Opportunities for current account business will generally be smaller in semi-urban and rural locations. Given the importance of this business, how do you do current account scoping for best results? One of the generally overlooked item in smaller semi-urban and larger rural centres, is the potential from following a hub and spoke model.
Our country has lots of small-to-medium towns and villages surrounding the slightly larger hub areas. And in most of these spoke locations, your own bank branch may not be present. Many solutions that you provide to a current account customer are not so location dependent. For example, you can provide a payment solution in the form of a POS terminal or a Payment Gateway services even from a distant branch. You can give loans and salary accounts; you can handle trade and foreign exchange requirements and offer Cash Management Solutions to businesses located outside your immediate catchment. In fact, you can meet most requirements of the customer and distance is not such a big item in the more and more digitalising world.
This is a short excerpt from a video on current account scoping. Would you like to understand this and many other business tools and tips surrounding this important business? Check out our short course on Current Account Business under BygC Minis.