Banks that are looking to improve their performance should likewise focus on deposits and payments. In addition, banks need to choose the right digital strategy. A stronger deposit and payment franchise can generate valuable transaction data. By capturing this data and using smart analytics, banks can better understand customer activity, which can lead to more effective service models and better pricing. Analyzing data can also enable banks to significantly improve functions such as credit risk modeling and loan tracking, helping to resolve the historical bugbear of small business banking: high levels of nonperforming loans.
Tailor the service model and product portfolio to small business customers. Higher-value customers should be offered more-personalized services and products, while lower-value clients should be served through virtual channels that provide access to a portfolio of basic services and products. A European bank, for example, assigned priority customers a dedicated relationship manager RM and offered them fast-track credit approvals and special investment products.
The bank migrated its lower-value customers to phone, mobile, and online channels that provided fast, convenient service, but at a minimal cost. See Exhibit 2. Banks can take several steps to help their sales force be more effective in serving higher-value customers. Implementing digital tools that help centralize decision making, enable a more cohesive performance review process, and systematically monitor sales effectiveness would help RMs refine their efforts and spend more time in front of customers.
To further improve performance, banks can radically simplify their portfolio to eliminate redundant, overlapping, or low-impact items, such as safe deposit boxes and a multitude of lending products.
Simplification will not only reduce operating costs but also increase cross-selling opportunities; a streamlined portfolio makes it easier to create product bundles for specific audiences. For example, a bundle for small businesses with simple needs may include a checking account, a few investment products, overdraft protection, a credit card, and a merchant point-of-sale solution. Improve and expand digital platforms. More than three-quarters of respondents to the BCG Global Digital Corporate Banking Survey said they would like one-click access to products and a single sign-on across platforms.
See Exhibit 3. But to remain competitive, banks must improve and expand their digital platforms. They can accomplish this by, for example, tasking internal teams with the job, building a center of excellence or an innovation lab, or seeking acquisitions. Whichever route is selected, the first step is to listen to small business customers, whose perspectives and priorities will inform a detailed roadmap.
Partnerships are another way to advance digital platforms. Some banks are collaborating with fintechs to improve and expand services in areas such as cash management, foreign currency exchange, invoice scanning, and payroll. Other banks are partnering with consultancies to experiment with concierge-style services that include consulting, specialized employee training, and procurement support.
Partnering can be mutually beneficial: it can help banks accelerate innovation and launch new services at a lower cost, while giving partners the opportunity to significantly scale their solutions. Such collaboration also tends to lead to more cross-selling opportunities and higher adoption rates. For example, a fintech partnered with financial institutions around the world to connect 15, small and medium- sized enterprises to an online platform where they will find a variety of business services and opportunities.
Optimize pricing and fix disparities. Setting and maintaining realistic prices are major challenges for banks in the small business segment. Anomalous discounting practices, limited pricing transparency, and a lack of benchmarking lead to inconsistent industry pricing. Your search returned no results. Please adjust your search criteria above or see all opportunities.
By clicking Continue , you will be taken to a website that is not affiliated with Bank of America and may offer a different privacy policy and level of security. Bank of America is not responsible for and does not endorse, guarantee or monitor content, availability, viewpoints, products or services that are offered or expressed on other websites. You can click the Return to Bank of America button now to return to the previous page or you can use the Back button on your browser after you leave.
Banking, markets and finance roles across the bank work directly with our customers across the U. Teams across our corporate functions are essential specialist teams that work to ensure the strategic, efficient and successful running of the bank's day-to-day business. Our relationship banking model serves clients across the full spectrum of their needs as they borrow, pay, save, invest and protect and is supported by global assets and capabilities that are deployed locally.
With a high-quality, highly digitally engaged customer base and one of the most dynamic partner ecosystems in the industry, the franchise is well positioned for where the world is headed. In a rapidly changing landscape, the GCB intensified its focus on three strategic priorities to position the franchise for long-term growth: winning in wealth management; leading in consumer payments and lending; and driving scale through digitization and partnerships.
With digital at the core of our strategy, GCB delivered double-digit growth in deposits, enhanced value propositions and provided an array of digital capabilities, garnering industry accolades for client experience. Insider Intelligence. At the onset of the COVID pandemic, Citi responded quickly, enabling thousands of colleagues to work from home in a matter of weeks, with requisite training, technology and onboarding, while retaining servicing for customers.
We launched assistance programs in markets worldwide, the first large bank to do so in the U. We continued to serve clients safely in branches, introducing new safety measures and cleaning protocols, as well as innovative ways to serve clients remotely, such as video banking in Asia and the U. As COVID made mobile capabilities, high-touch digital services and the human touch critical, Citi introduced new and enhanced digital and mobile capabilities and evolved product benefits across our credit card portfolios to ensure value, utility and relevance to customers.
As of December 31, , Citi had assisted more than 5 million customers and small businesses worldwide with a range of assistance measures, including fee waivers and deferral of credit card minimum payments.
0コメント