Belagroprombank took part in the training workshop by BELCARD
On 29 November 2016, the employees of Belagroprombank took part in the training workshop “BELCARD: an effective platform for profitable management of the bank’s card portfolio (the case of payroll projects)” that was held in the office of the BELCARD Payment System.
The Deputy Head of the Small & Medium Business Department of Corporate Business Division of JSC Belagroprombank Anastasiya Shchedrova shared Belagroprombank’s experience of payroll projects.
What are the perspectives for the development of card products and services in Belarus? How to work efficiently on this market under the conditions of growing competitiveness? What are the major issues related to how to get profit from payroll projects and how do BELCARD products allow the building of successful business-models for expenses and profit management with a view of long-term perspective in the competitive pricing environment?
The above questions and other issues were discussed during the training workshop organized by BELCARD for employees of Belarusian banks.
The Deputy Director of JSC “Payment System BELCARD” Vladimir Gusarov, leading specialists of the methodology and analytic department of Payment System Division of BELCARD Ksenya Sazonova and Alesya Nesterovich, the Deputy Head of the Small & Medium Business Department of Corporate Business Division of JSC Belagroprombank Anastasiya Shchedrova acted as consultants and coaches during the training workshop.
The Deputy Director of JSC “Payment System BELCARD” Vladimir Gusarov delivered the report “Profitable management of payroll projects”.
In his report, Vladimir Gusarov presented the analysis of the national card portfolio and the factors for the efficient operation in card business, which, in the experts’ opinion, can be achieved through providing high-quality services at affordable fees. Together with the participants of the training workshop, the consultant demonstrated different business situations related to the sale of payroll projects, and suggested the ways of economically feasible formation of the bank’s payroll cards portfolio based on the economically balanced use of BELCARD cards and cards of other payment systems.
According to BELCARD, at present one of the principal directions of increase of yield of the payroll portfolio of the domestic banks is economically feasible rise of share of BELCARD’s products therein. The analysis of card transactions of all banks suggests that more than 97% of turnover and financial transactions are domestic transactions and it is costly to pay for such transactions in free convertible currency.
Belagroprombank’s employees took part in the training workshop by BELCARD
Anastasia Shchedrova delivered a report on “Interaction with SMEs: market for sale of card products (the case of payroll projects)”. The speaker talked about the dynamics in the card business development in Belagroprombank, and brought up the subject of card portfolio breakdown by the regions, the aspects of the payroll projects implementation, with focus on the models of interaction with SME sector which is becoming a key area of activity for the bank.
With regard to payroll projects, Anastasia Shchedrova pointed out the following:
– Considering the changes in the financial market, payroll projects have once again become one of the most interesting areas of business for Belarusian banks. They are not only a source of regular earnings in the form of fee-based income, but they also provide many opportunities for sale of supplementary services. Over the last years, Belagroprombank’s activity in this field has demonstrated that the customer market is shared by the bank. At the moment, practically all large enterprises in some way or other already implement payroll card projects. We believe that such demand has already been satisfied. Therefore, the bank focuses on small and medium businesses.
Given the intense competition in this market, our bank reviews the approaches towards servicing of SMEs and the transition from the model for implementation of the entire bank servicing of corporate customers by retail specialists of various structural subdivisions of the bank to the customer-oriented model.
The customer-centered model is a model for servicing SMEs through sales personnel. A salesperson becomes the customer’s manager who coordinates his interaction with the bank and makes it possible to effectively manage finances by means of selection of the optimal product offer.
The targets the new customer interaction model:
- Increase of sale of payroll projects given the current strong position of the bank in the SME services market at the expense of potential customers looking for a financially stable customer-centered anchor bank;
- Sales network modification, its centralization through creation of “cluster salespoints”, enhancement of efficiency of the sales personnel and optimization of processes of interaction with customers as well as within the bank;
- Focus on cross-sales within the implementation of the payroll project at the enterprise. As a result, its efficiency grew due to the modification of the front- and middle-offices interaction model.
Undoubtedly, the modification of the payroll project is an evolutionary process, –Anastasia Shchedrova summed up. – As retail business develops, we should reconsider the conception of this product, transferring it from one of its secondary products for legal entities into a powerful retail sales channel.
The training workshop by BELCARD gathered experts from various Belarusian banks.
Furthermore, the macroeconomic aspects of card business development in Belarus, overseas experience in this field and the issues of financial awareness of population were discussed during the workshop. A round-table discussion and hands-on training related to costs and revenues management models within payroll projects were held for the banks’ employees.
Photo credit: JSC “Payment System BELCARD”
