New age technologies to drive customer loyalty: IBM study

The evolving retail banking landscape in India must focus on deploying new age technologies to innovate, grow, connect and sustain customers, according to a new study titled ‘Understanding the Indian Retail Banking Customer’ commissioned by IBM.

The evolving retail banking landscape in India must focus on deploying new age technologies to innovate, grow, connect and sustain customers, according to a new study titled ‘Understanding the Indian Retail Banking Customer’ commissioned by IBM.

The study, which was conducted by International Data (IDC), aimed to analyse the changes in behaviours of Indian retail banking customers.

Around 5,000 customers from five public and five private sector banks were questioned, as part of the study, which found that the banks have good opportunity to deploy new technologies and help enhance its customer base.

According to the study, around 30% of customers transact with more than one bank, 87% of customers have only one account with their primary bank, but only 58% of customer investments lie with their primary banks, which mean banks have an opportunity for remaining 42% of customer investments.

IBM ISA banking, financial services and insurance (BFSI) leader and vice president, Venkatramani Subramanian, said banks are increasingly realising the need to give their customers a more holistic, seamless experience throughout the value chain.

"The need of the hour is to understand individual consumer’s transactions and nuances of their unique investment behaviour. Integrated and consolidated solutions by IT partners become imperative as technology will drive the business priorities of banks in the future," Subramanian added.