Over half of consumers in the Bangkok region see sustainability and ESG credentials for banking services as ‘extremely important’ – Capco Bank of the Future survey
82% consider an app that provides increased visibility into all their financial products and provides personal insights as “extremely” or “very” attractive
BANGKOK, 29 November 2022 /PRNewswire/ — Banking services’ climate and sustainability credentials have become a key priority for banking customers Bangkok and surrounding areas, according to a new survey of 890 local consumers conducted by Capco, the global technology and management consultancy, as part of the new Asia-Pacific focused The Bank of the Future report.
The proportion of respondents who identified sustainability credentials as “extremely important” is significantly higher in Thailand (52%) than in two other important regional markets examined, Singapore (23%) and Hong Kong (27%). These findings are part of Capco’s larger survey of nearly 5,000 consumers across five markets in Asia-Pacific region – which also included the Greater Bay Area (ex-Hong Kong) and Malaysia – to measure attitudes towards banking services at a time of rapid changes in the personal banking industry.
The Thailand element of the survey highlighted the importance of mobile banking – 85% of respondents access banking services using mobile apps – and a clear desire for more personalized banking services. When asked how attractive they would find an app that provides better visibility into all their financial products and provides personal insight, 51% of respondents answered “extremely attractive”, another 30% “very attractive” and 15% “somewhat attractive”.
Consumers in Thailand are also particularly open to the idea of sharing personal data to unlock more personalized services and offers, compared to their counterparts in other markets. Over half (51%) of the respondents in Thailand answered “yes, definitely” when asked about sharing data such as consumption behaviour, social media profiles and wearables data. Additional 30% off Thailand respondents are willing to consider it. By comparison, it is only 17% in Singapore replied “yes, definitely”.
Key themes emerging from Thailand the survey includes:
1. Consumers are willing to share data from social media – Information from profiles on social media is the number one type of data that Thailand respondents would share (50%), followed by data from fitness and health tests (49%), location services (47%) and other data types. This contrasts with most other markets Capco surveyed – respondents in Malaysiafor example, they were more likely to share data from location services (47%), life events (46%), fitness and health tests (41%) and other data sources than social media data (32%).
2. A high level of trust in “Big Tech” – The vast majority (92%) of Thailand Respondents say they would trust a “Big Tech” firm to perform their banking services as much as or more than a bank. This finding was in line with the other markets Capco examined.
3. An increase in the online bank’s trust – In the wake of COVID shutdowns and other restrictions, our survey found that a large majority (88%) of Thailand respondents reported increased trust in mobile and digital banking services over the past two years. However, almost the same percentage (89%) say that they want a better online experience from the bank provider.
Chulayuth Lochotinan, Partner and Head of Capco Thailand, said: “Thailand has come a long way from a country that only a few years ago depended on cash and bank branches. Our research highlights the growing popularity of mobile banking apps and reveals a strong propensity for consumers in Thailand to share their data in exchange for more individually tailored services. Furthermore, the survey shows consumer demand for a better online experience, as well as an appetite for all-in-one digital apps – in line with the rise of super apps in Thailand.
“With the introduction of virtual banking licenses on the horizon, banks will need to prepare for likely competition from technology companies looking to disrupt the existing customer experience through increased engagement. In particular, they will need to orchestrate internal technologies to ensure effective integration between their legacy systems and new technologies and innovations that enable real-time personalization.”
James ArnettAPAC Managing Partner at Capco, said: “Retail Banking Across Asia-Pacific undergoing a seismic transformation. Digitally savvy, mobile-oriented consumers are playing a key role in reshaping banks’ priorities and the wider banking ecosystem. New technologies give consumers unprecedented freedom to pick and choose how they communicate with their bank(s), access more personalized services and see a more complete overview of all their finances. As established banks and their competitors aim to support consumers’ personal and lifestyle aspirations, our findings from the survey shed new light on the priorities that will define the bank of the future.”
The survey was conducted online during September and October 2022 and collected answers from a total of 4,889 respondents in five Asia-Pacific markets. Individual Sample Sizes – Hong Kong: 707; Greater Bay Area (ex-Hong Kong): 1293; Singapore: 1000; Thailand: 890; Malaysia: 999. Survey respondents were drawn from six age groups – 18-24, 25-34, 35-44, 45-54, 55-64 and 65+ – and sample sizes were representative of age-related demographics in each market
Capco, a Wipro company, is a global technology and management consultancy specializing in driving digital transformation in the financial services industry. With a growing client portfolio of over 100 global organizations, Capco operates at the intersection of business and technology by combining innovative thinking with unrivaled industry knowledge to accelerate digital initiatives for the banking and payments, capital markets, wealth and asset management, insurance, and energy sectors. Capco’s pioneering ingenuity is brought to life through its award-winning Be Yourself At Work culture and diverse talent. To learn more, visit www.capco.com or follow us on Twitter, Facebook, YouTube, LinkedIn and Instagram.