Wednesday, March 25, 2020View Showroom
China authoritative media released the < Market Review of Intelligent Branch Equipment of China in 2019 >. According to the report, GRGBanking ranks No.1 in the intelligent cash equipment market for 12 consecutive years as well as stands out from the large amount recycler market. The company also has absolute advantages in maintenance service capability. Below are some excerpts from the report.
Empowered by Technology, Innovated through Integration
- Market Review of Intelligent Branch Equipment of China in 2019
In 2019, AI, big data, Internet of things and other Fintech were widely used in Chinese banking. The business form, product mode and service mode of are facing both opportunities and challenges. Building comprehensive digital banking and constructing smart financial ecosystem have become the main direction of banking channel reform. Internet companies force the banks to launch Fintech innovation. Playing an important role in the banking Fintech input, the intelligent financial equipment manufacturers closely follow the needs of banking channel transformation. The product innovation and offline scenario application can enable whole new banking channels.
The total number of ATM has declined while the diversified intelligent branch equipment become popular
According to issued by the People's Bank of China, the total number of ATM in China was 1,088,800 at the end of the third quarter, 11,600 units decreased compared to the last quarter and 39,800 units decreased compared to the end of the third quarter of 2018. Meanwhile, according to issued by China Banking Association, the off-counter service average rate continued to rise. By the end of 2018, the off-counter service average rate had reached 88.67%, which is expected to reach 90% by the end of 2019. The rapid increase of the off-counter service rate comes from the online channel's diversion. With the new intelligent equipment such as large amount cash recycler and intelligent corporate service terminals, more counter businesses have been migrated.
Equipment replacement takes up most of the traditional cash equipment market, maintenance service is the key to competition
Most of the traditional cash equipment in China is recycler, taking up over 98%. In 2019, the top five manufacturers in China's traditional cash equipment market are the same with 2018. GRGBanking ranks No.1 for the 12th year with a market share of 28.06%, following up by Yihua, whose market share is 21.57%. The top five manufacturers cover over 91% of the market.
With the slowing down of the banking network expansion and the intelligent & light branch transformation, the traditional cash equipment market is gradually saturated and now it’s mainly about equipment replacement. The dispenser will be fully replaced by the recycler. Meanwhile, the new intelligent equipment such as large amount cash recycler will accelerate the upgrading and replacement of the recycler.
In addition to the quality of products, banks have higher requirements for the response efficiency and maintenance service quality. Manufacturers with larger maintenance coverage, completed service information and rich service experience have more advantages. The banks began to require the binding of equipment procurement and service providing, manufacturers without service ability were cruelly eliminated. Compared with competitors, GRGBanking has an absolute advantage in its own maintenance service capacity, with nearly 4,000 after-sales service engineers, more than 900 service stations nationwide, its market share has reached 19.1%.
Rising market: Intelligent branch equipment
The intelligent counter and other branch transformation products have been popularized. In 2019, the top three manufacturers in the intelligent branch equipment market are GRGBanking, Great Wall and Cashway. At present, the intelligent counter has become the standard configuration in Chinese bank branches.
The large amount cash recycler, which integrates the functions of intelligent counter and cash service, has become the new focus of Chinese banking. It has huge advantages in business coverage, interactive experience, application scenarios, etc., which obviously optimizes the banking structure and service experience. By the end of the year, all the major state-owned banks, except ICBC, have completed the project bidding of large amount cash recycler. GRGBanking becomes the biggest beneficiary of the rising new market, becoming the shortlisted suppliers of ABC, BOC, CCB and PSBC.
Corporate banking immigration & scenarios innovation
As the responsibilities of bank tellers shift from counter business processing to lobby marketing, complex counter retail business and simple corporate business will become the main focus of service migration. In 2019, Ping An Bank successfully constructed a new model of "smart remote" corporate service, and led the new operation concept of "less front-end, more remote". CTM, jointly developed by Ping An Bank and GRGBanking, is the core interactive tool of the intelligent remote service mode. The CTM is the corporate banking device that support the most comprehensive functions in China, covering more than 90% of the corporate banking service.
How to enhance the comprehensive branch business scenario through AI, big data, Internet of things and other technologies has become an important way of banking channel transformation. GRGBanking launches “Banking + Transportation”, “Banking + Public Service”, “Banking + tourism” and other innovative projects which broaden the industry development. Great Wall launches “Banking + Hospital”and “ Banking + New Retail” while Yihua explores the 5G intelligent branch.
Fintech and after-sale service are key competitiveness
With the development of artificial intelligence, blockchain, cloud computing and big data, the banking business and service channels have been continuously improved, realizing the transformation from intelligent transaction to smart branch. The banks increase the investment in intelligent equipment to optimize the branch layout and apply more financial technologies to enhance the comprehensive branch intelligence.
Generally speaking, apart from improving the branch intelligence level, how to strengthen the integration of financial service and various industries is the new focus of banking channel reform. All the vendors need to have comprehensive technological capabilities, including independent R & D ability, diversified service providing and cross-industry integration capabilities, so as to provide full support to intelligent banking upgrading and boost the high-quality development of banking and financial industry.