Bank Mandiri Integrates Ayoconnect's "Autobilling API" Solution to Boost Credit Card Performance

PT Bank Mandiri Tbk integrated Mandiri Power Bill service with Autobilling API solution from Ayoconnect. This solution allows Mandiri credit card users to automatically pay various billing transactions in more than 200 merchant of 8 product categories.

In his official statement, Bank Mandiri VP Noorman Andrianto said this collaboration was the company's strategy to increase the growth of the credit card business again.

The reason is, citing data from the Indonesian Credit Card Association (AKKI), credit card sales fell by 30%. The number of transactions also decreased by 28,98% million to 29,98% from January 2020 (year-on-year). Meanwhile, sales growth and credit card transactions fell because many retail outlets were closed and the public tended to reduce spending during the Covid-19 pandemic.

Noorman confessed, Autobilling API solution integration has brought positive performance to Mandiri's credit card sales volume which was recorded to increase by 19%. Meanwhile, transaction growth reached 23% as of the end of 2020 (year-on-year).

"This solution has succeeded in driving satisfaction and loyalty of Mandiri credit card customers. Even Autobilling API has also expanded the scope of Mandiri Power Bill services, which can now reach PDAM payments to more than 60 cities and 100 districts in Indonesia. Total merchant we also increased from the previous 20 to more than 200," said Noorman.

As of Q1 2021, the number of Bank Mandiri credit cards in circulation was 1,5 million cards with a sales volume of IDR 7 trillion. The amount of credit disbursed through Bank Mandiri credit cards contributed 15% to total consumer credit.

Meanwhile, Co-Founder & COO let's connect Chiragh Kirpalani added, Autobilling solutions are designed to help the financial industry manage and increase revenue from recurring transactions that are comprehensive for credit card issuers, as well as safe and easy for customers.

According to him, his party is exploring opportunities for cooperation to open access to the Autobilling API with more players in the financial industry, both banks and fintech, soon.

For your information, Ayoconnect is a startup marketplace API that focuses on developing APIs in the Indonesian financial industry. Their service allows developer choose a variety of products white-label financial services on the platform and launches quickly to users.

In the last five years, the Ayoconnect solution has been adopted by more than 1000 Indonesian companies and processes more than 500 million API clicks per year. The company has now secured Rp142 billion in funding from a number of local and international investors, including BRI Ventures, AC Ventures Indonesia, and Finch Capital.

Inclusive financial services via API

In the era open banking, bank connectivity with the digital financial ecosystem is a crucial aspect in providing inclusive financial services. Banks in Indonesia have long begun to embrace this trend by implementing the Open API.

APIs or application programs that allow companies to be integrated between systems can help transform the financial industry in the digital era. The Covid-19 pandemic may be regarded as a factor that has spurred the financial industry and its derivatives to facilitate financial transactions.

Even Bank Indonesia (BI) will soon release the standard Open API targeted to be published this year. Not only financial inclusion, BI believes that the Open API standard will increase efficiency in payment transactions, increase innovation and competition, and reduce risk.

In Indonesia, startup actors who offer API services for companies can still be counted on the fingers. For example, Brick and Finanter which provides API Open Finance services, or Instamoney which helps companies develop services fintech remittances. Ayoconnect actually does not only offer Autobilling solutions, but also solutions such as the Digital Products API and the Payment Point API.