Before the Pandemic, most consumers used bank branches to open a new account, and customers and small businesses who wanted a loan would apply directly; but with the effects of the aftermath and with most branches closed, going to the bank was no longer an option. Now is the time to act and design tools that allow: ● Customer registration policies that prohibit the establishment of a new account or loan relationship of any kind without the intervention of a branch office. ● Simplicity in the process of establishing digital relationships by eliminating steps and improving customer-oriented design. ● Back office operations to support new digital relationships using robotics, digital technologies and managing seamless integration. Flaws in current processes are being exposed. Banks that are not yet ready to handle loans digitally have been put at a significant disadvantage, creating delays that severely affect their growth. The demand for remote services and e-commerce has grown rapidly, which has provided a window of opportunity for banks and fintech companies that provide or are willing to provide a solution in this area. In the context of global quarantine, this area of business is going to provide a huge growth opportunity. It's time to communicate with consumers as individuals This is not the time to send a consumer to your website or deliver a generic message that doesn't acknowledge that you appreciate them as a customer. The consumer needs to understand that you know them, you are looking out for them and that you will reward them for their loyalty. This must be done with highly customizable communications. The message must be timely, specific and easy to understand. Like you, the consumer is under immense pressure and they need clarity and transparency. This is an opportunity to identify micro-segments of consumers with unique challenges that need prompt attention. Some of these situations will allow your organization to provide proactive solutions. Using your call center, social media and chat to identify these opportunities provides a springboard for product design focused on the real needs of your customers. We are seeing more and more banks realizing that they need to accelerate the notion of "one customer," rather than one customer per product. Digital Identity: There's still a lot to be solved Know Your Customer (KYC) and Anti-Money Laundering (AML) compliance requires financial institutions to use all possible technologies to verify a transaction and/or contract. Many organizations still use legacy methods, such as a government-issued identifier. Some simplify this process by allowing a photo ID to be used in conjunction with a selfie. None of these methods are acceptable today. During this time of turmoil, fraudsters will take every opportunity to undermine legacy security processes, especially those that attempt to "look digital". In addition, many existing digital identification and customer registration processes are cumbersome and create additional friction. According to Deloitte, 38% of customers say user experience (UX) is the most important factor when choosing a digital bank. The use of processes that require too much information from the consumer impedes a robust customer experience. To address these issues, many organizations are increasing investment in advanced digital authentication technology. This goes beyond physical biometrics to include real-time transaction monitoring, machine learning and even behavioral recognition. Image with explanatory graphic It is expected that, as a result of COVID-19, the use of facial recognition will quickly supplant passwords and fingerprint recognition. This option, along with other digital tools, will alleviate concerns about the spread of viruses through touch. Financial consumers are turning to mobile banking as a way to take control of their finances and plan for their financial future. With increased use of mobile banking apps, financial institutions have the opportunity to not only deliver a great user experience, but also provide meaningful advice and guidance that is critical to consumers' financial well-being...especially in uncertain economic times. We are confident that the financial industry will be able to win back consumer confidence in its services and adjust to their real needs, so that one day they will be able to say "I'd rather bank than go to the dentist".

Financial inclusion, an often diffuse goal with many edges, is one of the great challenges facing financial systems. New technologies have made this goal considerably more attainable than ever before. Savings is one of the four dimensions of financial inclusion along with payments, credit and insurance. It is of utmost importance because of its positive effects not only at the individual or family level, but also at the community level. Savings is the healthiest side of financial inclusion in terms of the positive impact it generates on users and at the macroeconomic level. However, it has been a historically elusive variable, especially for the poorest sectors. The technical and conceptual means to make savings a little easier and possible for users are within reach. However, the initiatives of the financial sector and government in this regard have been poor and unsuccessful. In emerging economies, the culture of unsaving, over-indebtedness and usurious credit will not disappear if there continue to be populations with extreme financing needs and practically no knowledge of the subject. Financial education is also one of the aspects that need to be worked on if we want to think about the problem of savings and financial health from an integral perspective. There is a series of instruments whose application costs in experiences around the world have been far surpassed by the benefits generated. These are nudges, cost-effective, non-coercive and measurably effective instruments. The cognitive burden of the daily challenges that the unbanked have to deal with leaves little room for financial planning and savings that could increase their resilience and resistance to economic shocks. One of the most easily applicable nudges is the reminder, which could contain, for example, an SMS message to the user's cell phone number inviting him or her to save after the system detects a salary or remittance deposit in his or her account. Another nudge could be a periodic debit from the user's account to be credited to a savings pocket that can be assigned a specific purpose and duration over time. There are many others like these. The use of nudges allows the "worry" and work of setting aside the money to save each month to be a one-time task, with the possibility of making adjustments "on the fly" if the financial user deems it necessary. Financial institutions have little to lose by implementing any of the above proposals and evaluating their effectiveness. On the contrary, if successful, these variants can have important positive effects, such as increasing deposits by users and, ideally, channeling savings previously housed outside the formal system through the formal system. On the demand side, against renewed and higher quality savings products can generate changes that, however small, lead to smoothing consumption over time and better absorption of economic shocks. This, of course, can result in better quality financial health for many families. At the same time, the results of sustained savings over time can lead to better education, good health or a more comfortable retirement for individuals. Similarly, more savings, and especially savings that are rechanneled through the formal financial system, can translate into better credit conditions for the economy as a whole and greater efficiency in the use of resources. What is certain is that little will change in terms of savings and financial inclusion if these issues are not looked at with a new perspective. Behavioral economics and evidence-based smart financial product design are a step in that direction.

Technological change has turned millennials into "digital natives", making their expectations about their environment very different, including the way they interact socially and consume daily products and services without leaving behind the financial ones. Millennials use all kinds of applications to do different activities of their day to day, because everything they want and need is just a click away; we would never have imagined that buying transportation, food, accommodation and fashion would be so easy and fast. Services belonging to different industries such as Uber, Rappi, Airbnb and Amazon have managed to develop successful digital business models, based on improving the customer service experience, providing the opportunity for each of the users to take care of one of the most precious assets, such as time, therefore, this generation hopes to experience the same comfort driven by technology when it comes to customer service and communication with your bank. In January 2021, unique users from mobile devices reached 66.6% of the world's population, or 5.22 billion people, which represents a 1.8% increase compared to January 2020 data, an increase of 93 million users. These young consumers, aged 21-37, represent a very significant percentage of our population, and they wield significant spending power, more than any previous generation. So banking must fit with them, not the other way around. If you want to learn more about how to build trust with your customers, click here and learn more. (Make a link that leads to news item 1) The desire to have a unique banking experience that resonates with their lifestyles has become a priority for this generation. However, they have unique financial challenges, many lack financial literacy or the ability to stick with a long-term financial partner. Among the most representative challenges we find the labour activity and all that pertains to this environment, since they face constantly negative conditions of labour insertion. In terms of income generation, they earn about 20% less than other generations. To connect with young people, banks need to be able to walk with them from the moment they open a savings account, through being teenagers, to young adults who need to make serious decisions about their future. Financial projects like Nuback, have managed not only to understand the needs of a generation, but of an entire country, allowing this disruptive financial institution to position itself as one of the largest and most powerful in Latin America. The exchange of information through digital platforms, such as social networks, is probably the most powerful tool available for banks to consolidate true and lasting relationships with this generation, since one of its purposes is to seek to be understood and cared for by the environment around them.