Every company in the financial space has UX, or user experience, on their minds at the moment as more and more customers are in need of simplicity in their banking systems. Over the past few years, banks, like BBVA for example, have used the popularity of the gaming industry to their advantage and implemented a social application for their customers to use. bobsguide spoke to Rajashekara Maiya, Associate Vice President at EdgeVerve, an Infosys company, about how the emerging market of India is using gamification in order to tackle the unbanked youth community.
Maiya highlighted that with almost 96% of the population connected to the internet and social media, banks should look at this as the perfect way to get the younger generation onboard with banking. “30% of banks have a common and unified view of the customer, but they should consider his attributes and other information and use it contextually to offer products,” Maiya said. He continued to say that on a worldwide scale, we are seeing a lot of changes in the regulated space, especially as more and more power is being given to the end consumer.
In 2015, Indian banking legislation was changed so that children did not have to wait until they were 18 to have a bank account - the law has now changed so that 10 year olds can bank. With 65% of the Indian population under the age of 25, Maiya asked what is the best way to leverage this situation to attract, retain and cultivate them so that you can make money. However, a problem arises when a 10 year old does not know the difference between debit and credit, so “banks have to start educating from this stage and change the user experience so that customers understand the associated risks.”
Infosys conducted a survey where they asked millennials around the developed world who they would trust as a bank and the results were astounding. “Almost 60% said that they would trust Google as their bank because Google already had all of their personal information stored and that is why they do not mind having a financial relationship with the corporation.” On the other hand, in a survey also conducted by Infosys where they asked 160 banks who they consider their biggest threat, 45% of the respondents said Google.
“At some point in between the end user’s viewpoint and the business service’s viewpoint, they are aligning. Banks are seeing them as a threat while the end user is looking at trusting them more than the banks. In order to help banks out with this problem, they should go fully digital,” Maiya explored. He also commented on how as well as moving forward into a fully digital sphere, as the younger generation play virtual games, use virtual currencies and have virtual relationships, “gamification is part and parcel of their lifestyle.”
Using games within banking application can also help the younger generation gain a better understanding of the product, as well as the risks associated. Alongside this, a goals system should be taken into consideration when creating a system as the younger generation need apps like a calculator and a savings generator so that they can make purchasing decisions, Maiya said.
To return to idea of the younger generation using virtual currencies, blockchain may be a little more appealing to this generation in comparison to those working in banks at the moment. Maiya said that the company has accepted blockchain as an underlying technology that can ensure functionalities are more comprehensive. To conclude, he spoke about how fintech hubs like Singapore and Israel are taking gamification into consideration.
“We are seeing very interesting developments taking place and instead of worrying about these fintech startup companies, banks should collaborate with them and create a coopetition.”