MOBILE BANKING

Left with few other options, Indians learn to love mobile banking

mobile-bankinganand "Indian customers are more likely to use a mobile banking app than their counterparts in the UK, Australia, and the UAE"
  • Avaya study details Indian response to e-cash, even as banks like Kotak Mahindra improve their online offerings by harnessing Aadhaar

Demonetization seems to have achieved at least one of its --belatedly—stated aims. Indians left with few other choices, have embraced mobile banking with an enthusiasm, matched by few other places in the world.

Specifically, Indian customers are more likely to use a mobile banking app than their counterparts in the UK, Australia, and the UAE. They are also more voluble when they encounter lousy service. Some 44 per cent will complain to friends and family, and on social media. More than a third (37 per cent) , will not hesitate to change banks

This is one of the revealing findings of a ‘Customer Experience in Banking’ survey carried out by YouGuv on behalf of global communications solutions provider, Avaya.

Indians have transited speedily from the old face to face banking: One in four Indian customers—26  per cent to be exact—use their bank's website and prefer a mobile app to talking with a human agent—a number higher than Australia (19 per cent), UK (21 per cent) and UAE (24 per cent).

When they are forced to attempt a contact with an agent, Indians seem to be getting a worse deal than the other countries surveyed: 32 per cent of respondents in India said they have been kept waiting on the phone for lengthy periods. So it is paradoxical that 93 per cent of Indians surveyed, professed themselves to be satisfied overall—the highest percentage where UAE  had the lowest number of happy customers at 83 per cent.

Indians have a 'we are like that only' attitude that is different in one interesting facet. Worldwide, customers don't generally want to be disturbed with unsolicited information like news about new services. The number of such 'don't call me, I'll call you' customers is highest in the UK (90 per cent). But nearly half the customers in India (47 per cent) welcome such information.

There are lessons for the banking industry in such findings, feels Vishal Agrawal, Managing Director, India and SAARC, Avaya: “With India being on the tip of digital revolution, organizations need to digitally transform to meet the ever-increasing demands of their customers—and banking is one of the leading sectors."

He warns: " Customers today are looking for elevated and seamless services, and if they don’t get them, they will look elsewhere. Banks needs to equip themselves with next-generation technology solutions, deliver actionable insights to enhance customer experience.”  

One possible solution that India-based banks need to consider: Virtual Financial Advisors (VFAs)–representatives from the bank who engage customers through virtual means and service them remotely with online tools.


Open a bank account—with Aadhaar and a mobile app.

aadhaarbank-account Aadhaar-based account opening from a mobile phone

Kotak Mahindra Bank claims that you can pour yourself a cup of coffee—and can open an account from your home, before it cools. We tried it. They're right. 

This week, they have broadened the process across multiple digital platforms—desktop, laptop, tablet or phone.

Kotak 811 is India’s first savings account that can be opened by just downloading the bank’s app and authenticating oneself with Aadhaar credentials and a One Time Password(OTP). In its latest iteration , the same can also be done even without downloading the app, via mobile or desktop browsers. The whole process can be completed in less than five minutes from anywhere—as long as you have a reasonable Internet connection. 

An August 20 announcement reassures potential customers that Kotak Mahindra continues to offer 6  per cent interest with its savings bank accounts, even as other banks further reduce the rate from 4 per cent to 3.5 per cent.

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Topics : #banking

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