The changing face of KIB

The changing face of KIB

Mohamed Said El Saka, Deputy Chief Executive Officer and Acting Chief Executive Officer of Kuwait International Bank, explains how the bank embraces change while holding to its values

KIB won the award for Best Customer Acquisition at the Banker Middle East Industry Awards; what has made the bank a leader in this field? “A few decades ago, banks seeking to grow their customer base had a few options; customers were predictable and easy to find. In today’s market, finding potential customers is a much more challenging feat.

“We have learned that we must come to terms with shifts in consumer preferences, as well as their rising expectations for efficient personalised services. At KIB, having a strong customer acquisition strategy is an essential component. Understanding the demographics of our customers is critical to the growth of our customer base and the success of our business. Without this, we would not be able to figure out which channel is the most sustainable for bringing in new customers. A key success factor is our ability to select the proper channels to engage with our target market by utilising digital channels for customer acquisition and retention.

“Of course, transferring the activity into the digital world is not sufficient on its own. KIB has also placed the customer in the center of its business universe and strengthened efforts in ensuring the highest quality products and services to deliver a reliable, and personalised customer experience.

KIB has been successful in creating and sustaining its brand loyalty by offering an authentic and personalised digital experience to all its customers.”

How does KIB view change? “In order to survive and thrive in today’s competitive landscape; banks must be inherently flexible. KIB has always recognised that change is not only inevitable, but it is a vital necessity.

“KIB is no stranger to change. It was 10 years ago that the bank underwent its first strategic transformation, when it made the transition from a specialised real estate bank, to a full-fledged Shari’ah-compliant Islamic bank. In 2015, KIB embarked on a comprehensive strategic plan, aimed at improving the Bank’s performance indicators, as well as enhancing the quality of its products and services.

“Today, KIB is in the midst of its new strategic transformation: a comprehensive and long-term programme which is aimed at transforming the way KIB engages with customers across every touch point and communication channel. This new strategy focuses on offering a next-level customer experience that delivers much more than just ‘banking’ in the traditional sense—but rather establishes KIB as a partner in every aspect of its customers’ lives; a true ‘Bank for Life’.

“In today’s rapidly-evolving world, change is a must to ensure growth, development and sustainability—in individuals and organisations alike.”

How important is change management at KIB? “KIB is well aware that constant change is the new reality. With this unprecedented scale of change sweeping the banking industry, we realise that change management must be institutionalised across the entire organisation for greater internal agility. Successful change management has become increasingly important for the sustainable development of organisations including financial institutions.

“KIB has adopted a formal change management approach, which has led to the seamless adoption of new products, systems, channels and process. Our effective change management process has us on top of changes in compliance rules, bank processes, and practices which ultimately, results in a strong competitive advantage while mitigating risks.”

How does KIB’s new brand identity tie into its new strategic direction? “The underlying spirit of KIB’s unique strategy is embodied in its new brand and corporate identity. More than just being an update to a decade-old logo, the fresh and modern look is reflective of the re-energised, progressive and innovation-focused Bank that KIB is being transformed into.

“The new corporate identity marks KIB’s emergence as a partner to customers, delivering increasingly specialised capabilities and leveraging emerging technologies, while the new brand represents KIB’s future outlook and integration of leading technology and expertise, and consistently delivering world-class integrated, capabilities and services; it also highlights the bank’s strong heritage and capabilities for the future. Our brand identity is a visual expression of what we do and mean, for our clients.”

Explain KIB’s new slogan ‘Bank for Life’. “Our new strategic transformation is both comprehensive and long-term, aiming at transforming the way we engage with our customers across every touch point. We are no longer just a bank, as we now offer next-level customer experience which establishes us as partners in every aspect of people’s lives. KIB has become an active member in the community, understanding customers’ needs and building trust through proactive, personalised services.”

How do you preserve a personalised service in the digital age? “In the age of hyper-relevance, delivering a personalised experience is extremely important. New players are carving out market share with creative, original and innovative ideas. The rise in new options for financial services means that banks can no longer compete solely on offering new products. Consumers have come to expect individualised experiences at every touchpoint. For retail banks to thrive in this new world, they must adopt an integrated digital banking platform and emphasise personalisation. Robust analytics provided by these new platforms facilitates strategic decision making.

“In the digital age, we can see that personalisation is on a whole new level. Financial institutions can use data to achieve valuable insight, with greater timeliness than ever possible. Analytics and machine learning provide relevant,

individualised know-how that is delivered in real-time via digital devices. Banks can now analyse available data to enhance the customer experience by offering bespoke banking solutions; thereby strengthening customer relationships and enhancing existing trust. New marketing automation and brand management platforms optimise the content being offered though these digital channels.”

Kuwait has a young population; how does this affect your clientele’s expectations? “Expectations have changed at an unbelievable rate. With a median age of 29 years, Kuwait has a young population. With it, comes a generation affected by a technology boom which made way for a modern generation of tech natives; who are increasingly mobile savvy and have greater access to media and technologies.

“This new digital world has created new behavioral patterns. Our young customers must be engaged with via multiple platforms. As omni-digital customers, they prefer to use digital channels to sort out their banking needs rather than conventional channels. Recent reports suggest that one-third of Millennials use their bank’s mobile app for most of routine transactions.

“Accordingly, KIB has adopted a number of digital banking solutions to accommodate for our clientele’s expectations. To remain relevant in a swiftly changing world, the banking customer experience must have technology play a crucial role, as young customers expect a seamless omni-channel experience with access to information whenever and wherever they want it.”

How is KIB an active member in the community? “Over the years, KIB has done a great deal in fulfilling its social responsibility towards the community in Kuwait by focusing on more than just profits. Its encompassing and diverse social

responsibility programme has driven the bank towards supporting various social and economic development initiatives, as well as civil society organisations across Kuwait.

“In addition to focusing on a wide range of basic needs programmes, the bank has dedicated a large portion of its efforts towards two flagship platforms: the financial literacy programme and supporting local, young talents. As a financial institution, KIB has been placed in a unique position to spread financial awareness and economic education across Kuwait, as well as offer moral and financial support to aspiring young Kuwaiti talents.

“Nowadays, it is important for all organisations, particularly those than can give back, to find ways to support and reach out to all segments across their communities.”

What is KIB’s secret to staying true to itself amidst changes sweeping the market? “A pillar of the local banking sector since 1973, KIB has built a stellar legacy by embracing positive change; adapting to the economic landscape and the ceaselessly fickle financial market with precise and forward-thinking strategic development plans. Since then, KIB has undergone several transformational changes. For KIB, life is a journey of continuous evolution, as our secret to success is to never stop adapting to changes.

“We have realised a long time back that the secret to preserving our corporate essence is to maintain an agile identity. While some companies might prefer to keep things the way they are, change is necessary every now and again if organisations want to keep up with the foreseeable future.

“Even though strongly rooted we are in our rich history and extensive past experiences, we always have our eyes set firmly on the future and aspire to be the ‘Bank for Life’.”