The Vietnam Technological and Commercial Joint Stock Bank (Techcombank) has chosen Backbase, the engagement banking platform provider, to accelerate the digitalisation of its retail and corporate omnichannel engagement. Under this collaboration, Techcombank will leverage the Backbase engagement banking platform to innovate and design new digital financial services experiences for both retail and corporate customers.
Backbase will deploy its engagement banking platform to give Techcombank greater agility and time to market for its digital strategy. Moreover, the platform will allow Techcombank to create, manage, and optimise its end-to-end customer experience seamlessly as it scales up its digital offerings as a digital-first bank.
According to the Fintech & Digital Banking 2025 Asia Pacific report published by Backbase and IDC, mobile transactions in Vietnam are expected to increase by 300% between 2021 and 2025, led by an upsurge in mobile payments. With shifting demands for financial solutions amid an increasingly digitally savvy consumer banking segment, banks are faced with an urgent call to reinvent their banking infrastructure to provide their customers with value-added services and alternatives across multiple engagement touchpoints, including mobile.
Pranav Seth, Chief Digital Officer of Techcombank said, "To achieve our new vision of “Change banking, Change lives”, Techcombank is embarking on a customer-centric, data and digital-first transformation. In a post-pandemic world, making digital experiences simple, safe and seamless while empowering our staff to advise customers in an extremely personalised manner is a core priority. By transforming our customer engagement platform, Techcombank will be able to innovate at speed to create better products, scale our operations, and make it possible to create a seamless banking experience for our customers. We are confident that with Backbase's expertise in omnichannel banking systems, they are the right partners who will help us get there."
By doubling down on its digitalisation efforts through Backbase's platform, Techcombank is looking to gain an edge by addressing unmet needs and deepening financial enablement for both Vietnamese small and medium-sized enterprises (SMEs) as well as the larger population.
According to the Ministry of Planning and Investment, Vietnam had more than 760,000 enterprises at the end of 2019, with around 98 per cent being small and medium-sized. Additionally, the World Bank found that only 30.8% of Vietnamese aged 15 or older have a banking account in 2018.
By leveraging the Backbase Engagement Banking Platform, Techcombank aims to provide a comprehensive approach to unlocking access to the next generation of financial services for Vietnamese consumers.
Riddhi Dutta, Regional Director for ASEAN and South Asia, Backbase, said, "As banks rise to meet the increasing demand for online and mobile banking from their customers, they are also opening up new possibilities to work with innovative fintechs and adopt new technologies. We are excited to embark on this digitalisation journey with Techcombank, one of the largest joint-stock banks (JSBs) in Vietnam, which is leading innovation efforts in the country's financial sector as it looks to implement a digital-first approach for its core strategy."