Commercial Bank of Africa targets youth segment with new service, Loop

Commercial Bank of Africa (CBA) has unveiled a new digital money management and consumer banking service, which aims to transform how retail customers manage and interact with their finances. 

The service called Loop, targeting the youth segment, eliminates the need for visiting a physical branch for any of the core banking services, because they will now be offered through a mobile platform for the Loop customers.

Loop features a Personal Financial Management tool, which enables customers track, plan and analyse their income against their expenditure on a regular basis, with the analysis presented using graphical tools for faster interpretation. It also makes it easy for customers to plan for and finance the personal goals and other aspirations for a given period.

“CBA has over the years been associated with transformative innovation that has redefined the financial sector, having been the partner bank when Safaricom launched M-PESA 10 years ago and M-Shwari in November 2012. With Loop, the Kenyan customer is a winner again, with a financial services partner that is concerned about their growth. We aspire to change the nature and manner of conversations that customers have with their bank” said Eric Muriuki, GM, New Business Ventures at CBA.

Loop presents a range of transactional features that streamline how customers save and make investments, which fits in well with the government aspiration to inculcate a savings culture among Kenyans. Additionally, customers will be able to use Loop to schedule their utility bills payments, send money, access loans, and pay for goods and services at retail outlets.

The new service was developed over the last two years, based on insights gained from the youth. The research delved into the target customers’ habits, their motivations, aspirations, preferences, passions, as well as their pain points in accessing banking services such as loans, deposits and making savings.

Muriuki said: “While the banking sector has effectively catered for its more established customers, it has fallen short in addressing the needs and preferences of millennials and particularly the new age entrepreneur. Square pegs cannot fit into a round hole. Loop is the realization that technological advancements and consumer changing behaviors dictate what and how we offer as financial solutions.”

“Our communication on Loop also does away with the traditional banking jargon, which according to research does not relate well with our target market. In its place we will opt for more relatable terms that will place our customers at the centre of their respective financial journeys,” he added.

CBA customers keen to enjoy the Loop service can download the Loop App from the Android or iOS App Store, enter their registration details and collect their cards from specially created retail outlets called Loop Stores. Afterwards, they can top up their accounts and start transacting.

The six Loop Stores, located at the City Centre and selected malls, are equipped with Wi-Fi and designed as both work and social spaces.

Be the first to comment

Leave a Reply