Singapore-based UOB Group has picked Thailand as the first country in Asean for its mobile-only bank to tap millennials.
Thailand has a large population nearing 70 million, of which one-third are millennials aged 21-35. It also has the largest number of mobile banking users in Asean and the third-highest value of e-commerce in the region, said Yuttachai Teyarachakul, managing director of United Overseas Bank Thai (UOBT) and country head of personal financial services.
UOB Group aims for 3-5 million Asean millennials, of which 500,000-1 million are expected to be Thais, to use its mobile banking app TMRW over the next 3-5 years, Mr Yuttachai said.
TMRW enables users to open bank savings accounts and authenticate their identities without visiting branches.
Users are required to upload their citizen ID card photo and fill out online forms before making identity authentication at more than 200 TMRW self-service kiosks across Bangkok to complete the process of opening accounts at UOB via smartphone.
Mr Yuttachai said the bank has developed biometric technology to let customers open savings accounts by using fingerprint authentication. The service is available for both the bank's existing and new-to-bank customers, who are TMRW's main target group.
"Our total deposit customer base is around 1 million, of which 20-25% are Gen Y clients, while the largest is Gen X customers," Mr Yuttachai said. "We want to expand the millennial base through this innovative service."
Customised digital financial features available on TMRW will be attractive to the younger generation, he said, adding that the bank is offering an extra rate for savings accounts of 1.6%, plus 2-3% cash back for credit cards through mobile banking services.
Mr Yuttachai said the bank provides basic financial products on the mobile app in the initial stage and it plans to adopt sophisticated savings solutions and digital lending within two years.