High smartphone and internet penetration, a growing millennial population, and supportive government policies have accelerated banking digitisation in an ecosystem of FinTechs and technology partners.
“Today, about 84% of our customers are digitally active, using digital touchpoints for everyday banking needs, portfolio management and new product sign-ups,” said Marwan Hadi, Group Head, Retail Banking and Wealth Management at Emirates NBD. He also noted the rise of contactless payments for increased convenience.
Emirates NBD launched an enhanced version of its mobile banking app, ‘ENBD X,’ offering over 100 simplified, instant, and paperless services with an easy-to-manage preferences centre.
“The cloud-native app delivers a faster and smoother experience, offers 150 instant or simplified services, and provides users an easy-to-manage global dashboard with a 360-degree view of their entire portfolio,” he explained. “We further revamped our digital bank Liv, with a value proposition targeting Generation Now young professionals (comprising mainly Gen Z and Gen Y) who have distinct lifestyles influenced by technological sophistication, a higher-than-average tolerance for risk, openness to managing multiple jobs and being more sustainably conscious – all translating to unique financial needs that Liv can fulfil.”
Hadi highlighted the need for advanced digital tools to meet evolving customer demands, emphasising sustainability, AI and machine learning for personalised banking experiences. “This personalisation is key to building deeper customer relationships and improving satisfaction,” he noted.
He stressed that educating customers on digital banking tools and the principles of financial health is a priority, ensuring they are well equipped to manage their financial lives effectively in a rapidly evolving digital world.
Challenges facing retail banking and wealth management
A vital element within the digitisation strategy is security. Additionally, economic volatility and fluctuating interest rates pose significant challenges, impacting customer behaviour in terms of lending, borrowing and investments.
“Regulatory compliance remains a considerable challenge as well, with the need to stay abreast of and adapt to a complex framework of local and international regulations,” said Hadi. “Data management and privacy are critical as well, as we manage large volumes of customer data while ensuring compliance with stringent data protection laws.”
Consumer behaviour and expectations
Consumers are increasingly using technology in their daily lives, which extends to banking and wealth management. The pandemic has further accelerated the shift towards digital banking, with consumers expecting more robust online services and contactless options.
“Further, as consumer behaviour and expectations evolve, security in banking becomes increasingly crucial to safeguard their trust and financial well-being,” Hadi explained when asked how consumer behaviour and expectations are changing in retail banking and wealth management. He also noted that human error remains among the biggest vulnerabilities for cyberattacks and the awareness that fraud reporting generates will serve as the best defence.
Financial literacy
Talking about how banks can play a role in educating customers about managing their finances effectively, Hadi explained Emirates NBD promotes financial literacy through several initiatives that showcase how customers can save, spend, borrow and invest wisely and ensure good financial planning. “The bank has spearheaded a range of initiatives to educate and engage the public, including students via nationwide financial and security awareness campaigns as well as its #moneywise centre which offers an array of free resources to help customers manage their finances better,” he added.
The bank also provides financial wellness and financial literacy initiatives and training for customers, employees, students and partners, has programs to enhance employment opportunities for persons with disabilities and has global partnerships with multiple organisations and initiatives such as the UN Global Compact. Workshops are carried out to help customers better manage their debt, enhance financial planning skills and understand the importance of a good personal credit score. The bank also promotes financial wellness among staff through coaching programs.
