Unbanked Customers Bring Value to Willing Financial Institutions

Question:

We have heard growing implications that self-service kiosks are being positioned in convenience stores to attract unbanked customers. What's the real advantage for banks with this demographic? Is the pursuit of business outside our branches worth implementing an entire self-service platform?

Answer:

It seems appropriate to begin a loaded question with a loaded answer: The unbanked are the largest untapped financial services market in US history. Having said that, it is important to understand that once unbanked customers are won over from a service standpoint they can be developed into full customer relationships. The unbanked customer demographic can be thought of as conducting most or all transactions outside of banks, generally consisting of minority groups, lower income, or younger people and disconnected from or distrusting of the banking system. However, this segment has the potential to bring huge business from outside your branches.

Vendor:

Source Technologies