Achievements of digital transformation of commercial Banks -- a case study of China CITIC Bank

In recent years, in the context of a new round of informatization and technological revolution, the process of network and digitization in the banking industry has accelerated significantly, and new forms such as "finance + technology", "finance + internet", and "finance + big data" are still emerging. Commercial banks need to adhere to the "customer-oriented" approach in practice, grasp the new laws of digital transformation and development, and take platform-oriented approaches to create a new type of open and cooperative business paradigm to continuously create more value for customers.

Digitalization is an important support for the transformation of retail business. It is also an important measure to upgrade customer service, enhance customer experience, increase the size of the customer base, and increase value. Banks can also integrate cross-border resources, promote full coverage of customer needs, and achieve greater integration and opening of products and services. In the process, the concept and boundary of the channel will continue to expand, and the service "wall" of its own channel will be gradually penetrated. With the goal of building an ecosystem together, building an open bank can truly grasp the laws and the essence of the Internet, realize the convenience, mobility and intelligence of customer service, and improve the economies of scale.

In recent years, CITIC Bank has deeply cultivated customer operations, and has always maintained a good trend of active exploration and innovative applications in financial technology. It has created core advantages through customer digitization, product combination, and channel platform, and integrated online, offline, platform, and mobile., Intelligence, integration and other rapid development. Currently, CITIC Bank's retail business is undergoing a second transformation to realize value creation driven by smart operations. At present, CITIC Bank has established data-driven mass customer acquisition and accurate marketing to achieve real-time response to customer needs and significantly increase customer stickiness. Establish seven customer acquisition channel source standards, establish customer acquisition identification and application, implement customer acquisition channel monitoring, and construct a targeted batch customer acquisition system under multiple channels. During the customer operation phase, a new dimension of customer labels was added. Through the three-dimensional subdivision of 5 × N customer groups, in-depth insights into customers of all calibers were formed, and a product recommendation mechanism of thousands of people and thousands of faces was formed to ultimately achieve customer acquisition, retention, promotion, and maximum value. The goal. Facing the uncertainty of the future, CITIC Bank quickly adjusted the support positioning of IT functions, strengthened the integration of IT and business, and improved the flexibility and scalability of IT architecture. The first is to strengthen the construction of digital IT capabilities to better support digital innovation; the second is to build a big data platform and capabilities to enhance the collaborative application of big data through retail intelligent marketing and service platforms and CITIC Brain AI marketing models. With customer needs at the core, it is open to financial and non-financial partners, clearly defines division of labor and positioning, accumulates strength and drains each other, and provides comprehensive experience-leading integrated services to target customers. In 2018, CITIC Bank, relying on CITIC Group, initially established the CITIC Alliance system, covering financial services, new retail, business travel, family services and other industries. The billion-level big data platform and open platform built have already achieved initial results. CITIC Bank's digital transformation has moved to the third level and has started to support resource integration and service innovation, such as the distinctive high-end customer base management platform-Overseas Financial Services Platform (Global One-stop), and the social marketing platform-Cloud Marketing. Club platform (MGM), and non-financial service platforms.

By drawing on the experience of Internet platforms, commercial banks can focus on the digital platform-based business model, clearly define the value orientation centered on customer experience, and continue to promote business model innovation. The first is to enhance the comprehensive financial service capabilities of digitalization and scenarioizing. Currently, leading banks such as Capital One Bank, Wells Fargo, Citibank, and HSBC are working hard to build comprehensive digital and scenario-based capabilities to provide customers with convenient, intelligent mobile, and scenario-based integrated financial services. For example: Capital One Bank conducts an average of more than 80,000 big data experiments and analyses every year to judge customer value and guide differentiated customer strategies; Wells Fargo takes ethnographic stories as a powerful supplement to big data analysis, and integrates data and consumption The combination of meticulous understanding of the lives of people, analysis of personal financial planning business scenarios and the motivations, emotions, and cultures behind them, identifying market segments and performing quantitative analysis, and then creating a set of reusable segmentation models and diagnostic tools So that the team can more effectively carry out targeted design and communicate with customers.

In the future, the digital transformation of CITIC Bank's retail business will continue to follow the customer-centric development concept, from bank informatization to information banking construction, from bank app evolution to Internet banking, technology banking, and open banking construction. Commercial banks are paying increasing attention the application of information technology such as the Internet, cloud computing, big data, and AI has significantly accelerated the digitalization process.

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