by SAVIOUS KWINIKA
JOHANNESBURG, (CAJ News) – A MAJORITY of South Africans expect the country’s banks to make a full transition to digital banking within five years.
Two-thirds of the population believes the South African retail banking has the potential to become fully digital during that period if banks provide easy-to-use, secure channels and make human assistance accessible when needed.
This is the finding of the Boston Consulting Group (BCG) in partnership with Discovery Bank, which have introduced a new report titled: The Future of Retail Banking in South Africa.
The report analyses the views of 1 000 South Africans.
It also notes that South Africans are further ahead of the technology curve than their banks.
The vast majority – over 86 percent – of South Africans across income bands, prefer conducting banking digitally.
More than 50 percent of customers over the age of 60 years are comfortable using a fully digital bank.
Only 40 percent believe there will be a need for bank branches in five years.
Nearly a third (31 percent) of customers – particularly those older than 35 – still prefer some human interaction, especially when resolving complex account problems.
“Consumers are ready for a fully digital experience,” said Tijsbert Creemers, Managing Director and Partner at BCG Johannesburg.
“While COVID-19 initially forced many to change their banking behaviour, they have now adopted digital servicing as the norm,” Creemers said.
Hylton Kallner, CEO of Discovery Bank, said banks had moved closer to customers.
“When you make the leap from a physical bank to one that is completely digital, you’re literally in the palm of the client’s hand,” Kallner said.
– CAJ News