To alleviate customers from the hassles of banking, Security Bank launched a pro-customer product, shifted from being operations-centric to being sales-oriented, and streamlined its processes.
Security Bank has been transforming its retail banking business since 2014 to become a pro-active customer-focused bank today. The bank aims to grow its retail business – specifically double its retail Current Account and Savings Account (CASA) funds – in three years and become one of the top-of-mind leading retail banks in the country.
In pursuing this goal, the bank leveraged on the market insight that 78% of customers are unhappy with their current banks as they feel insignificant compared to top-level clientele. As such the bank came out with a slogan of BetterBanking® products and services, committing and communicating to the consumers the message of “You deserve better”. Under this branding, the bank shifted from being operations-centric to being sales-oriented, and streamlining bank processes. More importantly, it launched products, services and perks that were pro-customer.
One of the customer pain points the bank identified in banking is the hassle of opening account. In the Philippines, this entails a tedious process and laundry list of requirements needed to on-board a client. Moreover, accessibility to financial products remains to be a challenge. According to the Bangko Sentral ng Pilipinas National Baseline Survey for Financial Inclusion 2015, 38% of municipalities in the country are still without any banking presence, with an average of 26 minutes to reach the nearest bank branch.
With all these in consideration, Security Bank launched its All Access Account, Security Bank’s CASA product, to offer customers “freedom from banking hassles”. In opening an account, customers are freed from the friction of presenting several documents and accomplishing tedious forms.
Consumers are only required to bring one identification card to acquire an All Access Account. In addition, the bank introduced a “Human Switch Kit” and an online account application portal to provide clients faster and easier ways to open an account without having to visit a branch. Through these platforms, potential clients can file an online request and a sales associate will contact them for a meeting to discuss the products, assist them in the application process and filing of forms.
Once approved the bank can deliver the passbook, cheque book and MasterCard debit card straight to the client. The MasterCard enables customers to access their cash locally and internationally, and use it for purchases whether offline or online. The bank has also enhanced its digital channels to give banks full access to their accounts and conduct transactions. It introduced an online-only savings account with a higher interest rate than a time deposit and auto-savings feature wherein customers can the set aside a portion of funds intended for savings. It also has an “E-Give Cash” feature that allows money transfer to anyone with a mobile phone.
Early this year, Security Bank also relaunched the All Access product to include free life insurance coverage.
To promote awareness of the account in the market and drive client on-boarding, Security Bank implemented a brand engagement campaign which covered above-the-line, below-the-line, nonconventional efforts in various channels including television, newspapers, social media, and billboard.
As a result of these efforts, the bank’s total All Access Account outstanding balance as of June 30th 2017 grew by 51% from the same period last year. It also generated over 50,000 new-to-bank customers and contributed to more than a third of new-to-bank generated retail deposits.
Transforming basic deposit products through technology
With a customer-centric product, the bank was able to reflect on the customer journey, identify customer pain points, and improve on them. In a market like the Philippines, where there is a dearth in product innovation, it is interesting to see how a basic deposit product can be transformed through technology and customer insights.