Yapi ve Kredi Bankasi AS exceeded its aim of adding 1 million digital customers per year, and fellow Turkish banks are also seeing strong usage of digital channels.
The bank managed to add 1.1 million digital customers in the first nine months of 2021, an executive said during its third-quarter earnings call. About 20% of its customer acquisition is through digital channels. In addition, the number of average monthly logins has increased by 50% since 2020, and more than 75% of general purpose consumer loans were sold online.
Yapi ve Kredi reported a third-quarter profit of 3.25 billion Turkish lira, up from 1.85 billion lira in the same period of 2020. Bancassurance-related fee income was up 20% year over year during the quarter, driven by the launch of new products and strong support from digital sales. The sale of bancassurance products through digital channels reached 58%.
Akbank
Meanwhile, Akbank TAS, which has 6 million active digital customers, said in its third-quarter earnings presentation that 82% of its general purpose loans and 57% of its credit cards were sold through digital channels in the last 12 months.
Some 13% of its new customer acquisitions were made through its digital onboarding channel, and the bank said this is "a potential major customer acquisition channel." Bancassurance-related fee and commissions income increased by 52% year over year during the first nine months, with digital bancassurance sales up 75% on a yearly basis.
Akbank reported third-quarter net income of 3.21 billion lira, compared to 1.52 billion lira a year ago. The net interest margin for the first nine months of 2021, on a swap-adjusted basis, came in at 2.8%.
Garanti
Turkiye Garanti Bankasi AS reported a 28% year-over-year increase in digital transactions. For the third quarter, digital transactions made up 65% of all of the bank's transactions, compared to 32% at ATMs and 3% at branches. Before the pandemic, the share of digital transactions was 51%, compared to 43% at ATMs and 6% at branches, it said.
Garanti now has more than 10 million digital customers, an executive said during its third-quarter earnings call.
The bank reported 33% year-over-year growth in net fees and commissions during the nine-month period ended Sept. 30, to 6.49 billion lira from 4.87 billion lira. This was driven by relationship banking and digitalization, it said.
As of Nov. 1, US$1 was equivalent to 9.52 Turkish lira.
