Along with the new consumer, digital ecosystem of Bangladesh has also rapidly evolved over the last few years. Bangladesh is set to leapfrog many advanced economies. Although digital influence is high, adoption of online banking remains at 12%, and Insurance sector is yet to evolve on digital adoption, barring couple of Insurers. 

Financial Institutions need to leverage digital to transform customer experience. Customers today are looking for an on-demand, digital and customised experience. FI’s need to reinvent themselves and reorient customer touch points and backend processes in line with customer expectations.

Financial Institutions need to transform themselves in three stages :

• Fix the basics : Focus on digital processing and rationalise clutter in digital offering
• Transform experience : Leverage customer data and integrate channels instead of ‘siloed’ working
• Customer journey : Focus on end-to-end journey to create ecosystems

Adoption of digital can significantly increase profitability for FI’s. On an average, customer acquisition, servicing and transaction cost over digital channel is 1/10th compared to traditional channels. Also, customers using digital channels tend to generate almost 5x-8x revenue. Overall, this leads to 10x higher profitability from digital customers over non digital customers.