Customer Loyalty Is One Of The Main Challenges Of Digital Bank Business

Deputy President Director of PT Bank BTPN Tbk Darmadi Sutanto. (Photo: Doc. Antara)

JAKARTA - Deputy President Director of PT Bank BTPN Tbk Darmadi Sutanto acknowledged that customer loyalty is a challenge for today's digital banking business, especially for Jenius, who is the pioneer of digital banks in Indonesia.

Darmadi assessed that many customers from young age groups can easily move from one digital bank to another, because they consider promos and attractive interest.

In addition, the cost of moving to other digital banks is very minimal. It is different when compared to before the digital era where customers have to visit branch offices if they want to open an account.

"Yes (Customball is a challenge). People with banks actually need trust and ensure that banks exist throughout the ages. But for netizens (or young people today), it is not very important," Darmadi said when met by reporters in Jakarta, quoted from Antara, Tuesday, August 13.

In the digital bank business, Darmadi does not deny that there will always be customers going in and out. Even so, he said again, the number of active customers is a benchmark for the performance of digital banks.

He noted that the number of active Jenius customers continues to grow positively with an average increase of 15-20 percent every year.

Until the end of June 2024, based on company data, Jenius' total users reached 5.8 million customers, an increase of 21 percent year-on-year (YoY) from the previous 4.8 million customers last year.

Of the total users, Darmadi said that active Jenius customers or who transacted in the past month only reached 25 percent. The average active customer transaction reaches IDR 15 million-IDR 17 million per month.

In the midst of the trend of customers who often switch services to other digital banks, Darmadi said it had become part of the times that could not be fought. Therefore, Jenius himself continues to improve to be able to provide services that are different from other digital banks.

Jenius, added Darmadi, also focuses on providing comprehensive financial services in one application, so that customers do not need to switch to other platforms. One of them is by providing mutual fund investment features in the Jenius application, in collaboration with several trusted investment managers including the latest with Syailendra Capital.

Of the total of more than 5 million Jenius customers, Darmadi said that currently only around 100,000 customers are registering or opening mutual funds. Of the total mutual fund investors, only 10-15 percent of them are actively buying and selling mutual funds.

Through collaboration with Syailendra Capital as well as efforts to increase the promotion of mutual fund investment products to customers, he hopes this can increase the number of active investors through the Jenius application to at least reach a portion of 25 percent in the next 1.5 years to 2 years.

We always select the best investment products available on our platform for our customers. Syailendra Capital can meet our customers' investment needs, given its track record for more than 17 years, a consistent performance beyond benchmarks and variety of relevant products, "said Darmadi as well.