“Going cashless” seems to be a popular catchphrase these days as consumers and businesses become more exposed to digital payment platforms. Hong Leong Bank (“HLB”), one of the more progressive and digitally-powered banks in the region, today revealed that 64.4 percent of its customers are now utilising digital and mobile platforms for banking transactions as at the end of 2018.
This is an increase of more than 20 percent from the year before, lending strength to the Bank’s digital aspirations and focus on being digital-at-the-core. What’s interesting is that while the early adopters remain driven the younger generation, its older customers (Gen X)—40 years and above have seen a growth of 20-30 percent year-on-year. Average spend per customer by digital means has more than doubled to MYR700+ from three months ago, revealed HLB at the launch of the bank’s third Digital Day.
Digital Day marks the beginning of the bank’s financial year. Themed “Bye-Bye Cash. No Cash No Problem,” the campaign runs from 7 July and aims to promote greater adoption and drive higher usage of cashless payments, including rewarding 25,000 customers with cash back, every hour of every day, for seven days.
At the media session, Domenic Fuda, group managing director and chief executive officer said that for a cashless society to become a reality, there needed to be less focus on just transactional solutions that move money from physical cash to digital wallets. Instead, convenience, trust, security, and integration needed to be at the core of the general financial and digital payment space.
He said, “While you may think that with so many cashless payment methods, whether it is Mobile Payments, QR Code, debit and credit card payments through PayWave and PayPass, DuitNow, WeChat Pay, JomPay, consumers may seem overwhelmed but we see our customers using a variety of ways to adapt to the increasing digitisation of our financial ecosystem.”
On the subject of the myriad e-wallet players in the market today, he opined that a universal QR Code will benefit the industry by reducing operational costs and subsequently spur competition. Bank Negara Malaysia (BNM) is developing the Interoperable Credit Transfer Framework (ICTF) where banks and non-bank (e-money) issuers will have fair and open access to a shared payment infrastructure.
For SMEs looking to digitise their payment transactions, HLB is offering special promotions for its all-in-one payment terminal, digital business solution tools as well as activating WeChat Official Accounts.
In its continued drive to educate consumers and businesses in Malaysia on the benefits of going digital, the bank is embarking on several initiatives.
First, HLB is piloting a collaboration with WeEat—a WeChat mini programme where customers can order, pay and enjoy their meals seamlessly, without queues and the inconvenience of using cash. The easy-to-use queue, order and payment solution can be used for dine-in as well as take-out orders. The app will notify the customer when their food is ready for collection. Meanwhile, vendors will benefit from analytical tools and data—from identifying hot items to rewarding loyal customers.
WeEat is being piloted at DC Mall, Damansara City with selected vendors. If the pilot proves successful, the bank will roll out to more vendors nationwide.
Aside from empowering consumers and businesses, HLB is also enabling communities to digitise and go cashless. The bank is working with MyTaman to empower Taman Desa Resident Association (TDRA) to use WeChat Pay at all merchants in the community—the first such effort in Malaysia. Aside from consumers enjoying greater discounts and promotions, merchants will enjoy greater hyperlocal marketing and sales benefits. The benefits go beyond commercial means however, the MyTaman app will also see the creation of a WeChat OA community account that will allow for greater inter-community communication.
As part of its Digital Day 2019 campaign, HLB will showcase various promos in the Personal Financial Services and SME segments.
7-Day Bye-Bye Cash Frenzy
Perform any eligible cashless transaction (minimum MYR7) using HLB services and get cash back, every hour of every day for seven days beginning 7 July 2019. 150 x winners an hour / 24 hours a day / 7 straight days / MYR7 per winner. This is a partnership with Mastercard, VISA, MyDebit and WeChat Pay.
HLB Cashless Sale
A host of brands and services both online and at retail stores will offer exclusive benefits, discounts, and more. Participating brands include Expedia, DirectD, Zalora, Guardian, Shopee, TaoBao, Baskin Robbins, Krispy Kreme, Harvey Norman, Jaya Grocer, Giant, and dahmakan.
7.7.19 One Day Online Exclusives
HLB is offering exclusive one-day online banking offers including eFixed Deposit/-i at 4.07% p.a. for three months with a minimum placement of MYR10,000. Enjoy a flat interest/profit rate of 3.70% p.a when you apply for a Personal Loan/Financing-i on Connect Online Banking; or apply for a Hong Leong credit card online and enjoy 50% cash back up to MYR700 on your weekend retail spend.
For more information, visit www.hlb.com.my/DigitalDay.