BFC Bulletins Monthly News Digest
Tags Customer Experience Digital Banking
Customer adoption of digital banking channels is growing steadily across the Asia–Pacific region, making digitization increasingly important for driving new sales and reducing costs. A recent study identified three counter-intuitive findings that banks need to consider:
- Banks can (and should) excel in their digital offerings despite any actual or perceived limitations in the digital maturity of the markets they serve.
- Having a relatively small base of active users does not necessarily mean low traffic.
- There is wide variation in the performance of key metrics by country in the region.
What this means for banks in emerging markets is that they have an opportunity to leapfrog to digital banking. Despite gaps in technology and smartphone penetration, a number of banks in emerging markets have been able to tap into consumer segments eager to adopt digital channels. These banks should prepare for rapid consumer adoption of digital channels. For banks in highly-developed markets, there is room to grow in terms of active user base and digital sales. In fact, banks in these markets that fail to adapt could face weaker market positions relative to those that do. In short, the digital revolution is here, and all banks should plan for this transition, especially by integrating diverse technology platforms, consolidating customer data across multiple channels and continuously analyzing customer behavior to identify real-time needs.
