The benefits of value added financial services to the customer are wide-ranging. In one of our previous articles, we discussed how a move to digital services can reduce costs for financial providers. These savings have meant more inclusive access to finance at better interest rates across the board. Wider availability of lower cost finance and lower cost access to financial services will help customers across mixed economic backgrounds.
Value added services don’t stop at accessing financial options online though. The convenience of a centralized digital wallet, for example, is an idea that more and more consumers are becoming used to. In Uganda, we have seen many successful examples of traditional banks offering wider-ranging digital services. The switch to smart device-based banking apps has seen increased convenience for consumers, often coming with the ability to pay utilities, transport, credit card bills, and more from one central account without having to change physical location.
Mobile financial services are in particular demand. The appeal of having a single device where you can access your bank account, pay your bills, access government services, and of course access entertainment services, is obvious. Further integration of services into this environment is high on the list of customer priorities. Further collaboration between banks and FinTechs will see higher levels of security and trust in these products which will only increase uptake further.