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Innovation to give CIMB the push

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Points of Essence:

  • CIMB will bank on its innovative products to achieve its deposit growth of 25% this year by targeting specific segments of the market. This is vital to attract customers given a period of uncertainty.
  • To start this up, the bank launched a campaign yesterday to enable customers to win prizes and allow them to save and invest at the same time.
  • The campaign, which runs from Aug 1 to Dec 31, will have five monthly winners, each receiving RM500 a month over 15 years, to pay telephone bills, electricity bills, holidays, groceries and petrol respectively. The grand prize winner will walk away with a fixed annuity of RM2,000 a month for 15 years. Participation in deposit savings or banking transactions with the bank will give customers an entry to the contest.

KUALA LUMPUR: CIMB Bank Bhd is focusing more on innovative products targeting specific segments of the market to achieve its deposit growth of 25% this year, says retail banking head Peter England.

“For us, the number of products that we can introduce is not important – it is whether the products can suit the clients or not,” he said after launching the bank’s Save and Invest Campaign yesterday.

Given the current situation of market uncertainty, England said this was a good time for people to save and invest, as lots of attractive products were available in the market.

“For that, banks need to be more innovative to attract customers as they become more careful now when investing. Given the current situation, it’s going to be a challenge for the banking sector to come out with products that are attractive enough,” he said.

Peter England (left) and CIMB Islamic Bank Bhd executive director/chief executive officer Badlisyah Abdul Ghani launching the campaign

On Bank Negara’s move to maintain the overnight policy rate (OPR) at 3.5%, he said it was a wise decision.

“I think the move to maintain the OPR is a very good decision not just for the economy but also for the people. So far, there is no change in our loans growth and (the statement has) also not affected our existing customers,” England said.

He said the campaign launched yesterday would not only enable customers to win prizes but also allowed them to save and invest.

“It also rewards them with (cash) prizes to help manage today’s rising cost of living. The more a customer saves and invests, the higher his or her chances of winning,” he said.

The campaign, which runs from Aug 1 to Dec 31, will have five monthly winners, each receiving RM500 a month over 15 years, to pay telephone bills, electricity bills, holidays, groceries and petrol respectively.

The grand prize winner will walk away with a fixed annuity of RM2,000 a month for 15 years. Both new and existing customers of CIMB Bank and CIMB Islamic can participate in the campaign.

Customers who want to participate in this campaign need to add RM100 into his existing bank account, which will give him one entry. Similarly, every RM100 invested in unit trusts and structured products constitutes another entry.

“Each housing loan, business premise loan, share margin financing and personal loan approved during this five-month period represents 50 entries. So, the more transactions, the higher chances of winning,” England said.

CIMB Bank is the commercial banking arm of CIMB Group while CIMB Islamic is the group’s global Islamic banking and finance franchise.

Source: thestar.com.my

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Written by Suapi Shaffaii

August 6, 2008 at 3:14 am

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