The strategy has effectively increased transactions and enhanced customer trust by 53.4% throughout 2023.
The blu platform, a division of the BCA Group, is pioneering a distinct approach within the digital banking arena.
While many other digital banks prioritize attracting large volumes of customers, the blu app prioritizes enhancing customer satisfaction and cultivating a digital ecosystem through Banking as a Service (BaaS).
Since its launch in Indonesia, the blu app has secured a significant market share for BaaS. In an interview with Asian Banking & Finance, Yoga Halim, Head of Corporate Planning at BCA Digital, acknowledged how blu has improved accessibility and advanced financial inclusion for 1.7 million customers.
“Through enhanced services, the addition of various features and latest products, and the expansion of the digital ecosystem with partners, blu BCA aims to support the community and customers in achieving financial maturity,” said Halim.
Promoting Financial Literacy and Inclusion
The blu app’s commitment to fostering financial maturity among its customers and the wider community is evident through its focus on enhancing financial literacy and inclusion.
“Blu has seen significant growth in financial literacy through the bluAcademy education classes, with over 3,500 participants to date. Nearly 40% of participants report significant improvements in their financial literacy,” explained Halim.
Financial inclusion also experienced substantial growth in 2023, with transaction frequency reaching 73.7 million times year to date, and a transaction volume totaling IDR 181.9 trillion (US$11.64b), marking a threefold increase compared to the previous year.
“This surge in transaction volume is reflected in the increased activity across various transactions, including a 215% rise in transfer transactions, a growth of over 367% in payments using QRIS, and a 282% increase in e-money top-up transactions,” highlighted Halim.
Introducing New Products and Features
To further enhance customers’ financial transaction experiences and promote financial maturity, blu has introduced a range of new products and features. These additions cater to diverse customer needs and preferences, ensuring a seamless and comprehensive banking experience.
“We’ve recently launched the bluDebit Card to meet our customers’ transaction requirements, along with bluInvest in collaboration with esteemed investment partners Moduit and FUNDtastic,” highlighted Halim.
“In addition, we’ve introduced bluInsurance in partnership with BCA Life, enabling customers to conveniently purchase insurance directly through the blu app,” Halim continued.
Furthermore, blu has introduced bluBisnis to support business transactions, facilitated loan applications through bluExtra Cash, and enabled payment of utility bills (electricity, water), BPJS insurance, and top-up of flazz BCA cards directly from the blu app.
In addition to expanding its product offerings, blu has also enhanced its digital ecosystem services and in-app payments. This allows customers to conduct financial transactions seamlessly within the app, without the need to navigate to external partner applications.
Forging Partnerships
In the realm of partnerships, blu BCA has embarked on collaborative ventures through its blUnion initiative, joining forces with partners across diverse sectors, spanning from gold investments to educational offerings.
Additionally, blu has established collaborations with vehicle credit payment partners such as BAF (Bussan Auto Finance), enabling seamless payments through direct linkage of the blu account with each partner application.
Halim emphasized that as the digital ecosystem flourishes via BaaS, the bank aims to enhance customer convenience by facilitating transactions without the need to switch between multiple apps.
This approach also seeks to broaden access to financial services and optimize customer acquisition costs.
“These advancements are evident in blu BCA Digital’s net profit for 2023, which surged to IDR 46.04 billion (US$2.96 million), alongside remarkable transaction growth and the consolidation of customer trust, reflected in a substantial 53.4% increase in customer base, now exceeding 1.7 million customers,” Halim remarked.
