Launching TMRW Application, UOB Enliven Digital Bank Competition in Indonesia

UOB inaugurated the TMRW digital savings product in Indonesia, after first being present in Thailand in March 2019. TMRW will compete with digital banking others, such as Jenius and Digibank because they both target digitally literate millennials (digitally savvy).

UOB Indonesia President Director Kevin Lam explained, the population in Indonesia is dominated by young consumers, who are active and digitally capable. As many as 96% of Indonesians have smartphone and the number of consumers connected to the internet continues to increase from year to year.

This generation wants digital services that can be accessed anytime and anywhere to help achieve their aspirations. "Through TMRW, we hope to help meet financial goals," he said at a private press conference online, Monday (3/8).

Menurut e-Conomy SEA 2019 report compiled by Google, Temasek and Bain & Company, in Southeast Asia of the 400 million population which accumulated almost half of which is unbanked and the remaining 24% is underbanked. In Indonesia alone, there are 51% of the population who fall into the group unbanked; underbanked 26%; and banked 23%. Population unbanked in Indonesia is the highest among other countries.

“We launched TMRW in Thailand last year and today in Indonesia. We will focus on the segment underbanked of the total population of 181 million people, of which more than half are unbanked and underbanked. "

He elaborated further, the target user of TMRW is the young professional segment, young professional families who are in the age range of 25-39 years.

TMRW consists of two forms of banking products, namely savings and credit cards. For the registration process, customers can choose savings only, or bundling. The account opening process can be completed in a maximum of 9 minutes. Identity verification is done via video call with the agent directly. Customer inquiries will be handled by a 24-hour chatbot named TIA (TMRW Intelligence Assistant) in Indonesian.

In addition, customers can determine transaction limits or cash withdrawals depending on their respective risk profiles. A game feature called City of TMRW is also provided, allowing customers to build a virtual city when they start saving. As they level up, they can improve the appearance of their virtual city.

TMRW has been equipped with a QR feature that has been supported by the QRIS standard. Customers can make payments by scanning the QR code provided by outlets that have been registered with QRIS.

Kevin ensures that in the future, other financial service features outside of banking will be increasingly equipped. For example, what has been included in the plan is the purchase of investment and insurance products.

Reflecting on the achievements in Thailand, his party will duplicate it according to conditions in Indonesia. There, TMRW has won various awards and is claimed to have 100 thousand active customers.

"It is hoped that TMRW in market ASEAN could attract 3 to 5 million new customers over the next few years."

Ambitious to be digital bank engagement

By positioning itself as a digital bank, TMRW brings together complex data analytics technology solutions with UOB's established technology infrastructure and deep understanding of Southeast Asian market trends and customers built over the last eight decades.

The unique combination of customer-focused innovation enables TMRW to deliver a personalized banking experience with dialogue to serve customers' needs the way they want. That's why TMRW does not use banking language to make it easy to understand.

“Therefore, a suitable digital bank form must understand the millennial segment, be concise, and easy to understand; Be a friend, not a bank, and be proactive.”

In his presentation Kevin explained that in the future retail banking will have two sides, namely digital banking(omnichannel) and digital banks. These two will complement each other because digital banking can access financial services to branches, but digital banks only use digital applications.

To that end, UOB took a stand by creating a new business model, namely ATGIE which stands for Acquisition, Transaction, Generate Data, Insight, and Engage. The implementation from there is cross which utilizes digital data banks to create digital interactions.

“We want to be a digital engagement bank. Engage This is important because it makes it easier for customers to transact financial services, the process is more transparent, the display is easy to understand. We can also anticipate customer needs by providing feedback more quickly to improve engagement, " he concluded.