The COVID-19 pandemic has certainly changed the way we do things; pushing all of us toward a more digital society and placing the ball squarely in the Millennials’ court.
The Global Millennial Survey published by Delloite in 2019 had some key concerns that every serious business entity must ponder in targetting Millennials this year. Delliote found out that there are some anxieties with regard to how millennials see economies around the world. In fact, the report states that millennials’ expectation about the economy is bleak.
The suggestion is that there are factors such as income inequality and lack of social mobility which are driving their pessimistic view of the economy.
The research also reveals that most millennials do not trust the motive behind business ventures today. They are of the opinion that businesses are only in for their own good without any proper societal well-being focus.
This generation is also worried about their financial insufficiency in their quest to reach their set ambitions. They, like other generations before them, are seeking ways to create enough wealth and to have greater effect in their communities. They want to have good-paying jobs and thriving businesses. Are banks looking at this while they engage Millennials? The answer is largely “no”.
Millennials are looking for institutions/thought-leaders that will help them navigate their financial growth path. Banks have a greater opportunity to step in and be there for them.
Ghanaian banks have to seriously think about the future generations. There is a need for every bank to have some analytics for monitoring trends of their younger customer base, and begin creating products and services that will keep them as customers for a long time. The choice of a bank for millennials has been observed to be dependent on many factors, which include thought-leadership, technology alignment, brand-love and community presence.
This generation, like any other before it, certainly needs financial advice. They are known to be quick spenders without much risk analysis as they go about their daily activities.
Right from school, Millennials begin to accumulate debts on SSNIT student loans, buying new gadgets every now and then – and for some, borrowing to pay their fees. They certainly need advice on how to properly manage their finances right from this stage.
Banks who can identify the opportunity of being thought-leaders can organise educational events or forums to tutor millennials, for example on campuses, about prudent financial management options. This will certainly draw them to the brand and they are likely to trust and stay longer as customers.
Banking products should be created to align with the spending habits of these millennials. I hear a lot of LPMs, and there seems to be no unique products or services targetting the youth. Mobile Money Providers are now giving microloans which millennials are accessing. Why can’t banks also innovate to give these young ones some microloans directly via the phone during their time on campus, while they wait for remittances from their parents or guardians?
Millennials are making high demands on businesses to be easily accessible and quickly respond to their queries. Banks are no exception to what Millennials want: They want to be able to access their bank accounts on the go. Ghanaian banks have to invest more into making better mobile apps for the Millennials to easily connect and transact.
They are known to mainly do the following with banking apps: quickly check transaction history, and do transfer of funds between accounts. Your mobile App should be simple and fast for them to carry out these activities conveniently.
In order to stay relevant for this generation, banks must invest appropriately in tech tools that can help better understand the ever-changing consumer behaviour of these millennials. Serious data analysis is required on a regular basis in order to identify trends and quickly satisfy this unique set of customers who are always ready to try new things.
New Branch Experience
Contrary to popular belief, Millennials also want bank branches alongside the digital channels available. Reports highlight their search for an entirely new experience when they visit a branch. They want, for example, a queue management system in place to ensure order as customers wait. The branch can also have some interactive terminals that customers can use to access various information about products and services.
Banks for millennials should be seen as being beyond just a money-making institution, but also as one that rewards its customers too. Mobile money providers are now giving interest on even little sums of money in wallets, and promptly notifying subscribers. Banks should do the same and let the Millennials know when such rewards/interests are applied. E-tickets can even be given as rewards to young customers to go watch programes at various centres.
ATMs & POS Network
Millennials want their banks very close to them and not only concentrated in the central business areas. This can be by done by simply having the bank’s ATMs on campuses, for example, and areas where most of these Millennials visit regularly. POS terminals should also be readily available at places where this generation shops. Banks which take the opportunity to tailor services and products for the Millennials stand a greater chance of keeping them for the future.