The Record - Issue 18: Autumn 2020

132 www. t e c h n o l o g y r e c o r d . c om V I EWPO I NT Banking in the digital age S E L I M HA S AN : V E R I PAR K UK The Covid-19 crisis has accelerated the redesign of the banking experience and made it necessary for banks to develop a digital onboarding solution for new SME customers S mall- and medium-sized enterprises (SMEs) and corporate businesses are adapt- ing to the Covid-19 pandemic. Almost overnight, we’ve seen a seismic shift from the high street to online banking and other financial and professional services. There have also been significant changes for bank employees, with many now working from home. At first glance, digital-only banks may seem better prepared for this change. However, tra- ditional banks often have strong and trusted brand reputations. This familiarity can be a big advantage at a time when SMEs are seeking reassurance and stability. On top of that, tradi- tional banks have significantly larger resources on hand. As more business customers are switching to dig- ital channels to interact with their banks, the future of SME customer acquisition will be decided in the online space. Banks are quickly realising that to remain competitive, they must offer full-service digital banking and be able to onboard customers anytime and anywhere via any device. This will improve the customer experience and lifetime value, while boosting staff productivity. Taking a page from the retail marketing handbook, proactive banks are redefining their approach to SME customer onboarding. To do this, they are looking for ways to ease com- plexities and minimise pain points, such as paperwork and manual data entry, during the application process. The Covid-19 crisis has accelerated the rede- sign of the banking customer experience. Traditionally, opening an account meant face- to-face meetings and signing paper documents. That is no longer an option. Now, SME customers are spending much more time online and, more than ever before, they need their bank’s support to manage their finances and ease financial pres- sures. Banks need a full range of digital tools to acquire and care for all their SME customers; not just those who are used to digital banking but also those who would previously have preferred to use a branch. Attracting new SME customers is neither cheap nor easy. Banks need to find new ways to reach them, draw them in and sell relevant new prod- ucts and services. Customer onboarding sets the tone for the ongoing relationship banks have with their customers. Consequently, it’s essential to get the first part of this journey right and avoid wasting significant customer acquisition costs. Many SME customers now also want to bank digitally without going to a branch. They want the experience to be fast and flexible with no frustrating delays. Even if they choose to use different channels, they don’t want to answer the same questions multiple times – they just want to start banking as quickly and as simply as possible. Enpara.com, Turkey’s first purely digital bank, is a good example of digital customer onboarding. “Customer onboarding sets the tone for the ongoing relationship banks have with their customers”