Articles

Driving Organic Customer Acquisitions through Community Marketing in Digital Banking Application

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The objective of this research is to identify and analyze the key factors that influence customers on the reluctance of being loyal or become the advocator of J Bank and to propose the organic customer acquisitions strategies to be applied to J Bank through community engagement in J Bank. The era of Industry 4.0 has transformed production by integrating digital and internet technologies with traditional industries, enhancing efficiency and effectiveness in transactions. In Indonesia, the number of digitally active banking consumers has increased significantly, making up 32% of the banked population since 2014. This growth underscores the value of digital consumers to banks. The sector has become highly competitive, with fintech companies disrupting traditional banks by offering innovative solutions like e-wallets, loans, and digital payments. Established banks are investing in digital banking to keep pace with new startups. J Bank, Indonesia’s first digital banking application, offers comprehensive services such as account creation, transactions, and financial management via smartphone. Targeting tech-savvy individuals with middle to upper economic status, J Bank provides features like Send It for transactions, QRIS for touchless payments, and various saving and loan options. Its innovative approach has attracted millennials, Gen Z, and even seniors, positioning it as a leading digital banking solution. However, J Bank experienced a significant drop in organic acquisitions from 2020 to 2022, partly due to issues like fraud and cybercrime, which led to negative sentiment and user attrition. Using qualitative approach with 6 survey respondents that consist of existing user of J Bank and existing Co.Create member, and also former J Bank users and former Co.Create members.  This research using thematic analysis with internal and external analysis to explore the potential solutions. For internal analysis, the author is using Marketing Mix analysis. Meanwhile for external analysis, the author is using Porter Five Forces analysis, Competitor analysis, and SWOT analysis. Based on the analysis, this research proposed several organic customer acquisitions activity to be implemented in J Bank through community marketing approach.

J Bank offers a wide range of services, including account creation, transactions, and financial management via smartphone, targeting tech-savvy individuals from middle to upper economic backgrounds. Despite its initial success, attracting millennials, Gen Z, and even seniors, J Bank faced a decline in organic acquisitions from 2020 to 2022 due to issues like fraud and cybercrime, which led to negative sentiments and user attrition.

The research utilized a qualitative approach, involving surveys of six respondents, including current and former users of J Bank and members of its Co.Create community. Thematic analysis was conducted, incorporating internal analysis with the Marketing Mix and external analysis with Porter’s Five Forces, competitor analysis, and SWOT analysis. The findings suggest that increasing community engagement and addressing security concerns are crucial for improving J Bank’s customer retention and acquisition. Based on these insights, several community marketing strategies are recommended to enhance organic customer acquisition.

Risk Assessment of Neobank in Indonesia: Case Study of Bank Gembira Indonesia

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This research delves into a comprehensive analysis of the risks encountered by Bank Gembira, a notable neobank in Indonesia. Through combining qualitative and quantitative methodologies, this research study identifies and classifies various types of risk, including credit risk, market risk, liquidity risk, and operational risk. In facilitating the prioritization process, the study makes use of Saaty’s Analytic Hierarchy Process (AHP) as instrument. The study highlights the importance of understanding customer behavior in mitigating risks for neobanks and recommends further research on risk assessment in the neobanking sector. The analysis emphasizes the critical role of credit risk and operational risk for Bank Gembira as a neobank. Through AHP calculations, credit default and cyberattacks are identified as the highest priority risks, underscoring the need for robust risk treatment plans to address these high-level risks effectively. Recommendations are proposed to address these risks, such as enhancing credit scoring for P2P lending partners, improving cybersecurity measures, collaborating with regulators, tracking technology updates, partnering with e-commerce platforms, offering promotional programs, developing digital talent programs, and attracting MSMEs customers. Further research on risk assessment in the neobanking sector is suggested to enhance risk management practices and ensure sustainable growth for neobanks like Bank Gembira.

Marketing Communication Strategy to Increase Customer Acquisition in Digital Bank: A Case Study PT Bank Sukses Bersama, Tbk

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Digital banks have emerged as a new phenomenon in Indonesia’s financial services ecosystem. Because it uses technology and provides efficient services, the emergence of the digital bank is expected to be a game changer. In 2021, PT Bank Sukses Bersama, Tbk launched the life-centered Sukses Application, which simplifies, collaborates, and innovates financial management. Bank Sukses Bersama’s transformation from a conventional bank to a digital bank aims to increase its business growth and efficiency. However, since its launch, Bank Sukses Bersama has not attained a cost-to-revenue ratio which would be optimal in comparison to its competitors. The research objectives for this study are to evaluate Bank Sukses Bersama’s market segmentation and find opportunities to increase users by reaching more potential markets through new segmenting, targeting, and positioning, as well as to propose a marketing communication strategy for Bank Sukses Bersama in order to increase customer acquisition to maximize the income and improves Bank Sukses Bersama’s performance. This research utilized both primary and secondary sources of data The primary data was collected through questionnaires targeted for 150 respondents of bank customers in Indonesia. The purpose of the questionnaire is to obtain responses from bank customers in Indonesia regarding digital banks in Indonesia, including their perceptions of Bank Sukses Bersama. This research assessed internal and external analysis of Bank Sukses Bersama in digital banking industry. The suggested Bank Sukses Bersama marketing communication strategy proposes an approach for emphasizing the brand’s value proposition, engaging customers through storytelling and personalization, and utilizing digital platforms and collaborations to increase customer acquisition and retention. This strategy intends to position Bank Sukses Bersama as an innovative and trustworthy digital banking solution in Indonesia through integration with the target population and the bank’s fundamental values. The scope of this study is mainly focus on Bank Sukses Bersama as a digital bank. The company’s identity has been concealed for publicity and reasons related to confidentiality.