In 1991, when the then Finance Minister Dr. Manmohan Singh opened India to globalization, he ushered in a change in the banking industry too. Multinational banks soon found their way into the thriving Indian market, vying for a piece of the huge billion customer Indian market pie. Things became better for the customer too! More providers meant increased efficiency in the Indian banking sector, which was then a bureaucratic setup. The changed rules also completely changed the factors that customers consider when they open bank accounts today. To understand it better, let’s look at the changes that a modern customer has gone through since then.
When You Open a Bank Account: The Changed Rules
Location And Networks Do Not Matter:
If you ever tried to open a bank account in the past, you will know that customers always preferred banks that were closer to their home and had a large network all over the country. But with technology, this condition has become irrelevant. As a customer, you can take your bank with you wherever you go. No matter where in the world you are and what time it is, all you need is an internet connection and you can transact at lightning speed.
Watch Out For Allied Services:
In the past, when customers would open a bank account, they were looking for just plain vanilla banking services. Competition today has ensured that bankers sell mutual funds, insurance and a basket of other services. Loans are increasingly available to a larger segment of the population. Hence, a customer today thinks about how large the banking group is and how can they help him meet his overall needs when he opens a bank account with them.
Watch Out For E-Banking and M-Banking:
It is not only convenient but financially more viable to subscribe to e-banking and m-banking. Any bank that doesn’t provide you these services is robbing you of a truckload of discounts and promotional schemes. Today’s customer will simply refuse to open an account if the bank doesn’t have a robust IT system in place.
Watch Out For Commitment To Services:
Lastly, the Indian customer has been fed up with beauracratic banks. He has very little patience with regards to service delays. It is for this reason that some banks even provide cash delivery at home to keep their customer base intact. It is such service that inspires word of mouth confidence, and more and more friends and relatives of a customer open accounts with the same bank.
To conclude, technology and professionalism have changed the Indian banking industry for the better. Today’s customers have totally different expectations and aspirations as compared to their traditional counterparts.