KPIs to measure ROI of a digital bank

“An Avaya survey in India a couple of years ago found that 51% of Indians use online banking. Another report by the Office for National Statistics says 69% of UK population bank online.

Cost to acquire a typical customer (CAC)

  • The expenses put in by sales and marketing teams divided by the number of new customers added on to the repository would define CAC,

Lifetime value of a typical customer (LTV)

  • LTV, also known as customer lifetime value (CLV) or lifetime customer value (LCV) is a forecasting method to estimate the projected revenue from a customer over the lifetime of their relationship with your business.

DIY Service

  • With digital banking, research suggests that you can save up to $5 on a branch visit, $2.50 for a customer call to a call centre.

As per research done by Capgemini and MIT Sloan, businesses who recognise the value of digital transformation are on average 26% more profitable than their competitors and have valuations that are 12% higher.”

https://www.bankingtech.com/2019/04/kpis-to-measure-roi-of-a-digital-bank/

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