Driving a digital transformation is a comprehensively complex task for any business. The challenge is not as much in becoming ‘digital’ as in delivering the level of customer-centricity and value that the modern customer finds worth trusting and paying for. For business like Fintech or Banking, it all comes to focusing on customer satisfaction towards upscaling annual revenue.
Digitization has shaken up the old order, and is rewriting the rules of how banks compete. As given the mere past and present situation of technological fluorescence. Banks are no longer just competing with other banks and fintechs. But also the likes of Apple, Facebook, Amazon Prime, Microsoft or Uber as far as digital interactions and elevated expectations go.
Every contact made with customer is counted. If focused at its core, digital transformation is about elevating the customer experience and adapting to their changing expectations by creating new ways for them to bank. However and whenever they like. It means rethinking the customer journey inside out by understanding where pain points exist, and identifying ways to make every step and touchpoint in the customer life-cycle streamlined, consistent, and contextualized. So that, when time comes for loyalty, retention and ROI, the scale goes upward. Take for the massive bloom of a South-East Aisa’s emerging banking service provider, the City Bank is growing upwards with it’s launch of mobile banking application, “City Touch”.
In order to achieve this, fintechs and banks need to go far beyond building digital capabilities on the front-end. It calls for one Integrated digitized banking ecosystem. Businesses need to actively leverage emerging technologies on the back end. So that they can streamline processes, massively scale their operations, employ smarter analytics, remove silos, and innovate to create the type of personalized experiences that customers expect.
On the other hand, leaders of banks and fintech business increasingly realize that they need to embrace the habits of digital-native companies: for instance, pursue agile development, host hackathons to foster greater digital collaboration or open up their application programming interfaces to survive and thrive in an open banking ecosystem.
Internet Banking Transformation for Revenue Growth
Digital engagement is becoming easier, prompting even more banking customers to switch from physical structures to new sales channels. In fact, Forrester predicts most financial organizations will not see half of their customers or clients in 2018.
The outlook on mobile payment revenues is even better. The total value of mobile payments are calculated to rise to $930 billion worldwide from about $780 billion in 2017 and only $450 billion in 2015. The prediction is about revenue growth influenced by digital alone will jump to 12% in 2018 from 5.3% in 2015, unlocking about $180 billion per year, Cognizant and Roubini Global Economics say. By the year 2022, total whopping of 3569.45 million user will be active in financial transaction using any of the digital system.
The figures are high only because, the customer demand and stronger competition are forcing banks and fintech business to splurge out on digital transformation, specifically in retail banking development, cloud systems, artificial intelligence and robotic process automation (RPA) as well as the internal administration of the business structure.
Internet Banking is more to digital than just an APP
The role of a technical leader of a transformative fintech or banking business is not only overseeing the bank’s apps and website while the digital transformation cover more to that.
From business preview, going Digital is not just about technology, it’s about making things super super seamless, removing all friction from the process, getting rid of paper. Ultimately that’s what customers want, and it’s what the businesses require so they can spend the time having great quality conversations about the things that matter with their customers.
It’s not really the big things that customers think back and remember, it’s the little things you see that really matter. The little anecdotes that come through. With the launch of a Internet Banking (IB) app does not put the end of the transformation. It’s more about an APP: An Integrated Digital Banking Ecosystem.
Digital is a complete transformation of the fabric and foundations of the organisation and, until you realise this, you are letting your organisation stuck on horizontal ROI.
Taking example of South-East Asia’s one of the most influential and award winning digital banking provider, The City Bank has witnessed rapid growth in its internet banking use in the last couple of years. Seeing the astronomical demand, it introduced the City Touch, a digital banking app for its consumers. The bank alone has transacted BDT 1,500 crore through its internet banking window, City Touch, in 2017 and the number of transactions grew by a whopping 90 percent to BDT 10.5 lac the previous year. (Source: the Daily Star)
“Through unveiling CityTouch, a new digital banking platform, The City Bank achieved 89% growth in transaction during 2017“- says FinanceAsia
The figures are as impressive as the digital transformation brought into the organization and its operation by the Head of Alternative Digital Channels of City Bank. A transformed banking ecosystem was created with digital solutions for Mobile banking, Core banking and maintaining an omni-channel bridge between the City Bank and its customers. With such a well-designed and integrated digital banking system, the City Bank has experienced the highest revenue within it’s last 25 years of operation.
It’s always the customer to lead the way in setting the bar for exceptional digital banking that embraces technology in all forms. Aside from heightened expectations by digital-savvy users, much of the decline stems from the inability of FIs to capitalize on foundations. They’ve built with their digital solutions. In 2018, it’s apparent that digital transformation must be an essential element of their investment strategy to stem off a wave of competition from FinTech disruptions in addition to their fellow banks. To learn more of our digital banking services contact our experts 24/7. Our portfolio enrich to move you through the success stories of our distinguished clientele.