Bank Mandiri Intensifies Transformation by Presenting Collaborative Digital Services

PT Bank Mandiri Tbk (IDX: BMRI) is intensively transforming digitally to strengthen its position in the retail banking segment. Bank Mandiri launched a collaborative digital service, namely an Android-based Electronic Data Capture (EDC) machine My Dream House (RIKu). 

Mandiri collaborates with PT Mitra Transaction Indonesia through digital financial solution provider Yokke. EDC Android can be used on point of sale (POS), platform merchant, to promotions and loyalty, and accept various QR-based payment alternatives, contactlessand wearable. 

Director of Network and Retail Banking at Bank Mandiri Aquarius Rudianto said that currently his party continues to develop the latest technology in presenting adaptive and optimal digital payment tools for customers and merchant partners.

He targets Android EDC to massively increase the number of transactions. Currently, EDC Android is only available at Sogo Indonesia. "We also hope that this solution will make it easier" merchant to monitor transactions real-time with EDC technology positioning system," added Aquarius in an official statement some time ago.

As of July 2021, Mandiri has recorded 150 thousand merchant partners with a total of 218.000 EDC units. Of this amount, Bank Mandiri pocketed sales volume of Rp62 trillion, up 13% and 104 million transactions, up 12% compared to the same period last year (YoY).

The synergy between the two is not surprising considering that Yokke is one of the investment portfolios Mandiri Capital Indonesia (MCI) which is also an investment subsidiary of the Bank Mandiri Group. Through this synergy, Mandiri gains access to innovation, and in return Yokke receives capital to expand connections and product development.

Enter segment proptech

In addition to fintech, Bank Mandiri is also expanding the reach of financial services by entering the proptech. It collaborates with startups pinhome for launched the Rumah Idamanku (RIKu) application. 

Executive Vice President of Consumer Loans at Bank Mandiri, Ignatius Susatyo Wijoyo, said that it was difficult for customers to find property since the Covid-19 pandemic. The space for property marketers is also limited due to social restrictions. With this situation, his party seeks to provide alternative services to accommodate changes in consumer behavior towards digital.

For this reason, the RIKu application is considered to be able to assist customers in finding housing starting from searches, schedule visits, consultations, to submitting a mortgage or KPA for houses, apartments, and shop houses. Property brokers can also promote listing-New.

Pinhome's Founder & CEO Dayu Dara Permata ensures that the Pinhome algorithm can provide an even allocation for users broker property. "Pinhome allows all property information and transactions online, fully automated with virtual Reality, and algorithm based machine learning"

Transformation without conversion so neobanks

Some time ago, Bank Mandiri has confirmed its steps to digitally transform, without the need to convert to neobanks or digital bank as other banks do. His party considers that it has been supported by large capital and an established banking ecosystem.

One of the significant steps taken by this BUMN subsidiary is to carry out rebranding application mobile banking Livin' by Mandiri in the middle of this year. Based on the performance of the first semester of 2021, Bank Mandiri's digital transactions contributed greatly to the company's business margin. Livin' by Mandiri users are recorded at 7,8 million customers with a transaction value of Rp728,9 trillion.

An integrated service ecosystem is now an important element for banks that want to transform digitally. Bank Mandiri even said it would make Livin' by Mandiri a "great app"It targets to be able to add a number of features and more service ecosystems in the future.