Average cost to access #Banks in most of the places in rural India, where BC agents are not available is “Rs. 10 to 50 per instance + Loss of a day’s wage”
This makes it unviable for a customer, to reach out to their bank. And this is the segment which doesn’t get any #Cashbacks, in fact they pay #SURCHARGE for bill payment etc
Companies are Digitalising their business processes through digital transactions and reducing their operational cost, but customers are asking “What’s In It For Me”?
To incentivise Digital transactions at rural locations, pass on the benefits (must be easy to understand) like reduced pricing, cashbacks etc, but NO cross sell product as a benefit
Currently to increase the GMV, companies are passing on the cashbacks to the segment which actually doesn’t need it, and will use digital modes regardless of the cashback.
Are you passing on the benefit of
digitalisation, to customers? If not then your efforts will not be successful and will always face resistance from the biggest stakeholder, the Customer.
For the argument, Can we equate #Cashbacks, with Direct Benefit Transfer (#DBT) to increase digital transactions?
What do you think, how can we incentivise rural India to go digital, what should be the mode to pass on the benefit?
#TheFinTechReporter
https://www.linkedin.com/feed/update/urn:li:activity:6480338148957224960
Fintech and Financial Inclusion - Ideas and Collaborations. 