Vritti December 2018 | Page 5

The Digital Financial Services Guide vritti December 2018 5 — Ramkumar M Trends accelerating the uptake of Digital Banking personalization and experimentation engines are the buzzwords in today's digital banking world. A right mix of these tools and capabilities are highly effective in enhancing consumer engagement and retaining them. Increase in Cost Optimization: Traditional obstacles notwithstanding, banks are increasing leveraging “digital” assets to optimize costs. In fact, this works in favour of players planning to enter this space, as it would entail lower capex. Laggards will find it extremely difficult to cope, as new age banks would be able to deliver engaging digital experiences, thereby causing the former to lose considerable market share in short time span of time. Personalization Comes to the Fore in Experience and Communication: The concept of digital banking itself is undergoing transformation. What started as a means to build, manage and control the omni-channel experience is changing into a tool for customer engagement. Segmentation, instant configuration capabilities, marketing automation, The Customer's Affinity to Pure Digital Propositions: According to McKinsey, 80 per cent of consumers surveyed said that they were willing to shift at least a portion of their holdings to a bank that offers a compelling digital-only proposition.