SunTec

  In the last few decades, we have seen a plethora of technology giants offering solutions and services that have changed our lives in myriad ways. Technology has enabled us to get everything as per our convenience, right from cabs to movies and food to salon service, with the simple touch of a button. BigTechs (such as Facebook, Google, Apple, Alibaba, and Amazon) have joined the banking scene after overcoming regulatory difficulties, and banks now face increased pressure to meet customer expectations and deliver services as seamlessly as possible.   What’s more, the digital surge brought on by the pandemic has spurred the transformation in the financial services industry. BigTechs are delivering a better value proposition in many areas and garnering a high level of trust with consumers, thanks to their digital expertise, access to customer data and presence in the customer’s life events. The result? Earning customer loyalty has become more difficult than ever for banks. In f...

The future of community banking, with their roots dating back to as early as the nineteenth century. Well, a community bank is a depository institution that is typically owned and administered by residents in the area. A bank of this nature typically addresses the concerns and caters to the requirements of local businesses and residents. They make loan decisions based on a thorough awareness of local needs, as bank workers are frequently from the same communities they serve. Community banks focus primarily on agricultural and small company loans and have a high level of consumer confidence as their service offerings are focussed. According to the Small Business Credit survey, 79 % of small firms engaged with community banks were content with their services, while compared to 67% for large banks and 49% for online lenders. Community banks have long been a vital part of the banking ecosystem , ensuring that local economies thrive. But are they ready for the era of technology-driven banki...

  Banking has gone through a paradigm shift and is no longer the same as it was even two decades ago. Even before the   pandemic changed the way the world operated, 49% of banking consumers showed keen interest in Internet banking and 47% preferred mobile banking. 1 The outbreak of Covid 19 virus and the subsequent restrictions has only strengthened the consumer’s belief in digital banking, leading to 57 % of them preferring Internet banking and 55% opting to bank on mobile applications. With this, the entire concept of banking is changing as physical branches are now being replaced with applications. This technological change has opened new doors for consumers to gain control of their transactions. Banks need to re-evaluate their business models. The only way to tackle the changing environment is by putting customer behaviour at the heart of everything they do.   Transformation of Banking   The banking business model has lacked both, customer inv...

The banking sector has   been regarded as one of the most stable, with reliable returns on equity (RoE). The development of fintechs and the entry of tech behemoths into the industry has completely transformed the landscape. These digital native businesses have effectively used technology to address client pain areas, paving the path for a new era of hyper personalization, tailored services, and intuitive banking.   They have already smoothly integrated banking functions in areas such as e-commerce, social networking, gaming, digital entertainment, travel, health, and home-buying in many cases. Traditional banks are unable to maintain or improve their ROE as consumers' loyalties are shifting. According to McKinsey, global banking ROE was 10.5% in 2018 and 56% of banks across the world were not generating their cost of equity (CoE). Well, how can traditional banks then chart out a strategy for the disruption caused by the new entrants and how improve their RoE even under these ...

Retaining and Growing Customer Loyalty with Empathetic Banking banking on customer centricity, customer-centric solutions for banking, customer experience in financial services, customer-centric banking The customer is constantly evolving in every sector and banking is no exception. Wanting to be at the focal point of business and services, the modern-day customer is looking to go beyond the periphery of the system and gain control of their interactions by having hyper-personalized engagements and availing on-demand availability of services. The need of the hour for banks is to evolve with the customer, meet their changing expectations, and stand out even as they tackle fierce competition from fintech and technology giants. Digital transformation is the way forward. Especially now, as the outbreak of COVID-19 has made most banking organizations aware of the significance between digitalization and business continuity. In a post-COVID-19 world, banks will have to reinvent their operating...

  The world of banking was changing rapidly even before the pandemic hit. Customers wanted a different banking experience and fintechs were ready with their tech powered innovative offerings. Despite, the trust enjoyed by traditional banks, customers, especially the younger ones, were increasingly willing to try different and unique financial services that offered them choice, control, and  hyper personalized  services . And as the pandemic unfolded across the world, banking changed even more. Bad loans increased, loan applications reduced, and customer behavior changed. As social distancing became the norm, online banking went mainstream and early research indicates that this trend may be here to stay. Under these circumstances, traditional banks must reinvent their strategies and operational models to continue acquiring and retaining customers. The foundation of a new banking strategy must be based on customer centric relationship models – understanding what the custome...