Page 40 - Banking Finance November 2017

ARTICLE

Similarly, e-commerce offers a great opportunity for banks will become the differentiating norm for a preferred service
to find new growth driver. Today's banks reside in customers' provider. The ability to tailor financial solutions to customers
pockets, on their mobile phones. This is an opportunity for across multiple platforms will unleash a wave of product
the bank to find new growth drivers. Consumers are innovations and thereby demand for financial services.
increasingly embracing technology for their basic banking
needs, especially driven by rise in e-commerce. According Direct transfers to bank accounts coupled with the range
to an Assocham pricewaterhouse Coopers study, very shortly of services, envisioned in the government's Digital India
India's e-commerce could rise beyond $100 billion mark. programme, will drive customer adoption and promote a
savings culture. Partnerships between these specialized
A robust grievance redressal mechanism always increases entities and universal banks will effectively leverage their
the confidence of the customers in the system and this networks to deliver financial services, including micro-credit.
precisely has happened in the banking sector. The
Technology has made banking easy and hassle free for the
automation of complaint resolution mechanism has
enhanced the customer experience considerably. This has customers and opened up new business opportunities for the
banks, but there is a need of better synergy among various
reduced the need of manual intervention in lodging a
channels like branches, alternate channels, BCs and CSPs to
complaint. It has also reduced the customers dependency
on current branch to lodge a complaint. They have the leverage the optimum benefit of technology. In the coming
days, better networking, connectivity and broadband facility
liberty to lodge the complaint from anywhere anytime online
in rural and far-flung areas will help banks to achieve rapid
as per their convenience.
financial inclusion.
Owing to automation, now Banks can track the status and
Technology will facilitate affordable and low cost banking
address the complaints in a more effective, efficient and
transactions to the masses. This will enhance banking
professional manner. Controllers can monitor the status on
penetration in rural and semi-urban areas. Banks also need
a real time basis, which results in speedy resolution of
to promote the role of innovation in developing a payment
complaints.
system which is affordable, interoperable, sound, efficient,
safe, secure, inclusive and accessible.
The biggest impact of technology will be the ability to
personalize the delivery of products and services to the Customers are increasingly weaving their digital and physical
customers. Data analytics is an integral part of this ability worlds together, with transactions conducted using multiple
to customize. Increasing use of unstructured data generated channels. Competition from unconventional entities will
from social media, will vastly add to behavioral quicken the pace of technology innovation. Collaboration
understanding and prediction. In future, the engagement between banks and the retail ecosystem will also deepen
between bank and technology will be multi dimensional. to provide customers with a bouquet of products. Through
partnerships and acquisitions, banks will integrate financial
In the wider banking context, technology is enabling more services, wallets, payments, shopping services etc, to deliver
effective, lower cost delivery of corporate financial services, an enhanced customer experience.
facilitating rapid and seamless payments, enhancing the
retail customer experience and increasingly allowing The world and customers are moving much faster than our
increased access to financial services among the hitherto technology. Therefore, to improve operational efficiency and
excluded. Many services can now be delivered in real time customer service, we have to be on our toes and build our
including credit assessment and loan approvals. Increasing both physical and digital capabilities to not only match but
penetration of internet and mobile connectivity will permit also to exceed their expectations.
delivery of an ever widening suite of services "on the move".
References

In an environment where delivery of financial services will i) www.rbi.org.in
become increasingly commoditized, customer experience ii) Times of India dated 30.04.2017

40 | 2017 | NOVEMBER | BANKING FINANCE

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