Smart digital banking which uses modern technology undoubtedly provides customers the best banking experience. It is no longer a trend but has quickly become a necessity in daily life, especially for young generation.
The world is in the era of Digital Technology, where the advancements of Industry 4.0 have profoundly changed the lives of individuals and the business environment. Customer behavior has also changed accordingly, towards increasing service quality requirements.
Grasping the above trend, most banks have launched digital banking applications to anticipate customer needs, especially targeting the consumer is the Millennial generation (born between 1980 and 1995) and Generation Z (born from 1996-2010) – two generations that are digitally savvy and adaptable to change.
Some prominent digital bankinng can be mentioned such as Digimi of Ban Viet Bank, VCB Digibank of Vietcombank, VPBank NEO of VPBank, OCB OMNI of OCB, etc. And recently Co-opbank also launched a digital banking application named Co-opbank Mobile Baking. Co-opbank Mobile Baking with many attractive utilities, demonstrates Co-opBank’s efforts and determination in promoting digital transformation, towards the goal of supporting the sustainable development of the People’s Credit Fund system (PCFs), strengthening the “rural-urban connection”.
Digital banking is apparent in today’s life
Digital banking simply means that all the traditional banking activities and services that were historically available to customers when physically inside of a bank branch are digitized and integrated into a digital banking application.
With a digital banking application, banking transactions can take place anytime, anywhere, whether at home, office or even abroad. All transactions such as checking account balance, transferring money to bills payment , opening a savings account,… can be quickly done with digital banking.
In fact, almost every daily needs can be met through the online form, making life much more convenient. The online trend is further promoted when the outbreak of the Covid-19 pandemic increases the demand for contactless transactions and non-cash payments. This feature is very important to today’s modern lifestyle and is especially suitable for young customers who are usally busy and do not have time to go to the bank and prefer to use technology in their daily lives.
According to a survey by SAPO, in 2021, cash transactions in commerce will only account for nearly 30%; the remaining 70% are forms of electronic paymen; which is a total contradictory to previous years. Wire transfer became the most popular form of payment, accounting for 36.5%, QR code scanning accounted for 9.6%, bank card swiping 8.5% and payment gateway 0.5%.
In that context, the emergence of digital banking has become essential nowadays and is no longer just a temporary trend. Therefore, although it has only appeared in the past 2-3 years, digital banking in Vietnam are gradually being dominated by outstanding features, solving most of the limitations in e-banking.
Convenience in today’s busy life
Built base on the basis of modern technology, digital banking provides a full range of services of a traditional bank such as payment, asset management, savings, borrowing or investment, but integrates many new improvements, bringing more benefits to customers.
With digital banking, customers can easily pay electricity bill, water bill, telecommunications bill, purchase bills… Customers can completely make one-time or recurring payments, and at the same time, schedule automatic monthly bill payment appointments on the mobile application. Thus, no matter how busy they are, customers can rest assured that they will always pay all their bills on time.
This digital bank also meets the need of “cashless life” by virtual card opening service. Right on the application, customers can register to open a card for free without going to bank branch with many complicated procedures. Customers do not need to prove their income neither prepare documents for identity card or household registration book… After only one minute of implementation and two hours of registration, the bank will issue a virtual card with maximum limit of 100 million VND.
For investment savings services, digital banks have satisfied customers with the advantages of: high interest rates, flexible principal withdrawal and proactive management of investments. Thus, with digital banking, customers will be able to quickly meet their financial needs through a computer or a smartphone. Transactions take place almost free but save time and effort. Therefore, even the most demanding customers are satisfied with this new form of banking.
Cost savings from digital banking’s toll-free policies
One of the important conditions for digital banking to become an essential tool is to help save expenses. Not only saving customer’s time and effort to come to the bank, digital banking also helps customers save on annual expenses. In fact, in order to improve the customer experiences, many digital banks on the market today have reduced various costs such as money transfer fees, ATM withdrawal fees, account maintenance fees, etc.
These types of annual expenses seem small, but if they know how to take advantage of them in the long run, they will be a useful financial source to help customers have an extra amount to pay for personal expenses. And this is extremely suitable for young generation who have limited incomes.
