Saudi Arabia customers ditch traditional banking for better service, digital accounts and crypto-curiosity

Although banking products like fixed deposits and personal loans remain behind 2020 levels, credit cards and current accounts are increasingly witnessing an uptake in acquisitions in the past year. This is, reportedly, because credit cards and current accounts offer customers ease and simplicity when acquiring them during the pandemic, especially when physical banks were temporarily closed since they are already digitalized technology. However, a factor supported by national priorities, the survey shows an increase in the desire for innovative savings products across the retail market.

The willingness to open digital-only banking accounts among customers comes as a threat to traditional banking players. Most customers expect to do their transactions from the comfort of their homes, on their smartphones. Instantaneous account opening, payments, and loans are only some of the most interesting and appealing features of digital-only banks. Moreover, with the popularity of cryptocurrencies, 44% of respondents confirmed that they were planning on investing in cryptocurrencies if they hadn’t already done so.

Based on this year’s findings, the vital areas of focusing for banks in the coming year are:

• Acceleration of digital transformation and serving the increasingly demanding customer needs

• Launch of innovative savings and digital lending propositions

• Personalization of marketing apropos customer’s financial lifestyle

• Embedding of new asset classes leveraging increasing customer demand.

• Building of external APIs and account integrations to build new use cases with the help of open banking

(Source: Ameinfo.com)