Inc42 and WebEngage recently hosted a panel discussion on the fast-evolving Indian fintech market. Titled Customer Experience (CX): The Next Battleground For Digital Finance, the topic covered many critical points such as:
– Traditional data collection and challenges in marketing automation
– Breaking data silos to create a single viewpoint of customers
– How to implement a unified view in creating customer profiles
– Building and sustaining customer experience in Tier 2 and Tier 3 cities
– Prerequisites to achieve true individualisation and create unforgettable customer experiences
Moderated by Minesh Koradia, director of banking and financial services at Mumbai-based marketing automation platform WebEngage, the discussion featured noted personalities, including Neelabh Sanyal, founder and COO of Kuvera.in; Kartik Jain, cofounder of Karbon Card; Viram Shah, cofounder and CEO at Vested Finance, and Joginder Rana, vice president and MD, CashE.
The CX Challenge In Digital Finance
According to a FIS survey, 68% of Indian customers used digital channels for financial transactions during the Covid-19 lockdowns. As this digitally savvy customer base increases, fintech find it crucial yet challenging to customise consumer experiences in sync with a fast-evolving ecosystem.
This wave of change can be mainly attributed to the varied combinations of socio-economic and technological transformations that the world has undergone in the wake of the pandemic. Consequently, customers today, whether individuals or enterprises, look for convenience, speed and security from fintechs and financial institutions (FIs).
Therefore, startups operating across the fintech landscape place a high premium on developing a customer-centric strategy. Also, various studies reveal that acquiring new customers is more costly than retaining the current ones, especially for startups. What makes it even more complex is that customers enjoy unlimited choices in the digital age, and their focus and loyalty tend to get divided too soon. Simply put, it is getting more challenging to retain loyal customers.
During an earlier conversation, Yashoraj Tyagi, CBO and CTO at CASHe, an instant personal loan provider, told Inc42, “The millennial and the Gen Z cohorts are managing a disconnected portfolio of providers, apps, virtual cards and banking accounts. But it does not result in a seamless experience, thus making customer retention more challenging.”
One of the fastest-growing sectors in India, the fintech market opportunity is expected to reach $1.3 Tn by 2025. This depicts the sector’s vast potential but further indicates the challenges awaiting fintechs as they scale their operations in a highly competitive market fraught with regulatory hurdles.