Customer-centric Business Models
Customer-centric businesses believe that their clients are their primary reason they exist, and they use every means at their disposal to keep the client satisfied. The importance of this concept has attracted the attention of financial sector managers , regulators and policy makers.
It is therefore noteworthy that the Kenya Banking Sector Charter (BSC) 2019 issued on 1st March 2019 seeks to strengthen service standards, consumer protection and enhanced competition in the banking sector. The Charter has four pillars namely: Adoption of customer-centric business models, risk-based credit pricing, enhanced transparency and information disclosure and entrenching an ethical culture in banks. The Charter’s four pillars seek to promote a responsible and disciplined banking sector that is cognizant of and responsive to the needs of the banking public.
This module focuses on the first pillar of the BSC 2019, namely "Adoption of Customer-centric Business Models by Banks." It comes in handy due to the dynamic customer expectation and behaviour that has changed over the past decade. Thus, financial institutions are expected to meet customers’ needs at every touch-point in return for customer loyalty. The ability to deliver this depends on the extent to which customer-centricity is adopted by every staff in the organization.
Therefore, this module encompasses strategies on how financial institutions can adopt customer-centric business models and culture for customer retention, growth and overall profitability.
By the end of this module, you should have understood:
a) What customer-centricity entails
b) Customer-centric business models
c) Customer-centric culture
d) Industry best practices on customer-centricity