Chapter 4 - The transformation of Tech

Digital Office

“We offer a hyper-personalised, comprehensive banking experience that is simple for customers to use. Chosen as the trusted digital partner of so many, our operational efficiency means everyone can enjoy the service excellence they deserve. Our digital leadership has even been recognised globally – we won Best Integrated Corporate Banking Platform Globally and Best Mobile Banking App Across the AsiaPacific Region by Global Finance.”

Pranav Seth

Chief Digital Officer

Overview

The Bank’s ongoing strategic investment in digital platforms, digital acquisition and providing the best possible digital experiences has seen us attract ever larger numbers of new customers and offer them unique, data-enabled, hyper-personalised experiences. As we delve more deeply into our sea of data to gather insights and harness the power of AI and machine learning, we are continuously making every customer’s experience more bespoke. The ability to innovate and effortlessly increase the number of customers we serve, has led to more transactions being done online, costs in several areas being reduced and overall returns rising. Our multi-award-winning digital transformation has the Bank operating at new levels of efficiency and on track for future growth

2023 Highlights

1. Building for scale and impact

2.6 million

new customers

2.3x

year-on-year

2.6 million

new customers

2.3x

year-on-year

94%

retail transactions online

88%

corporate customers active on digital platforms

To build on above, we are aggressively migrating customers away from channels like the contact centre, and towards digital solutions with a significantly lower cost-to-serve:

Cost to serve digital current account savings accounts (CASA) are at 27% – 14% less than that of 41% at branches
Digital term deposits are at 11% – nearly half that of branches at 20%.

2. A simpler and hyper-personalised experience

A prime example of simplifying our products was for our core wealth product, the Certificate of Deposits Bao Loc (CDBL). On the one hand we simplified the digital journey and on the other made it more accessible by reducing the minimum investment amount to only VND 10 million for retail customers (down from VND 100 million) and VND 50 million for corporates. This drove CDBL to more than 64% of total retail savings and 57% for corporate savings.

We were first to offer completely online banker’s guarantees for our corporate customers. The journey simplifies our customer’s day to day operations – beyond banking – by helping them leverage multiple documentary formats used in the industry. Since its launch in August, this innovative service has seen monthly growth of 50% in the value of banking guarantees and a 96% increase in applications, capturing 37% of the traditional product’s customer base.

In addition to simplifying our products, we made significant investments to unleash the power of our data to create hyper-personalised experiences across multiple channels; including our website, mobile apps and social media. We are aiming to provide each customer with bespoke interactions and accesses solutions that align with their individual needs.

3. Customer satisfaction and industry recognition

Our commitment to delivering exceptional user experiences earned us top spot for Net Promoter Score (NPS) of 82 by the end of 2023, up from 75 in 3Q23.

4.8 ⭐

App Store

4.9 ⭐

Google Play

Our efforts and innovations have been noticed across the industry. We have received many accolades for excellence, reflecting our leadership in integrating technology to deliver superior banking experiences:

Best Integrated Corporate Banking Platform Globally and Best Mobile Banking App in Asia Pacific – Global Finance
Digital Bank of the Year in Viet Nam – The Asset Triple A Digital Awards
Most Innovative Digital Banking Platform for Corporates in Vietnam – Global Business Outlook
Celent Model Wealth Manager – Celent
Outstanding Innovative Banking Product and Service Award – Vietnam Outstanding Banking Awards
Best Digital Business Model in Vietnam – The Asian Banker
Digital Consumer Banking Initiative of the Year in Vietnam – Asian Banking & Finance.

2024 focus

In line with the Bank’s overall transformation strategy and focus in 2024, Digital Office will:

Strive to maintain our leadership in the digital banking sector
Enhance our customers’ financial growth by offering innovative solutions, hyper-personalised experiences to meet their evolving needs
Use multi-touch analytics and an analytics workbench to better understand customer interactions and preferences to improve our offerings so Techcombank becomes their preferred bank.