The Indonesian lender’s vision is to be more than just a provider of banking products and to become a driver of financial innovation.
Anastasia Handayani, director of consumer business at Bank Rakyat Indonesia (BRI), on the giant strides the bank is making in the mass affluent market segments.
Can you give us an overview of Bank Rakyat Indonesia’s strategy for serving the mass affluent segment?
Bank Rakyat Indonesia offers personalised services tailored to the specific needs of each client, regardless of their persona. Using advanced data analytics and highly capable advisors, BRI provides integrated financial planning and consulting services that focus on helping clients accumulate, protect and distribute their wealth in the most effective way possible. With a commitment to understanding the unique financial goals and aspirations of each client, BRI is able to provide customised solutions that help clients achieve their objectives and secure their financial futures.
How does BRI differentiate its mass affluent banking offerings from its competitors?
BRI has a vast network of branches that offer global capabilities mixed with local values. The bank aims to become the customer’s first choice for all banking transactions by providing a comprehensive range of financial solutions. Its vision is to be more than just a provider of banking products and to become a driver of financial innovation by offering a range of instruments such as government bonds, corporate bonds, mutual funds, securities, bancassurance and pension fund management.
BRI’s wealth management business is a key differentiator from its competitors as it offers a breadth of products and services that includes venture capital, securities companies, insurance companies and investment management companies. These services are not just limited to the mass affluent segment, but also available to all client segments including micro, retail, priority and private.
BRI is committed to supporting financial growth in the surrounding ecosystem and is involved in various activities that address financial problems. The lender provides comprehensive banking services to companies with closed ecosystems where all parties involved can enjoy banking services with BRI.
Can you discuss the role of technology in BRI’s mass affluent banking strategy?
BRI continues to develop digital platforms and services that allow its customers to find information about products and services digitally using the bionic model; the client is assisted on this by the relationship manager, but the authorisation comes from the client themselves.
BRI’s bionic model approach caters to two types of client criteria. For digital mass affluent clients, the bank offers fully digital tools that allow for self-service using a digital app. For non-digital mass affluent clients, BRI still provides the best service in the form of a personal touch tailored to the customer’s needs.
To strengthen the growth of the wealth management business, BRI continues to develop digital platforms and services that allow clients to find information about products and services digitally using the bionic model – this is equipped with scoring models and data analytics, which help profile customer needs based on risks and segments, and provides the right financial planning solutions for customers. Besides being supported by sophisticated digital tools, BRI always maintains consistency by providing the best service in the form of a personal touch tailored to customer needs.
Can you share a success story or innovative solution BRI has implemented for its mass affluent customers?
The growth of BRI’s wealth management business continues to increase with the optimisation of technology digitally. In 2022, the bank recorded a growth in the number of new investors of 75 per cent year-on-year and a growth in new insurance policies of more than 305 per cent year-on-year.
These increases are supported by the provision of a digital platform that uses analytical data to provide recommendations for product customisation according to the needs and risk profiles of customers. The platform also optimises growth preferentially with management that focuses on the unique needs of each customer through personalised technology services and good risk management.
Describe BRI’s efforts to increase financial literacy among mass affluent customers.
BRI is always preparing strategies to strengthen financial management inclusion in the community, with the theme of ‘wealth management for all’. We provide digital platform and financial advisory services in a house view that helps clients navigate the financial markets and identify not just good opportunities but also attractive solutions and products for short and long-term investments. We also offer an inside view, which attempts to make predictions based on an understanding of the details of a problem. There is also the outside view, also known as reference class forecasting, which looks at similar past situations and makes predictions based on those outcomes.