CRACKING LATIN AMERICA - WITH SCOTIABANK AND BANCOLOMBIA - Verdict
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April 2017 Issue 736 www.retailbankerinternational.com
CRACKING LATIN AMERICA
WITH SCOTIABANK
AND BANCOLOMBIA
● OPINION: Customer Service
● DISTRIBUTION: Skipton Building Society
● RESEARCH: Mobile & Fintech
● GUEST COMMENTS: GFT, Collinson Group & Tola
RBI 736.indd 1 20/04/2017 10:43:23
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IE Adverts - 2017.indd 1 21/12/2016 11:53:12
Retail Banker International EDITOR’S LETTER
CONTENTS
2 AWARDS: RBI ASIA TRAILBLAZERS
RBI takes a look at the 8th annual RBI
UK right-sizing accelerates:
Asia Trailblazer Awards, sponsored
by Tagit Mobile, as well as the Digital
the definitive RBI branch ranking
Banking Club’s upcoming Power 50
3 DISTRIBUTION: SKIPTON BUILDING
SOCIETY
Skipton has partnered with retail
and design agency M Worldwide to
M
devise a future vision for its in-branch
experience. Douglas Blakey writes ore than one in four U K bank By contrast, CYBG has accelerated its clo-
branches (26. 3%) have been sure programme since gaining its independ-
4 RESEARCH: FINTECH
shuttered in the past five years, ence from National Australia Bank.
Six-in-10 UK financial firms believe that
up to 40% of their revenue could be lost and the new year has kicked off Clydesdale-branded branches, currently
to standalone fintech firms. Is defeat a with more of the same. totalling 111, will reduce to 71 later this
foregone conclusion or is there a way for
banks to fight back? Patrick Brusnahan
HSBC, TSB and Clydesdale/Yorkshire year, down from 152 five years ago. Sister
reports have all announced fresh branch closure brand Yorkshire will reduce from 137 to 99
programmes, resulting in total UK branch over the course of 2017; the brand had 178
5 DISTRIBUTION: SCOTIABANK
numbers set to fall from 11,000 in 2011 to branches in 2011.
Scotiabank is rolling out a digitally
enabled customer-centric branch design below 8,000 in 2017. In percentage terms, the beleaguered Co-
across its Latin American and Caribbean Ranked by brand, Barclays retains the operative Bank has been the most aggres-
(LAC) operations. Robin Arnfield talks
to Katherine Hayward, vice-president of
largest presence on the high street, starting sive closing more than seven in 10 branches,
customer experience and retail banking 2017 with 1,309 outlets, down a net 424 shrinking from 354 to 105 units.
units or 24% since 2011. Bucking the trend, Sweden’s Handelsbank-
8 GUEST COMMENT: COLLINSON GROUP
HSBC has seen the most aggressive branch en has doubled its footprint to 207 branches
Will the future driven by digital first
strategies? Can banks move fast closure of the Big Five banks, down from while Metro Bank is on target to reach 58
enough? Or will legacy systems prove 1,286 in 2011 to 728 with plans announced stores by the end of 2017; it remains com-
their undoing? Christopher Evans,
director at Collinson Group, writes
to shrink its network to 625 during 2017 mitted to the store format and is aiming to
meaning a reduction of 51% in its branch reach 100 by 2020.
9 STRATEGY: MEXICO numbers in the past five years. Over the next five years, Lloyds Bank-
Latin America’s third-largest economy Santander – down from 1,177 to 841 – ing Group’s 2,038-branch network across
could slip into recession if US President
Donald Trump’s toxic cocktail of threats has reduced its network by 28%. its three high street brands offers consider-
to upend the North American Free Trade Of the Big Five banking groups, the UK’s able scope for rationalisation. Its ongoing
Agreement or impose heavy tariffs
on Mexican exports come true. Ivan
largest retail bank by market share, Lloyds successful drive for digital channel growth
Castano investigates Banking Group, has been slower off the – 12.5 million active online customers, two
mark in axing branches. billion online logins in 2016 – will be used to
10 DISTRIBUTION: NEQUI
Only 12% of Lloyds-branded branches justify further channel optimisation.
Designit has partnered with Nequi bank
in Colombia to go 100% digital. The have closed since 2011, down from 1,302 to The release of Lloyds 2016 results con-
bank is creating offerings for millennials 1,140, while challenger brand Halifax has tained a number of interesting digital
who are starting to drift toward a post-
app world. Douglas Blakey reports
only inched down a net five outlets to 657 metrics: both evidence of success and scope
units. North of the border, Bank of Scotland for further improvement.
12 OPINION: CUSTOMER SERVICE has closed less than one in five units, from Only 37% of LBG’s total current accounts
With the Seven Day Switching Service 295 to 241. are opened via digital channels – albeit up
in full effect, losing a customer is
more likely than ever. How can a bank Arguably, Royal Bank of Scotland faces from 18% a mere two years ago; LBG also
differentiate itself in such a crowded the biggest branch headache in the light of has scope to improve its flow volume of new
market? Customer service could be the
answer. Patrick Brusnahan investigates
its failure to hive off the Williams & Glyn accounts opened digitally as a percentage of
business unit of 280 RBS-branded branches the market volume of all digitally opened
14 GUEST COMMENT: GFT in England and Wales. accounts. By the last metric, it has only a
Digital initiatives remain a priority It has successfully downsized the NatWest 16% share of new credit cards and 21% of
for retail banks seeking to meet the
challenges of new regulations, start-ups footprint from over 1,500 to 1,058, and in consumer lending.
and changing expectations. Christian Scotland reduced the network from 336 to If LBG is to hit its cost-income ratio target
Ball, head of retail at GFT writes
below 200. of around 45% by the end of 2019, from
15 RESEARCH: MOBILE A total current network across the two its current 49%, it seems inevitable that the
Are digital services an opportunity or a RBS brands of over 1,500 seems implausi- LBG branch network will shrink by several
burden for banks? Patrick Brusnahan bly large, given the bank’s current ambitions. hundred outlets.
reports on what the sector needs to do
Of the challengers, TSB will have closed
20 GUEST COMMENT: TOLA only 10% of the branches carved out of
PSD2 will have a far-reaching impact on Lloyds TSB by later this year, while the larg-
digital commerce. The integration of
third-party providers into the regulatory est mutual Nationwide is down only a net 20 Douglas Blakey
framework will increase transparency units to 691 since 2011. Douglas.Blakey@retailbankerinternational.com
and security, writes Simon Pepper
www.retailbankerinternational.com April 2017 y 1
RBI 736.indd 1 19/04/2017 17:03:05
AWARDS: RBI ASIA TRAILBLAZERS Retail Banker International
The 8th annual Retail Banker
International Asia Trailblazer < FULL LIST OF WINNERS
Awards Excellence in Mass Affluent
Banking
Kasikorn Bank
Excellence in Service Innovation Citi Malaysia
A record number of entries, categories and a full house at the Excellence in SME Banking Maybank
Parkroyal on Pickering, Singapore for the 8th annual Retail Banker Malaysia
International Asia Trailblazer Awards sponsored by Tagit Mobile Best Initiative in Financial Citi Malaysia
T
Inclusion
he top institutional award was • Digital Financial Services Rising Stars
Best Mortgage Offering Krungsri
snapped up by DBS recognised as
RBI Asia Trailblazer of the year: • Digital Innovation in Collections Best Loan Offering RCBC Bankard
in all DBS scooped five of the 32 Best Bancassurance Product Bank
awards on offer. • Digital Innovation in Vehicle Finance Muamalat
The major individual award was collected Outstanding Investment Service Citi Singapore
by Andrew Chia, head of retail banking at October 19th, London – Retail Clients
Standard Chartered, Singapore. The winners will be announced in a supple- Best Card Offering Stand Chart
The awards recognised outstanding finan- ment in the September/October edition of RBI Singapore
cial institutions for their trailblazing innova- and will be invited to receive their awards at Excellence in Loan Origination ANZ
tion and superior service standards in the the October Live Debate. The debate will be Singapore
past year and were presented by Douglas held on Thursday 19 October at the Law Soci- Excellence in Client Onboarding DBS Bank
Blakey, group editor consumer finance, Ver- ety, London. and Communication
dict and Richard Fahy, Regional Director
Excellence in Business Model BTPN Bank
APAC, GlobalData plc. Nominations Innovation (Misys)
“Innovation is a key core to the DNA of Nominations are sought initially from mem-
Dynamic Third-Party Partnership DBS Bank
DBS. The bank has blazed a trail in terms of bers of the DBC plus readers of RBI. Nomi-
its digital transformation strategy, recognis- nations are to be sent directly to Douglas Excellence in Customer Axis Bank
Centricity (Tagit)
ing that digital is not a threat to the banking Blakey – douglas.blakey@verdict.co.uk
sector but a tool of cooperation to innovate before 12th May 2017. Best Social Media Marketing Kasikorn Bank
products and services,” said Blakey. They should include a full name, job title, Campaign
Other notable multiple-award winning company, and a URL to a LinkedIN profile. Best Digital Marketing Campaign Citi Malaysia
banks included Maybank, Citi, UOB, Stand- Excellence in Internal ANZ
ard Chartered and Kasikorn Bank. Judging Panel (to date): Communications Singapore
Douglas Blakey, editor of RBI and chair of the Excellence in Social Media and DBS Bank
The Digital Banking Club Launches the 2017 Digital Banking Club is acting as chair of the Customer Relations & Brand
European Power 50 Awards – Nominations judging panel. Engagement
Now Sought Other confirmed judges are: Best New Product, Service or Siam
The European Digital Financial Services Innovation Commercial
Power 50 winners will be made up of influen- • Alessandro Hatami, Founder, The Best Marketing Campaign – Citi Malaysia
tial thought leaders working in digital within Pacemakers & ex-Innovation Director, Overall
financial services companies, regulators and Group Digital, LBG
Most Innovative Branch Stand Chart
analyst houses. The judging panel will also Offering Korea
consider nominations for recognised innova- • Daryl Wilkinson, Managing Director,
Innovation in Service Delivery UOB
tors and industry influencers. DWC
– ATM Singapore
The European Digital Financial Services
5 Rising Stars are compiled of digital inno- • Fred Crawley, Chair of the DBC for Excellence in Internet Banking CTBC Bank
– Overall
vators aged 35 and under who are making Collections
changes in the way their financial services Excellence in Internet Banking – DBS Bank
Cross Border
organisations are operating. • Jerry Mulle, Director of Customers,
This year we have introduced two new Intelligent Environments and Co- Excellence in Mobile Banking – UOB
awards as a result of the DBC expanding into Founder, DBC Overall Singapore
new verticals, the Collections and the Vehicle Excellence in Mobile Banking – UOB
Finance industries. Therefore, out of the Power • Jonathan Minter, Chair of the DBC for Customisation Singapore
50 winners, one will be recognised for Digital Vehicle Finance. Excellence in Multi-Channel Citi Singapore
Innovation in Collections and one for Digital Integration
Innovation in Vehicle Finance. • Roy Vella, Digital Expert & Consultant. Best Graduate Employment Alliance Bank
One Power 50 winner will be awarded Scheme - Retail Banking
Personality of the Year in recognition of out- Note on exclusions: We are not seeking Best Staff Training and Maybank
standing service. nominations for journalists, PRs or individu- Development Programme Malaysia
The Award Categories in 2017: als working for payments providers, unless Best Bank in Community ESUN Bank
their work is part of a broader digital finan- Outreach Initiative
• Personality of the Year cial service, mobile platform or back office
Institution DBS Bank
technology supplier. Nominations by these
• Digital Financial Services Power 50 groups on behalf of others are welcome.< Individual Andrew Chia
2 y April 2017 www.retailbankerinternational.com
RBI 736.indd 2 19/04/2017 17:03:06
Retail Banker International DISTRIBUTION: SKIPTON BUILDING SOCIETY
Skipton rolls out branch concept catering for over 50s
The UK’s fourth-largest building society by assets, the Skipton, has partnered with retail and design agency
M Worldwide to devise a future vision and flexible framework for its in-branch experience, environments,
and communications. Douglas Blakey reports on the developments and their results
T
he location: Guildford in Surrey and in-life’ perspective – it’s a homely place that’s
the financial institution: Skipton much more proactive, open, and welcoming.
Building Society. Not perhaps the It celebrates the fulfilment of those hopes
most likely combination for one of and dreams that had to be put on hold whilst
the more interesting branch projects of the focusing on career or raising the family.”
year. Holden adds: “Customers feel valued
The Skipton, the UK’s third-largest build- and appreciated in this relaxed environment,
ing society by branches (95) and fourth-larg- allowing them to engage with our colleagues
est by assets (see tables) has spent the past and remain open-minded about financial
18 months working with retail and design arrangements that can help them achieve
agency M Worldwide to craft a new their retirement dreams.”
branch concept. The pilot branch offers cus- culture we wanted to bring into the branch
In February, a pilot branch tomers a clear view of what in a bright friendly welcoming and hospita-
opened its doors with big is termed the ‘Ideas Kitch- ble environment.”
ambitions: to redefine the en’. Just like the kitchen He added that the branch staff are key to
idea of retirement. is the heart of the home, making the project work.
Lee Holden, division- the Ideas Kitchen is at “It is always a big challenge on projects like
al manager at Skipton the heart of the concept this, not just in banking, but the staff service
Building Society says: branch. levels and their approach have been brilliant.
“We’ve always had brilliant Martin adds: “The It helps that a lot of what we have done is
existing customer service domestic setting – with supporting is what was there already.”
scores, but our challenge was items such as globes and As Skipton continues its rollout of the new
how to encourage more people travel books that staff can use concept, a scalable kit of parts allows it to
across the threshold, then inspire as conversation starters – combine retain the spirit of the Ideas Centre concept
and engage those people to help fulfill their with gestures like starting every chat with no matter the branch size.
hopes and dreams.” a cup of tea, just as one does when visit- Martin concludes: “We need to be inven-
With a range of specialist financial prod- ing friends. This results in an environment tive in how we create these environments to
ucts, this mutual organisation largely caters that encourages discussion, to help people support the right experience without throw-
to the over 50s. In light of the changing unearth and fulfil their later-in-life desires. ing a whole lot of money at it.
needs of its customers, staff, and technology, “At Skipton, the tea-making ritual is one “There is scope to import elements of the
Skipton tasked M Worldwide with devising of those key gestures. People used to congre- Guildford pilot in other branches – not all
a future vision and flexible framework for gate around the fire, then they congregated branches will have a full refit – but we need
its in-branch experience, environments, and around the TV, but they’ve always congre- to be pragmatic about the elements that can
communications. gated around a cup of tea. That’s the sort of be dropped in.”<
David Martin, joint managing director at
M Worldwide told RBI that retirement holds
n TOTAL GROUP ASSETS BY SOCIETY (£BN), n UK BUILDING SOCIETIES RANKING BY
infinite possibilities – but that landscape also 2016 NUMBER OF BRANCHES, 2016
changes with each successive generation.
“60 is the new 40. There is now a world
of opportunity out there for retirees, to go 250 800
back to university, to sail around the world, 700
instead of just going home to do the garden.” 200
600
“The pilot features an ‘Ideas Centre’ con-
cept reflecting this ‘anything is possible later- 150 500
400
100
300
200
50
100
0
y on ds ity ch le am 0
ide ire tr t e l i t nd de re
nw ksh ven Skip Le cipa mw cas ingh erla wi hi on tr y ed
s
tio Yor Co in ro ew tt b
ion ks ipt ve
n Le
Na Pr st B N No Cum t Yo
r Sk Co
We Na
Source: Building Socieities Association Source: Building Socieities Association
www.retailbankerinternational.com April 2017 y 3
RBI 736.indd 3 19/04/2017 17:03:10
RESEARCH: FINTECH Retail Banker International
Are fintechs the biggest threat to the banking sector?
While fintech is often considered to be an opportunity for the financial sector, six-in-ten UK financial firms
believe that up to 40% of their revenue could be lost to standalone fintech firms. How are firms planning to
combat this growing threat? Or is defeat a foregone conclusion? Patrick Brusnahan reports
F
intech has progressed from start-ups
n PERCENTAGE OF INCUMBENTS WHO BELIEVE n FOCUS ON EMERGING TECHNOLOGIES (%),
wanting to challenge the incumbents to
PART OF THEIR BUSINESS IS AT RISK 2017
a wide ecosystem of different business-
es looking to expand. The problem is
with garnering scale with regards to custom- 100 2016 2017
50 2016 2017
ers. This is where partnerships could greatly
help, if also bringing a share of its own risks. 80 40
According to a new report from PwC,
which surveyed more than 1,300 finan-
60 30
cial service leaders worldwide, 61% of UK
financial service industry leaders believe up
40 20
to 40% of their revenue is at risk, compared
to 51% of financial service leaders globally.
10
Some 88% of participants were worried that 20
part of their business is at risk to standalone
fintech companies. In addition, DeNovo’s 0 0
in al s
n
r th a ati a pe ca ia al ha ici e r ic
monthly consumer survey stated that while Noer ic L er ic Euro Af
ri As lob oc
kc tif nc
Ar llige
et
m m
G
Bl B iom
e
30% of consumers plan to increase their usage A A
int
of non-traditional financial service providers, a
Source: PwC Source: PwC
mere 39% plan to continue using solely tradi-
tional service providers.
Perhaps to combat this, 47% of UK firms more widely, is not about jumping on the latest financial institutions hope to respond to
claim they plan to acquire fintech companies bandwagon – it’s about finding the best, most effi- innovation and address customer needs.
over the next three-to-five years. Some 81% cient way to deliver your business strategy and Financial institutions will also need to
state they plan to initiate strategic partner- ultimately better serve your customers. disrupt their own operations and processes,
ships with fintechs over the same period. “The UK’s financial sector seems to have which will introduce culture and mindset
However, currently UK financial services a more realistic understanding of the long- challenges. Overall, 77% of respondents
firms only dedicate 9% of their annual turn- term returns on targeted investments. Man- expect to increase internal innovation efforts
over to fintech and IT projects, below the aging expectations around returns is impor- over the next three-to-five years.
global average of 15%. tant, particularly for firms facing significant Adopting effective growth strategies and
Over a third (39%) plan to invest in cyber- cost pressures.” integrating with fintech will be essential
security while 77% want to invest in data when partnering for innovation. Partnering
analytics. A disruptive nature with fintech companies is up from 32% in
Whether this is too little too late remains Post-2008, the global financial crisis kick- 2016 to 45% in 2017. However, there are
to be seen, but 92% of UK incumbents started a number of business-wide trans- large discrepancies. For example, in Europe,
believe that consumers use fintech to conduct formation programmes. A decade later, the Italy is at 41% while Germany is at 70%.
payments, 81% say it is already used for per- results are inconsistent and there has been a In all countries, a large chunk of partici-
sonal finance and 72% for funds transfers. lot of investment. Many are looking towards pants, 82% on average, expect to up their
Steve Davies, EMEA fintech leader at PwC, fintech to break the cycle. level of partnerships within the next three-
said: “The financial services industry has In total, 56% of respondents to PwC’s sur- to-five years.
embraced fintech to help drive change and inno- vey agreed that disruption was at the heart This will allow incumbents to outsource
vation. Fintech collaboration, and innovation of their strategies. By embracing disruption, part of the R&D to help bring their solutions
to market quickly. Fintechs, in turn, will ben-
n CHALLENGES FOR FINTECH COMPANIES AND INCUMBENTS (%), 2017
efit from the large data sets that incumbents
already have.
Integration will not be easy. Difference in
IT security
Regulatory uncertainty management and culture, as well as regulato-
Difference in culture ry uncertainty and legacy infrastructure dif-
Differences in business models ficulties are all roadblocks to true integration.
IT comatibility The report concluded: “The financial ser-
Differences in operational processes
vices industry will be unrecognisable in five
Differences in knowledge/skills
Required financial investments years. The innovators of today will not nec-
0 10 20 30 40 50 60 essarily be the innovators of tomorrow. The
question then that companies need to ask
Source: PwC
themselves is: what can I do to ensure that
I am not caught at the back of the pack?”<
4 y April 2017 www.retailbankerinternational.com
RBI 736.indd 4 19/04/2017 17:03:11
Retail Banker International DISTRIBUTION: SCOTIABANK
Scotiabank’s digital
distribution designs
Scotiabank is rolling out a digitally enabled customer-centric branch design across its Latin American
and Caribbean (LAC) operations. Robin Arnfield talks to Katherine Hayward, vice-president of customer
experience and retail banking at Scotiabank International, about the bank’s objectives and strategy
S
cotiabank serves 9.5 million retail open digital factories in Chile, Colombia, ogy, tablets for some staff, and digital mes-
customers across 1,500 branches in Mexico and Peru this year,” Hayward says. sages displayed throughout the branch.”
29 countries in the LAC region. Sco- “The goal with our new, simpler-to-use Scotiabank has a consistent customer
tiabank’s Mexican unit, with 600 digital banking services is to increase our pri- experience model across all its subsidiaries,
branches and 2.7 million customers, is the mary customer relationships through digital Hayward says. It also has an in-house-devel-
largest subsidiary in the region, followed by technology.” oped geographical information system (GIS)
Colombia (1.6 million customers) and Peru tool which maps all its locations and all its
(1.9 million), both with 200 branches. Branch redesign competitors’ branches.
In addition to its own branches, “We try to build new branches every year “The tool uses market data to show current
Scotiabank partners with correspondent as our markets are developing much more and projected growth for these locations,”
banking agent networks in Mexico and Peru. rapidly than the Canadian market,” says says Hayward. “We can see which markets
“In Mexico, our customers have access Hayward. “As well as looking for oppor- are up and coming, and where we need to
to 18,000 non-bank locations through our tunities to find new locations, we’re always move to in order to be in the right place at
relationships with [retailers[ Oxxo, Soriana trying to be where our customers are in our the right time for our customers.”
and City Club, where they can make depos- existing markets.”
its, pay credit card bills, and withdraw cash,” Working with international design con- What are Scotiabank’s goals?
Hayward tells RBI. “In Peru, customers can sultancy Ideo, Scotiabank created a set of “At the start of our redesign programme, we
access 5,000 non-bank locations through the branch design standards for its LAC branch- set three high-level goals: improve our cus-
Agente Scotiabank and Cajero [cashier/tell- es, which it will apply selectively for refur- tomer experience in branch via the overall
er] Express correspondent agent networks, bishments and new builds. design, differentiate ourselves in our markets,
where they can make deposits, pay credit “Our aim is to be extremely customer- and improve our efficiency and effectiveness
card and utility bills, access loans as well as centric,” says Hayward. “We liked Ideo’s in our network,” says Hayward.
top up their cellphones.” approach of doing ethnographic research “We want our branches to be places where
Scotiabank’s LAC branch redesign pro- and prototyping design concepts with cus- customers can learn about our digital and
gramme is taking place in tandem with a tomer at the heart. To find out what our self-service technologies. Also, towards the
major digital investment in Canada and customers wanted in branch, we conducted rear of the branches we’re providing a pleas-
the LAC region. This includes the launch ethnographic research involving accompany- ant area for customer interaction with our
of a new version of Scotiabank’s online and ing them into their homes and offices on a staff.
mobile banking platform in Mexico and 21 day-to-day basis, and following them when “We’re putting strong brand messaging on
Caribbean countries, with Chile and Panama they conducted financial transactions. our flagship branches and using large digital
due to go live on the new platform shortly. “Our new branches are notably more displays to differentiate them. The effective-
“Following the opening of our Canadian digital with a host of self-service technology ness and efficiency goal relates to our new
digital factory in January 2017, we will also available, concierges to explain the technol- hub-and-spoke model.”
www.retailbankerinternational.com April 2017 y 5
RBI 736.indd 5 19/04/2017 17:03:12
DISTRIBUTION: SCOTIABANK Retail Banker International
Since November 2016, Scotiabank has In Scotiabank’s new design there are financial matters like: What is a credit score?
been deploying a new Net Promoter System four formats: the regional financial centre, How do you improve it? And how do you
in Canada and the Pacific Alliance countries which includes a Premium Banking centre; teach children about savings? Historically,
of Chile, Colombia, Mexico, and Peru. the Community Banking Centre; the Neigh- many of our markets aren’t retirement-sav-
“It’s important to get rapid feedback from bourhood branch; and the in-store/bank- ings cultures but are consumer cultures
clients and bring the voice of the customer to at-work branch. focused on obtaining credit to
the heart of our branches and contact cen- Around 25% of make purchases.”
tres,” says Hayward. Scotiabank transaction Instead of traditional
“We partnered with [customer feedback in the LAC region are product messages,
specialist] Medallia on this initiative. We use still branch-based, Scotiabank is roll-
the word ‘system’ not ‘score’, as we have a and the bank’s ing out messag-
feedback loop direct from customers to staff goal is to cut ing containing
in the branches so they can act on issues. this to 10% by ‘hints and tips’
“We encourage our branch managers to 2010. about financial
call three to five clients once a week to fol- “A lot of our literacy along
low up on the feedback they received in the customers with customer
branch, and we have a similar policy in the will queue up stories in its
contact centres. Once we identify issues, we to use a teller, LAC branches.
make sure they are escalated and any sys- as they don’t The messages
temic issues are addressed, as well as mak- know how to use are provided via
ing sure customers know their issue has been an ATM,” says a mix of digital
responded to.” Hayward. “There displays and large
are a lot of transac- static back lights.
Hub and spoke tions they could either “The stories feature
“We are moving to a hub-and-spoke model, perform on our digital chan- Scotiabank customers say-
so we can focus resources on where they are nels or at a correspondent agent, ing things like: In my new house
most needed. This will enable us to reduce instead of in a branch.” I have rooms for all my children; with my
the size of spoke branches,” says Hayward. new car I can get to work on time,” says
“The hub is where we have services for seg- Financial education Hayward. “The financial advice aims to help
ments such as small businesses and premium “The new concept is centred on financial edu- customers reach similar goals to the people
banking, and our spokes are about conveni- cation, aligned with our core belief that every in our stories, such as ‘your mortgage and
ence banking. customer has the right to become better off,” bills shouldn’t exceed 40% of the household
“Our customers are still heavy branch says Hayward. budget,’ or ‘if you’re buying a home, budget
transactors, so there’s a big opportunity for “We found in our research with Ideo that for legal expenses.’”
us to introduce them to our new digital chan- there is a lack of providers of financial lit-
nels that we are bringing on board in LAC. eracy in our markets. Yet financial literacy is Three zones
As they start to adopt our digital channels, an important skill, so there’s an opportunity As part of the new design, the branch is
there will be less demand for teller services in for us to be involved in the community. We divided into three zones: a Welcome Porch, a
spoke branches, so we will be able to reduce hold Scotia Presents financial literacy events Social Zone, and a Business Zone.
their size.” offering refreshments where we teach basic “The Welcome Porch features a new Con-
cierge role as the first point of contact for
customers and to helps educate them on
the self-service channels available,” says
Hayward.
“The Social Zone is a warm environment
in the centre of the branch where staff can
engage with customers in casual meeting
spaces, and where we hold Scotia Presents
financial educational events.
“Tablets are provided for customers to use
for digital banking and product information,
and to access our Mi Plan goals-based finan-
cial planning tool.”
Tellers are housed in the Business Zone at
the rear of the branch, and officer worksta-
tions have been given a refresh. The reason
for putting tellers at the back of the branch-
es is to encourage customers to explore the
space first before reaching the tellers and to
enable the concierge to talk to them about
self-service channels.
“As we continue to enhance our technol-
❙❙“How do you grade your experience in the branch today?”
ogy, we envision our sales staff being com-
6 y April 2017 www.retailbankerinternational.com
RBI 736.indd 6 19/04/2017 17:03:14
Retail Banker International DISTRIBUTION: SCOTIABANK
pletely mobile throughout the branch,” says
Hayward. “A portion of our branch network
has a special Premium Banking offering,
designed for our mass-affluent segment. So
we upgraded the Premium Banking centre
design with upscale finishes as part of the
new concept.”
The Premium Banking centre features an
exclusive area in the branch where custom-
ers can read news on tablets and newspapers
while waiting to meet investment specialists
and premium relationship officers.
“In our markets, premium customers
expect to be given more recognition and a
distinguished service,” Hayward says.
“In our flagship locations, we’ve introduced
large external digital displays to support our
brand presence and differentiate ourselves
in the marketplace. We’re not the only ‘red’
bank in Latin America, and sometimes our
branches are located next door to a rival,
❙❙“Now my clinic functions better and I have time to watch a good football match”
such as Santander. So we use our full colour
palette to help create a distinctive identity. As “The number of branch transactions in “In both Chile and Peru, we will also pilot
a result, Scotiabank’s branches in the region the pilot branches are decreasing faster than a tellerless branch, which will be purely digi-
are not fully red, as they are in Canada.” the average, because of customers’ adop- tal, with ATMs, intelligent deposit terminals,
tion of self-service channels. Many of our and sales staff equipped with tablets,” says
Pilots Mexican branches have external ATMs, and Hayward.
Working with Ideo, Scotiabank built four Mexico is a security-conscious market. One “We already have tellerless Scotiabank
digitally enabled branch prototypes in Mex- of our learnings for our new design was to Express and Scotiabank Solutions digitally
ico City in early 2016, which it uses as the put ATMs inside our Mexican branches so enabled branches in Canada.”
basis for its new branch design standard. the concierge can tell customers how to use Scotiabank aims to adjust its branch
These range from a flagship branch with the system and because customers feel safer design formats for individual countries
specialist services down to a small, in-store using an internal ATM.” across LAC, reflecting local market charac-
branch. Scotiabank plans to deploy digitally ena- teristics, Hayward concludes.<
“The four pilot branches in Mexico are bled branch pilots in Chile and Peru in mid-
performing well in terms of sales growth 2017, which will use the design formats
and customer experience, and are ahead of deployed in the Mexican pilot branches. It “Clever but not enough”
the Scotiabank network average in terms will also roll out the new design formats in “Scotiabank has created an excellent framework
of customer experience and sales growth,” Barbados, Costa Rica and the Dominican that will enable its branches to involve
Hayward says. Republic during 2017. themselves with the community by providing
facilities in their branches,” says UK-based
international retail banking consultant David
Cavell. “There are so many things Scotiabank can
do in its redesigned branches. Currently, they are
acting as a mediator between the physical and
the digital. It’s a clever position to be in right
now but its not enough.”
Banks need to offer neighbourhood branches
that reach out to the local community, Cavell
says. “This is fundamental. The critical success
factors are brand, location, branch design, and
staff competence. Brands must use activities
that take place in branch and reflect the brand’s
differentiation to reach out to the community.
“There is a playbook of around 50 non-banking
activities you can do in a branch to provide
greater value for the community. If digitally
enabled branches are to evolve from being
transaction shops and have a worthwhile role
to play in the future, they must be more about
the communities in which they reside. Turning
a branch into a limited assisted-service or self-
service centre is missing the opportunity of what
you can do with a branch.” <
❙❙“Tell your family members about the scope and conditions of your insurance.”
www.retailbankerinternational.com April 2017 y 7
RBI 736.indd 7 19/04/2017 17:03:16
GEUST COMMENT: COLLINSON GROUP Retail Banker International
Banks should ditch cash to boost customer loyalty
The rise of digital wallets, coupled with the adoption of the mobile phone as a mobile payment technology,
hint at a future driven by digital first strategies. Can banks move fast enough? Or will legacy systems prove
their undoing? Christopher Evans director at Collinson Group reports
T
he cashless society is not a new con- nate the US mobile payments market, led by fastest, most convenient and secure digital
cept. Debate about the future of cash initiatives such as Walmart Pay, Abra and payment option and offering a frictionless,
has raged since the introduction of Samsung Pay. They also found that person- channel agnostic service is a way for brands
magnetic strip cards decades ago but to-person (P2P) transactions are gaining to add value to consumer experiences.
in the age of the digital customer, banks are more popularity in the US compared to other To demonstrate the potential for banks,
struggling to engage and retain customers, countries. In total, $7.5bn was transferred in China the two main players in this area
with millennials and generation Z proving using Venmo, one of the most popular P2P – Tencent’s WeChatPay and Alibaba’s AliPay
the most challenging. Could ditching cash be money transfer services, during 2015. – are far ahead of the West in terms of fre-
the route to customer loyalty for the modern Many customers only use banking ser- quency of use and share of wallet across all
bank? Collinson Group research suggests yes vices a few times a month but are likely to demographics.
and that it is a win for both customer and make contactless payments several times a Alibaba is also expanding into other areas
bank. day. Unlike a credit card, a mobile payment of financial services, with its proposed acqui-
Collinson Group polled 2,500 loyalty also creates the opportunity to deliver a rel- sition of US-listed money transfer service,
programme members across the globe and evant offer, reward or additional service to MoneyGram International.
found that they used a mobile wallet (such the customer.
as ApplePay or Android Pay) an average of For example, a reminder about a balance Overcoming barriers
seven times a month – this figure was as high and the opportunity to transfer more money; Banks are taking steps towards a digital first
as 10 times per month in the US. a chance to earn loyalty points in the future, engagement strategy but these changes are
The research also found that 71% favour or to use those points to pay for purchases. incremental.
brands that are early adopters of technol- These are powerful opportunities for banks One of the biggest barriers banks face is
ogy. Despite consumer interest in these ser- to offer greater convenience, relevance, time- overcoming legacy systems and infrastruc-
vices, a number of major banks have yet to liness and rewards to customers. ture, with new platforms facilitating rapid
announce plans to support services such as Organisations are recognising the conver- analysis of big data and increased collabo-
Android Pay, including Barclays, Natwest gence between payments and loyalty, with ration with third parties through open APIs.
and Santander. First Data acquiring Perka (a loyalty plat- By working with the right partners and
form) and Clover (a point of sale solution), adopting a digital first mindset, such as facili-
Convenience and reward and Visa investing in Square, so that it can tating the reduction of physical cash, banks
Mobile phones are an integral part of eve- offer a closed-loop digital payment and retail have a massive opportunity to increase rev-
ryone’s lives – from capturing and sharing system. enue and boost loyalty.
memories, to booking travel, grocery shop-
ping and keeping up with news. There are Using data and digital wallets Final thoughts
now more mobile phones on the planet than Perhaps the biggest opportunity arising from Banks have an opportunity to build real-time
people. the cashless experience is the chance to gener- loyalty initiatives based on behavioural data,
With apps providing information on every- ate more data and use this to retain customers. enabling customers to collect and redeem
thing from how we eat, exercise and source A traditional card payment gives the bank rewards that are relevant, personal and
entertainment, to how we sleep, it is natural insight about a purchase based on outlet, broad enough to engage more members.
for people to use their phones to complete time and location. A completely cashless society is still a
financial transactions. For mobile payments, more information long way off, but there are many reasons
Using mobile as a payment technology is available such as links to social media why banks should champion contactless
makes customers’ lives easier and is more profiles, mobile browser history and other payments and couple this with loyalty pro-
efficient. No more fumbling around for cash contextual information through collabora- gramme apps or messaging platforms.
or trying to remember different pins – just a tion and shared application programming It provides the opportunity for consumers
simple wave of a mobile device or a biomet- interfaces (APIs). to pay with points and cash, increasing the
ric scan and the transaction is complete. By Analysis of this behavioural data, includ- utilisation of loyalty currency, and presents
making mobile payments even more acces- ing real-time data, can help banks to create an improved customer experience and more
sible, banks will generate positive brand better services, deliver great experiences and value to customers overall.
association and will build loyalty with their provide more valued rewards for customers. For financial services brands, it offers the
customers. Today the majority of consumers have opportunity to deliver a differentiated, per-
If they don’t they risk missing out on rev- used digital wallet services such as PayPal, sonal, relevant and unique customer experi-
enue. Research from financial analyst firm, increasingly for face-to-face as well as online ence. It is undoubtedly a win for customers
Lafferty, reveals that non-bank players domi- transactions. Consumers will choose the and a win for banks.<
8 y April 2017 www.retailbankerinternational.com
RBI 736.indd 8 19/04/2017 17:03:26Retail Banker International STRATEGY: MEXICO
High altitude, higher stakes?
Latin America’s third-largest economy could slip into recession if US President Donald Trump’s toxic
cocktail of threats to upend the North American Free Trade Agreement or impose heavy tariffs on Mexican
exports come true. However, Mexican banks are – at least for now – unconcerned, writes Ivan Castano
M
exico’s payments sector is shrug- 2.5%. MXN4.3trn banking sector, where penetra-
ging off concerns that US Presi- The deepening uncertainties are putting tion is about 4% of GDP,” Benitez says, add-
dent Donald Tru mp’s protec- investors and businesses on tenterhooks, ing that Chile has an 80% banking rate while
tionist threats could hit its for- triggering a sharp fallout in foreign direct Brazil has 80%.
tunes, forecasting strong revenues despite investment that is unlikely to recover until Enrique Mendoza, an analyst at broker
monitoring portfolios more closely. the two governments tentatively wrap up Actinver, is more pessimistic, adding that a
“So far, we haven’t taken any provisions,” negotiations to modify NAFTA by the sum- sharp economic downturn could severely hit
says Miguel Angel Laurencio de La Vega, mer. issuers. “Banks would have to provision very
investor relations director at Banorte, which Amid such risks, Banorte will focus on rapidly, even if there is a small default change
with roughly two million customers is Mex- growing business with existing clients, and from one institution or if credit bureau
ico’s third-largest bank. largely shunning new ones or entering new reports worsen,” Mendoza notes.
“Overall, consumption remains strong and market segments until Mexico’s future pros- Joel Cortes, co-founder of consumer card-
there are no [portfolio] deterioration signs, pects become clearer. comparison site Kardmatch, says issuers
despite future uncertainty.” “We will be more cautious and seek to grow would struggle to pass on higher interest
Employment continues to grow, with the similarly to last year. We will not be launch- rates to customers who would likely fall
nation adding 500,000 jobs in the past year, ing any new products or targeting new mar- behind on payments.
De La Vega says. Unemployment stood at ket segments aggressively,” De La Vega notes. Cortes adds that 2017 “will be very bor-
3.6% in January, down 4.2% year-on-year “Many of our customers use our cards very ing” for new plastic launches or product
according to the latest data from statistics little, so the plan is to increase this through innovation, except perhaps in the digital
institute Inegi. reward programmes and promotions.” arena where online and mobile purchasing
“If unemployment rises that would give Others are also being cautious. BBVA is growing strongly.
us a reason to act, but so far our past due Bancomer, which leads Mexico’s banking He highlights Banregio, a tiny lender in
portfolio remains at 5%, which matches the sector, has begun lowering card limits and Northern Mexico, as this year’s top innova-
industry’s, with an improving outlook,” De more closely monitoring its accounts, ana- tor after it launched a platinum card offering
La Vega adds. lysts say; much smaller Inbursa, which 1% cashback, 5% interest and no annual fee.
Banorte, which intends to double its pay- belongs to telecoms tycoon Carlos Slim, is “You hardly see cards with such high
ments market share to over 16% by 2022, also becoming more selective, they add. rewards and low interest rates,” he notes,
matching arch-rival Citigroup’s Citiban- Jorge Benitez, an analyst with broker GBM, adding that the bank has an innovative
amex, expects card revenues to climb 14% has a sanguine outlook for 2017. He says issu- online application feature.
to MXN8.2bn ($435m) this year, helped by ers continue to enjoy high margins and improv- “Banregio has an interesting philosophy,
soaring interest rates in Mexico. ing credit quality, with interest rates hovering which is sort of populist because it wants to
The central Bank of Mexico has stepped at 26.4%. This, coupled with an expected 9% be seen to be offering a product that won’t
up benchmark rates six times to 5.25% rise in plastic issuance this year, will drive rev- break your finances,” Cortes says.
since Trump swept into the White House, in enues up 11% to MXN94bn. That could chime well with impoverished
a move aimed at shoring up the plummet- That said, if the economy were to decline Mexicans who have boycotted US brands
ing peso and combatting soaring inflation, by more than expected in the second half – Starbucks, McDonalds and Walmart to
which is currently hovering at 5% – well over something economists expect if a trade war decry Trump’s calls that Mexico pay for his
its 2% target. erupts – lenders could suffer amid rising border wall, on top of his well-publicised
The increases will add 200 basis points to unemployment and defaults. insults against its population.
the 28% average rate that Banorte charges “We could see a small decrease in employ- However, Cortes says the actions have not
for its silver, platinum and gold products, ment which would affect banks’ portfolios hurt the likes of Visa, Mastercard or Ameri-
offsetting a slight decrease in its portfolio and they would stop issuing credit,” Benitez can Express, which has a $2.2bn exposure
growth. explains. that analysts believe it is looking to trim.
“This year, we will probably grow less in To protect themselves, institutions could “Each bank has customer complaints or
our portfolio but more in revenues,” says De cut risky personal loans and raise their expo- issues, but nothing has changed because of
La Vega, adding that last year its outstanding sure to safer direct deposit credits, he adds. Trump itself,” Cortes adds.
balance grew by 10% to roughly MXN26bn. However, even if that happens, the pay- Meanwhile, De La Vega says Banorte is
Despite rising margins, Mexico’s economy ment sector’s long-term prospects look keen to grow its digital business as Mexico’s
is set to cool this year, with the government bright, largely as a result of Mexico’s low e-commerce market is growing rapidly amid
recently cutting GDP growth projections to banking penetration. falling mobile data rates, catching up with
1.3-1.5%, down from a previous estimate of “Credit cards represent 33% of the leading markets in Brazil and Chile. <
www.retailbankerinternational.com April 2017 y 9
RBI 736.indd 9 19/04/2017 17:03:30DISTRIBUTION: NEQUI Retail Banker International
Nequi: a unique Colombian offering
Designit, an integrated design agency recently acquired by Wipro Digital, has partnered with Nequi bank
in Colombia to go 100% digital. The bank has redesigned the mobile banking experience, and is creating
offerings for millennials who are starting to drift toward a post-app world. Douglas Blakey reports
T
he goal is ambitious: Bancolombia’s RBI: What was the brief from Nequi to towards the next big potential thing for the
digital brand, Nequi, aims to chal- Designit? Why did the bank elect to work bank.
lenge traditional banking models and with Designit? We started in December 2014 and created
highlight the general cultural move to a new team of people comprising our visual
mobile banking and app-centric offerings. AV: Bancolombia started with a blank sheet designers, researchers, business designers
The bank worked with Wipro Digital and and approached Designit in order to bring and people from different areas of Banco-
Designit, utilising what the tech vendors in knowledge about human-centred innova- lombia. Together we would be able to create
term a design-thinking approach, challeng- tion models and service design methodolo- what we call the ‘first neobank’.
ing traditional norms and innovating at a gies. We needed people with no expertise in We started out by understanding the inter-
faster pace, from which they believe other traditional banking who, at the same time, nal future vision Bancolombia had for its
industry verticals can learn. were experts in user experience and usability. business, consumers and the market.
Nequi CEO Andrés Vásque (AV), and After aligning Bancolombia’s expectations,
Mikal Hallstrup (MH), founder and CEO of RBI: Can you explain how Designit went agreeing the timeline and the business model,
Designit, discuss the project with RBI: about implementing the project and deliver- the team came up with a new business model
ing on the brief for the bank? where the revenue does not come from trans-
RBI: Can you give some background infor- actional fees but from a range of products
mation on the launch’s project timeline? MH: Bancolombia is the largest bank in and services created depending to a user’s
Colombia and one of the top 10 largest lend- real needs.
AV: Bancolombia came to the conclusion that ers in the Latin American region. It has made After analysing prototypes and user tests
the way people were willing to interact with its name by offering universal banking solu- in universities – the smallest representation
banks and use their money was slowly but tions to all types of customers. Bancolombia of our target market – we enabled Nequi
critically changing in a society that is becom- is a bank that takes pride in being the bank accounts to be created and implemented a
ing more digitally driven by the day. for everybody, for whatever they might need. payments ecosystem where both merchants
Therefore, in December 2014, we decided The vice-chair of corporate services and users used Nequi. The prototypes were
to mix a team of people from many areas of approached Designit to clarify its innova- successful and in June 2016 Nequi was
the company with a team of designers not tion strategy and help move the organisation launched in beta mode.
related to the banking industry, with the goal
of understanding how could they structure n LATIN AMERICAN BANK RANKINGS, 2017
what they called a 100% digital “neobank”.
Country Assets ($m) Liabilities ($m) Equity ($m)
After aligning Bancolombia's expectations,
agreeing the timeline and the business model, Itaú Brazil 338,108 305,834 32,274
the team came up with the idea of design- Bradesco Brazil 309,580 283,355 26,224
ing a service that would allow people to use
Santander Brazil 166,555 143,125 23,429
and manage their money from their mobile
phones, with no physical branches, and BBVA Bancomer Mexico 110,958 101,033 9,926
above all, in accordance with their routines Banamex Mexico 77,200 66,868 10,331
and synced with their everyday lives. Santander Mexico 71,381 64,590 6,792
After many prototypes and testing with
potential users, they started the development Banorte Mexico 70,170 62,157 8,014
of an MVP that was available in closed testing BTG Pactual Brazil 65,887 59,375 6,512
as of November 2015. From that moment they Bancolombia Colombia 63,323 56,777 6,546
started the stabilisation and optimisation stage,
Banco Santander Chile Chile 52,261 47,824 4,278
that led to an open App Store and Google Play
Store release in June 2016. Source: Bancolombia
10 y April 2017 www.retailbankerinternational.com
RBI 736.indd 10 19/04/2017 17:03:41Retail Banker International DISTRIBUTION: NEQUI
RBI: What were the goals and aims of the MH: Nequi has two different apps: one for n COLOMBIAN MARKET SHARES (%),
project? users and one for merchants. The user app is DECEMBER 2016
available in the Apple and Google app stores 30
MH: At first, Bancolombia came to us to and at www.nequi.co. The client was com-
help it explore new opportunities for innova- missioned to launch Nequi and therefore has 25 Gross Loans
tion in the market, not knowing what might been tracking the success of the results.
However, during the sprints we made Deposits
come out.
20
At this point it could have been anything. some prototypes and hypotheses that we had
We convinced the bank to allow us not to to validate with different users, using stand-
15
stop there but continue to create some con- ard qualitative techniques.
cepts and even validate those with people.
This way the initial briefing turned from RBI: Is Nequi a first in the Colombian bank- 10
‘help us see what can be done’ to ‘help us cre- ing market?
ate the bank that might kill us in five years’. 5
The key idea was to create a new bank AV: While it is not the first financial app, it’s
concept, with a new way of thinking and definitely not something you’ll find else- 0
tools in only 15 weeks. We did it! where in the Colombian market. The possi- ia da o VA o
nc e
mb ien nc a BB Ba ent
lo viv Ba got
Nequi is a neobank. It operates under the bility of letting people use their money at no n co Da Bo ci d
Ba de Oc
same banking license as Bancolombia but cost for basic transactions, a fast, ever-evolv- de
everything is new – new core banking, a new ing service, and a local language approach Source: Superintendency of Finance of Colombia
team, new branding, a new company and a differentiate us from the usual financial ter-
completely new human experience, business minology. All these aspects come together to gerprint – for security and usability purposes.
model and services. make Nequi a unique offering in the Colom- It also launched during November 2016 at
Nequi offers everyday banking: but it’s not bian market. the same time as the first transactional Face-
a bank, it’s a platform. It’s API-ready and book bot in Latin America. The bot is called
strives to provide value beyond transactions. RBI: What are the initial products on offer Eva, and can check customers’ balances,
Nequi was created upon the belief that from Nequi? send money and recharge cellphone credit.
banking should be a platform where users Nequi has been built as an open platform,
can reach out to several relevant services pro- AV: A simplified savings account is offered aiming to develop an innovative business
vided by either the same bank or third parties. that can be opened entirely from a mobile model based on application program inter-
Users have the right to choose. phone. With this account users can manage faces.
their money with no transaction or admin-
RBI: How did Designit engage with consum- istration fee, no minimum balance, send RBI: What is the initial market reaction?
ers prior to launch? money everywhere in Colombia, make with- How has the launch gone?
drawals at over 4,000 ATMs and recharge
MH: We developed a toolset to help people their cellphone credit; customers will never AV: Nequi has been in full production
manage their money better. It was created have to walk into a branch. Finally the app mode since July 2016. The app has been
on the model of how people handle their offers ‘pockets’, a saving vault with goals to downloaded by almost 200,000 people and
money every month, how they save, what help users manage their money. already boasts around 40,000 users.
they understand by saving, and the different
rhythms their lives tune into. RBI: And on costs, how does the Nequi pric- MH: Nequi launched near the end of July
One might want to be a great saver one ing compare to traditional banks? 2016 in beta mode. We used a launch strat-
week, but care less about saving the week egy based in a small ecosystem to trigger net-
after when they go out on a date. AV: This is at the very heart of the Nequi work effects quickly in the platform.
Banks have rigid rules for people whose proposition. The basic core of Nequi is that Nequi gained more than 12,000 customers
lives aren’t rigid at all; we change constant- there is no cost to users – a feature very hard in the first month and there’s an ever-grow-
ly, our needs change and evolve. Banking to come by in Colombia. ing network of merchants and ATMs where
should evolve along with us and adapt to us. people can use Nequi.
During the project, there was no way we RBI: How has Nequi promoted itself? How
were going to create a neobank and not pilot has it used social media? RBI: How has Designit and Nequi’s relation-
it, so that's what we did. ship expanded since the launch?
We decided to use a university as the play- AV: Nequi has opted for a low-scale and
ground, and during three days we enabled organic promoting strategy using social MH: After launch, the board in Medellín
Nequi accounts to be created and imple- media, word of mouth, and paid advertis- decided to start the process of internationali-
mented a payments ecosystem where both ing with Facebook and Google. Free press sation, with Panama chosen as the first coun-
merchants and users used Nequi. has also played an important role at certain try due to geographic convenience.
This pilot not only showed us a real per- points. Moreover, we have created a framework
formance of the service, but also served as a that allows the bank to build relationships
place for user testing. RBI: Can you comment on Nequi’s use of and conversations with clients under the
biometrics same model across all departments.
RBI: How did Designit record successful It is an important aspect of our offering; by
results? AV: Nequi is the first financial app in Colom- engaging in and maintaining dialogues with
bia using biometrics – facial, voice and fin- our customers we can serve them better. <
www.retailbankerinternational.com April 2017 y 11
RBI 736.indd 11 19/04/2017 17:03:44You can also read
