In line with the development of information technology, services provided by banks are experiencing evolution into digital banking. Digital banking is oriented to the fulfillment of customer needs by utilising technology. One of the services currently being developed by banks is digital account opening, in which customers can open a new account on their own without visiting a bank branch (self-service). In addition to minimizing or removing paperwork, digital account opening can be done in a much shorter time than the conventional approach.

There are three ways to open a new account digitally: through applications; e-forms; or by visiting digital branches. Since 1996, MRI has evaluated the performance of the banking industry annually in the BSEM (Bank Service Excellence Monitor) study. This year, BSEM also evaluates services which can be used by prospective customers to open an account digitally.

In recent times, account opening services via application/mobile browser have been used by banks as a stage to demonstrate their transformation in the digital era. With this service, prospective customers can open an account in a relatively short time, using only an identity card (KTP), Taxpayer Identification Number (NPWP) [if needed] and a smartphone with a stable internet connection. BCA managed to secure the first place for account opening via application category at BSEM 2020. BCA’s mobile banking application has the ability to provide an end-to-end account opening service for their prospective customers. Customers can use the mobile banking service right after finishing the account opening process, and can also do transactions without a physical ATM card thanks to its cardless transaction feature.

Account opening via website is another popular alternative in the banking industry in an effort towards digital transformation. Through this service, prospective customers can read product information and fill out an online application before continuing the account opening process at the nearest bank branch by showing their obtained reference code to the customer service. This way, the amount of time needed to open a new account will be reduced, as several phases of the account opening process will have taken place beforehand. In this category, Bank Permata won the first position as the best provider of account opening via website service at BSEM 2020.

In addition to account opening via application or website, several banks also launched their digital branches which are able to serve customers outside conventional banking hours. According to Otoritas Jasa Keuangan (OJK), digital branches are a bank facility that function specifically to process customer registration and account opening independently (self-service). Apart from opening accounts, several banks also developed their digital branch capability to fulfill other customer needs’. BCA, with their video-assisted opening account machine assigned on their digital branches, are able to serve both account opening processes and handle various e-channel related requests. As a result, BCA ranked first for digital branch evaluation at BSEM 2020 study.

Overall, three digital account opening methods have been discussed and each have their own unique advantages. The banking industry needs to continually innovate in order to fulfill the expectation of today’s customers who want a quick, easy and convenient service.