2023-07-31 09:12:39
The digital adoption of banking users is “brutal”, says Hugo Nájera, general director of Clients Solutions at BBVA Mexico, the largest banking institution operating in the country.
Eight years after the transformation to digital channels began, 75 percent of its clients already operate under this scheme. However, he is very clear that the branches are not going to disappear, they are only going to be transformed to offer services that require personal attention.
In an interview with La Razón, he assures that BBVA has consolidated itself as the largest Fintech in the country, without implying that it stops working to endorse the role of the banking giant in Mexico and face the new challenges that come, such as Artificial Intelligence (AI). .
How is digital adoption progressing? It has been “brutal”. Eight years ago we started this transformation, there were people who told me: you will not reach more than a million customers served by these channels. Now we have 21 million, 75 percent of the total; the adoption has been “spectacular”, and I’m not just talking about young people, of all ages.
There are still very marginal elements of people who are averse to technology, but the Covid-19 pandemic resolved an important part of that issue, because we had to go remote, including older people, who had to face the challenge of conversion technological. Currently, 75 percent of consumption is already sold through cell phones, 70 percent of credit cards are sold through digital channels; of these figures, more than 50 percent does not involve a single person from the bank.
Is it time to say goodbye to branches? We have almost 30 million customers. In the coming years there will always be those who prefer physical interaction; So, they will not disappear, on the contrary, our appetite for growth has returned, but the profile will be different.
There is a group of financial products that are sold and others that are bought. Which ones are bought? A credit card, consumer financing, a mortgage or a car loan. But you never wake up and say I want to buy life insurance! What a desire to protect my family when I die! I can’t wait to save! It doesn’t matter how technological you are
The digital transformation must democratize financial services, making technological solutions available to users to manage their finances
Hugo Nájera, CEO of Clients Solutions
We have realized that these financial products that have to do with saving, forecasting and the ability to build assets are not natural, people are not going to buy them. For this reason, we are converting our network of branches so that they become financial health advisors. Half of our clients do not have in their accounts the equivalent of one month of their expenses in a savings account, which is the minimum protection. In addition, 40 percent of adults who receive income are not banked; So, not only are we going to attend to the deficiency of our clients, but there are another 30 million people outside that we can attend to.
Is activity in branches going down? Yes. The number of transactions at bank windows is already minimal, barely representing 5 percent of the total; another 30 percent occurs at the ATM, and it happens because the mobile still “has not learned to spit out money.” As long as this country is cash, AMTs will be a big part. The rest already move through digital channels, most through cell phones.
Is there still a lot of distrust for digital? That is already over. They deceive people, yes, like they deceive you over the phone to send them money, but the same thing happens with or without the application, and if you let yourself be deceived.
Is the digital world a problem for the elderly? Some find it more difficult than others. My 80-year-old mother-in-law uses the application and I haven’t taught her, but there are other people who are 60 years old and decided not to get involved in technological issues, because it’s more difficult for them. We have taken a very responsible attitude on the issue of older adults and we have very specific rules on this issue. Older adults who come to the branch have preference and if they want to see the executive, they will go to see him, even if that can be resolved on the mobile . The technology is not limiting, because there are alternative schemes, we are not forcing anyone to use them.
AI, ally or risk? For now it is not going to displace jobs, but it is going to increase productivity very strongly, as was the case at the time, for example, with email. For the bank and for the customer it will be very useful, as it will speed up some actions that, as users, we do; for example, check the points you have on your credit card. Now you must do it through a system of options, in the near future it will be just by asking and in a single step.
In our case, we are going to have a very strong commitment to make a very responsible use of AI for the benefit of the customer experience.
Are they the largest Fintech in Mexico? Yes. I highly respect Nu, Mercado Pago and Ualá, they are serious competitors who have come to break the market, who have taught us things and they have learned from us. We are facing competition, which is very healthy. We have a very large range of options and these competitors have one or two products; So if you ask me who serves more customers digitally with a bigger offer, we’re a long way from the next competitor.
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