Cash Credit Acquisition Rank 2021: CJM optimization for cash credit banking apps
Market overview & CJM

Align bank's services with assembled customer expectations

The Cash Credit Acquisition Rank 2021 stands as a fundamental analysis, addressing the digital transformation and customer journey optimization for cash credit applications within banks in an Eastern European country. Conducted in 2021, this detailed study thoroughly examines two main ways of acquiring loans across ten major banks. It provides not only a competitive analysis but also benchmarks the evolving landscape of customer interaction and digital services in the financial sector. This comprehensive review presents actionable insights for banks aiming to enhance their digital user experience and operational efficiency. By identifying key trends and customer preferences, it offers opportunities for banks to strategically align their services with customer expectations and emerging market demands.

  • 10 major banks analyzed
  • 2 primary loan acquisition channels studied

Researh highlights

These takeaways offer a deep dive into the state of digital loan processing, presenting both the current landscape and the future direction of banking services in an Eastern European context. The insights are intended to guide banks in refining their customer journeys, improving service delivery, and remaining competitive in a rapidly evolving digital marketplace.

Digital transformation in loan acquisition

The research underscores a significant shift towards digital channels for loan acquisition. A key finding from the Cash Credit Acquisition Rank 2021 is that approximately two-thirds of cash loan applications are initiated through mobile browsers, highlighting the growing reliance on digital interfaces for financial transactions. This move is largely driven by consumer preferences for quick, efficient, and accessible financial services without the need for physical bank visits.

Customer journey mapping

One of the pivotal elements of the study was the analysis of Customer Journey Maps (CJM) for acquiring loans in ten major banks. This examination revealed variances in how banks handle the customer journey from the initial loan inquiry to the final disbursement. The CJMs were designed to pinpoint bottlenecks and highlight areas where digital interventions can streamline processes, enhance customer interaction, and reduce the overall time taken from application to loan receipt.

Efficiency and customer experience

The study clearly outlines that efficiency in processing loan applications significantly impacts customer satisfaction and retention. Banks that were able to offer quick preliminary decisions and faster disbursements scored higher in customer satisfaction metrics. This reflects the modern customer's expectation for rapid responses and reflects poorly on institutions with slower processes, potentially driving customers to more agile competitors.

Legislative and technological challenges

An important aspect discussed in the report concerns the legislative framework that governs digital financial services. The slow pace of legislative support for innovative banking technologies, such as remote identification and digital signatures, poses a challenge to banks. The report suggests that a more supportive regulatory environment would greatly enhance the ability of banks to implement fully digital journeys.

Best practices and strategic insights

The study not only highlights challenges but also encapsulates best practices that could serve as benchmarks for the industry. It includes examples of banks that have effectively integrated digital tools to enhance the user journey, offering a seamless experience from application to loan disbursement. These best practices are critical for banks looking to improve their digital offerings and customer satisfaction levels.

Optimizing digital customer journey maps in loan acquisition significantly enhances customer satisfaction and operational efficiency in banks.

Practical benefits of the Markswebb research

Understanding the practical benefits of the Cash Credit Acquisition Rank 2021 is crucial for banks and financial institutions aiming to modernize their customer interaction and enhance their operational frameworks. Here’s how this research can transform your business operations:

Enhanced customer experience

By adopting the best practices identified through the CJMs in the study, banks can significantly improve the customer experience. This includes reducing wait times, simplifying application processes, and enhancing the overall ease of obtaining loans, leading to higher customer satisfaction and retention rates.

Increased operational efficiency

The research provides insights into streamlining processes and leveraging digital technologies that can help banks reduce operational costs and increase processing speed. This efficiency not only improves customer satisfaction but also boosts the bank's capacity to handle more clients effectively.

Competitive edge

With detailed competitor analysis and industry benchmarks provided in the study, your bank can stay ahead of the curve by understanding current market trends and customer expectations. Implementing innovative solutions that are highlighted in the research can provide a competitive advantage in a crowded market.

Future readiness

The report discusses the impact of regulatory frameworks on digital transformations. Insights into navigating these regulations while enhancing digital services will prepare banks for future changes, ensuring compliance and continued operational excellence.

Strategic decision making

Armed with comprehensive data and analytics from the research, decision-makers can better strategize on deploying resources, choosing technological investments, and designing customer journeys that align with their business goals and customer needs.

Methodology: qualitative and quantitative analysis

The methodology employed in the Cash Credit Acquisition Rank 2021 research combines both qualitative and quantitative analysis to provide a holistic view of the customer journey in obtaining cash loans across major banks. This comprehensive approach is structured as follows:

Customer journey mapping (CJM)

We meticulously developed CJMs for each bank by tracking the entire loan acquisition process from initial inquiry to final transaction. This involved detailed observations and data collection at each step to identify critical touchpoints, potential frustrations, and opportunities for streamlining.

Direct observations and mystery shopping

To ensure unbiased and accurate insights, the study included direct observations and mystery shopping exercises. Our researchers applied for loans at various banks, documenting their experiences in real-time to capture authentic interactions and processes.

Stakeholder interviews

Interviews with bank representatives and technology vendors provided additional layers of insight. These discussions helped to understand the intentions behind certain processes and the technological capabilities that could be leveraged to improve the customer experience.

Quantitative metrics and scoring

Each stage of the customer journey was evaluated using a set of predefined metrics. These included time to decision, number of steps required, and overall customer satisfaction. The results were quantified to produce a scoring model that ranks each bank according to the efficiency and user-friendliness of their loan processing services.

By the way, we're proud of our research methodology, which excels in comparative analysis by meticulously organizing all gathered data to enable objective comparisons between various applications. We decompose services into their essential elements, assign weights according to user significance, and derive a score that truly represents the quality of the user experience.

Continuous feedback loop

To refine the CJMs and ensure they remain relevant, a continuous feedback loop from clients and banking partners informs ongoing updates and improvements in our methodology.

Main insights and findings for improving the user journey

Currently, around 2/3 of cash loan applications are submitted through mobile browsers (according to expert interviews by Markswebb), while the application itself is not yet a significant source of applications — according to banks, it accounts for no more than 10% of customers. Banks are required to comply with regulations by verifying the customer in person, but when regulations change, people will start looking for banks to apply for loans specifically through the application. Banks that are already exploring this channel will be prepared for such changes.

  • Simply making sales is not enough. A loan is a way to engage the customer in the bank’s ecosystem. Banks earn not only from interest but also from card products, transactions, and account balances.
  • Financial literacy is increasing. Loan users are aware of how banks push their services. The new trend is to retain customers and showcase the bank’s offerings in a better light compared to others.
  • Competition lies in digital services. It has become significantly more challenging to attract the attention of new customers. People mostly apply for loans through mobile banks they are already using.
  • There is an increasing demand for remote services. People are becoming accustomed to remote interactions and expect delivery options. The desire to receive financial services at home will continue to strengthen.
  • Legislative development is progressing slowly. Remote identification processes are developing slowly. It is still necessary to find a compromise between convenience and regulatory limitations.

How to create the best customer experience for obtaining cash loans

  • A calculator can retain those who are satisfied with the terms. It can show a preliminary payment schedule, a list of required documents based on the loan amount, and even the total amount of overpayment for the entire period. People usually consider multiple loan offers, comparing lending conditions, monthly payments, and other parameters. The earlier a client receives the necessary information, the less they will engage with competitors and the faster they will make a decision.Authorization through government websites with pre-filled data simplifies document completion.
  • The best solutions automatically retrieve data from the government system. This speeds up the process, allows the bank to receive verified data immediately, and enables faster scoring. Informing customers about this possibility is an advantage as it saves time and increases approval accuracy.
  • A user-friendly interface simplifies data entry and improves application conversion. The application form can be made more user-friendly through interface solutions such as tooltips, status indicators, and convenient step-by-step navigation. The effectiveness of a digital product is influenced by a clear structure and step-by-step approach, understandable indicators for field completion, the ability to edit data, and return to previous steps.
  • Passport recognition reduces input errors. Scanning data using a smartphone camera is easier and more convenient than manual entry. According to market experts, this increases conversion rates and reduces input errors that can hinder the identification process. If necessary, the data can be edited. Banks should inform customers about this advantage, as this feature can further enhance the value of the application.

We have provided a detailed description of all stages of the loan acquisition process in the full research report, along with recommendations based on best practices for improving the user journey. You can always contact us for a detailed report or for personalized research for your business.

Conclusion

The Cash Credit Acquisition Rank 2021 research provides essential insights into the evolving landscape of digital loan processing and customer satisfaction across major banks in Eastern Europe. By highlighting best practices, identifying bottlenecks, and showcasing innovative solutions, this study offers banks actionable strategies to enhance their digital offerings and customer journeys. We invite financial institutions to collaborate with the Markswebb team to leverage this rich dataset and expert analysis. Together, we can tailor these insights to your specific needs, helping you stay ahead in a competitive market and meet the evolving demands of your customers. Join us in shaping the future of banking through strategic partnership and innovation.

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