key Enterprise and Cloud Applications

FICO Platform

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FICO Direct vs Indirect sales

FICO Customers - Breakdown by Geo, Size, Vertical and Product

List of Verified FICO Customers

No. of FICO Customers: 10000

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FICO's comprehensive suite of scores, software products, and services caters to a diverse array of industries, showcasing a strong market presence across banking, insurance, retail, healthcare, and public agencies. Their clientele boasts a remarkable lineup, with a significant penetration among the top financial institutions globally. Notably, FICO's solutions are favored by three-quarters of the largest 100 financial institutions in the U.S. and worldwide. Furthermore, their reach extends to over 600 insurers, including the majority of the top U.S. property and casualty insurers, as well as an extensive network of retailers, government entities, and public agencies. Remarkably, eight of the top ten companies on the prestigious 2023 Fortune 500 list rely on FICO's solutions, underscoring their pivotal role in driving their success. Additionally, FICO's consumer solutions cater to a vast market, targeting over 200 million U.S. consumers with credit relationships reported to major credit reporting agencies, consolidating our influence in the consumer finance landscape.

FICO Market Opportunities, M&A and Geo Expansions

In fiscal 2023, FICO, a prominent player in the B2B scoring solutions market, maintained its position as the standard measure of consumer credit risk in the U.S. Their flagship FICO Score remained integral, alongside efforts to promote adoption of their most predictive scores, including FICO Score 10 and 10 T. Notably, international expansion initiatives saw the launch of FICO Score 10 in Canada, FICO Score 6 in South Africa, and FICO Score 4 and FICO Extended Score 4 in Mexico, indicating a commitment to global financial inclusion.

Moreover, FICO's dedication to enhancing consumer resilience was evident through the continued usage expansion of the FICO Resilience Index. This index complements FICO Scores by identifying consumers more resilient to economic stress, contributing to a comprehensive risk assessment approach. Additionally, FICO's focus on leveraging alternative data to generate scores for previously un-scorable consumers underscores their commitment to inclusivity.

In parallel, FICO pursued growth through a platform-first, cloud-delivered strategy within its Software segment during fiscal 2023. This strategic pivot involved exiting non-strategic products and services to prioritize the expansion of the FICO Platform's capabilities and market penetration. The transition from private data centers to external service providers further underscores FICO's commitment to leveraging technological advancements for scalability and efficiency.

FICO Risks and Challenges

Around 30% of total revenue stems from contracts with major credit bureaus Experian, TransUnion, and Equifax. A potential loss of any of these clients could significantly impact revenue streams.

The ongoing transition to cloud computing remains a key focus for the vendor, emphasizing its evolution from a credit scoring provider to a broader analytics and decision support technology firm. This strategic shift aims to fortify its position in the insurance and financial services sectors, safeguarding against potential incursions by competing Big Data solutions

FICO Ecosystem, Partners, Resellers and SI

The marketing strategy of the company revolves around direct sales through a structured organization focusing on specific vertical and geographic markets. Sales teams operate from headquarters and strategically positioned field offices globally. Additionally, the company leverages indirect channels, such as alliance partnerships and resellers, with a focus on expanding sales through the FICO® Platform. Significant resources are allocated to bolster indirect channel relationships, reflecting a commitment to this growth avenue.

The financial services sector stands out as the company's largest market segment, contributing 91% of total revenue in 2023. Geographically, the Americas represent the primary market, contributing 85% of total revenue during the same period.

FICO Cloud Infrastructure Insights

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• FICO Public Cloud and Infrastructure (IaaS)
• FICO Platform (PaaS)
• FICO Application Delivery
• FICO Private Cloud and Data Centers

Research Methodology

Data used in research reports are derived from publicly available documents, continuous surveys of applications vendors, customers, resellers, Independent Software Vendors, systems integrators and other verifiable sources.

Vendor shares and market forecast results are based on a combination of existing databases as well as demand side and supply side research conducted throughout the year with validation from vendors, customers, channel partners and documentations such as earnings releases and 10Q and 10K filings, vertical industry studies, regional and country-level statistics from public and private institutions(i.e. colleges, universities, government agencies and trade associations).

For additional information on our methodologies, here's the link: