In India, banking is an essential service, and with the advent of digitalisation, the need for customised and personalised services has become a priority. Today, individuals don’t even need to make a deposit and can simply open a 0 balance account that does not require account holders to maintain any minimum balance.
Bank accounts have made banking so much more accessible, but every account cannot cater to the various needs of customers. Therefore, customising and personalising 0 or zero balance accounts can cater to specific customer needs.
Understanding Zero Balance Accounts
A zero balance account, as the name suggests, is a type of bank account that does not require a minimum balance to be maintained. This account is ideal for individuals who do not have a steady income or need help holding a minimum balance. Moreover, these accounts can be opened with minimal documentation, making them accessible to most of the population.
The Need for Customisation and Personalisation
Although 0 balance accounts offer several benefits, they may only cater to a few customer needs. For instance, a student may require an overdraft facility or a higher ATM withdrawal limit, while a senior citizen may require a higher interest rate or priority services. Customising and personalising zero balance digital bank accounts can cater to these specific requirements in such cases.
Customisation and Personalisation of Zero Balance Accounts
Customisation and personalisation of zero balance accounts can be done in various ways. Some of the methods are:
Interest Rates: Customers may have different financial goals, so offering different interest rates can better serve their needs. A student may prefer a higher interest rate on his/her savings account, while a senior citizen may choose a higher interest rate on his/her fixed deposits.
Overdraft Facility: An overdraft facility can benefit customers who require funds in case of emergencies. For instance, a student may need funds to pay his/her tuition fees, while a small business owner may require funds to purchase inventory.
ATM Withdrawal Limit: ATM withdrawal limits may need to be increased for customers who require more cash. For instance, a small business owner may require a higher ATM withdrawal limit to make cash payments to his/her suppliers.
Priority Services: Priority services can benefit customers who require personalised assistance and faster resolution of their queries. For instance, senior citizens may require priority services to meet their banking needs efficiently.
Personalised Offers: Personalised offers can benefit customers who require discounts and offers on specific products and services. For instance, students may need discounts on online shopping platforms or travel tickets.
Benefits of Customisation and Personalisation
Customisation and personalisation of zero balance accounts can offer various benefits, such as:
- Customer Satisfaction: Customisation and personalisation of zero balance digital bank accounts can cater to specific needs and serve customers much better.
- Retention: Customisation and personalisation can help retain customers by offering personalised services catering to their needs.
- Cross-Selling Opportunities: They can also offer cross-selling opportunities by offering customers personalised offers on specific products and services.
- Improved Customer Loyalty: They can improve customer loyalty by offering customers services that cater to their specific needs, thereby increasing their trust in the bank.
Challenges in Customisation and Personalisation
Although customisation and personalisation of zero balance accounts offer several benefits, they also come with various challenges.
Customisation and personalisation can be expensive, and therefore, banks may have to invest in new technologies and resources to cater to diverse customer needs.
They can also be complex, especially when dealing with a large customer base. Banks may have to invest in advanced algorithms and analytics to ensure they offer the right services to customers.
Opening a 0 balance account is quite beneficial for customers. These accounts can cater to diverse customer needs and improve customer satisfaction and retention. Although there may be challenges associated with customisation and personalisation, banks can invest in advanced technologies and resources to offer personalised services efficiently.
Banks can improve customer loyalty and increase their market share by providing customised and personalised services. Therefore, they should consider customisation and personalisation of zero balance accounts to differentiate themselves from their competitors and offer value to their customers.