|
In many developing countries, retail banking is growing at an exponential rate of nearly 30 percent. Retail banks are concentrating on satisfying customers as the customer base is growing by customizing the services to get a competitive edge.
When it comes to retail business, players in developing countries are bullish about it. This is because of two reasons. The face of the consumer in developing countries is changing. This is reflected in a change in the urban household income pattern. The direct result of this change will show in the consumption pattern and hence, banking habits of people in developing countries. In addition, in most developing countries, consumers are afraid to use credit cards as they are unsure about them.
With all this, one thing is for sure -- in most developing countries, majority of the population is not considered bankable. However, this has not stopped retail banking strategy in developing countries. There is fierce competition, especially between local private banks, when it comes to home, car and consumer loans. This means that all retail banks are targeting the upwardly mobile urban population. But gradually, retail banking strategy in developing countries is changing and the banks are spreading their operations into segments like self-employed and semi-urban rich.
More Articles :
|
Competition in retail banking industry is increasing rapidly along with technology. Banks are looking for new ways to meet these challenges and the best way to do so is to look into retail banking organization structures. 
