Commercial Bank of Africa (CBA) has launched a new digital money management and consumer service that is set to transform how retail customers affiliated with the lender will manage and interact with their finances.
According to CBA, the new innovation called Loop targets millennials as well as tech-savvy customers and which has been tagged ‘Unbank Yourself’. The system is set to eliminate the need for customers having to visit physical branches for any of the core banking services. All the services, according to the bank will be offered via the mobile platform, Loop.
Loop, different from the normal banking Apps already on the market, features a personal financial management tool that enables customers to track, plan and analyze their income against expenditure on a regular basis, with the analysis presented using graphical tools for faster interpretation. The tool also makes it easy for customers to plan and finance the personal goals and other aspirations for a given period of time.
“CBA has over the years been associated with transformative innovation that has redefined the financial sector, having been the partner bank when Safaricom launched MPESA 10 years ago, and MSWARI in November 2012.,” said Eric Muriuki, the General Manager, New Business Ventures at CBA.
Loop presents a range of transactional features that streamline how customers save and make investments, which fits in well with the government aspirations to inculcate a savings culture among Kenyans. Customers will also be able to use the platform to schedule their utility payments, send money, access loans and pay for goods and services at retail outlets.
The new service was developed over the last two years, based on deep insights gained from the millennial and tech savvy customers. The research delved into the target customers’ habits, their motivations, aspirations, preferences, passions, as well as their pain points in accessing banking services such as loans, deposits and making savings.
Muriuki said, “While the banking sector has effectively catered to its more established customers, it has fallen short in addressing the needs and preferences of millennials and particularly the new age entrepreneur. Square pegs cannot fit into a round hole. Loop is the realization that technological advancements and consumer changing behaviors dictate what and how we offer as financial solutions.”
“Our communication on Loop also does away with the traditional banking jargon, which according to research does not relate well to our target market. In its place, we will opt for more relatable terms that will place our customers at the center of their respective financial journeys,” he added.
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