4 Big Ways DBS Group Holdings is Riding the Digital Wave
DBS Group Holdings Ltd (SGX: D05) investing big into digital banking.
In its latest annual report, Singapore’s largest bank said that it had invested $5 billion over the past few years to facilitate a move into the digital sphere. The sizable investment is for good reason. DBS Group said that consumers and small and medium enterprises (SME) that engage digitally provide two times more revenue on average compared to other customers.
In its latest earnings briefing, DBS Group chief Piyush Gupta outlined four big ways that the bank is benefitting from the rise of digital banking.
1. A wider reach – click here
2. Digital means business – click here
3. New products, new revenue
Gupta had explained how digitalisation extends DBS Group’s reach. It also leads to more revenue to the bank when customers engage through digital means. On top of that, he said:
“The third opportunity comes from the ability to create new products.”
“I’ve talked about remittances. We have a product called DBS Remit, which allows us to digitally transfer money currently across ten corridors in Asia in three seconds, and that has given us a very significant revenue lift.”
4. Digital processes
Beyond remittance, Gupta also talked about how processes are being improved through digitalisation. He said:
“In bancassurance, we completely digitised the end-to-end process of how we sell as well as underwrite.”
“That has doubled our market share [in Singapore over four years]. We are finding that if we put our minds to it, we can create new revenue-generating opportunities through digital.”
The above is a taste of what DBS Group has been able to achieve. Gupta said that DBS Group will try to showcase its entire digital effort later this year.