NBFCs have been critical in filling credit accessibility gaps and assisting SMEs and professionals who were previously underserved by banking institutions! However, NBFCs are now being challenged by micro-lending companies and FinTech start-ups looking to enter India's INR 118 trillion formal credit market. 

How Indian NBFCs can boost online sales, operational efficiency, and customer satisfaction?

Unlike banks, NBFCs do not typically have extensive distribution networks. Third-party agencies and direct selling agents account for a significant portion of their new business (DSAs).

According to a recent Accenture study, NBFCs can increase loan volumes while reducing operational costs by 20% through strategic digital transformation. Digital lending is based on direct sales through online channels. It is also  based on  increasing operational efficiencies, and providing a seamless customer experience.

Using analytical tools to segment customers and define segment-specific sales strategies can result in higher conversion rates. Supervisors can also quickly reform existing strategies with a real-time view of the sales pipeline. Many of the preliminary loan processes, such as checking loan eligibility and custom loan requirements, can be completed online via self-service portals. Online document collection, query, and clarification portals can free up the NBFC workforce for more complex tasks.

Any customer-facing business must have an intelligent instant response. NBFC is no exception! Tailored engagement based on previous interactions can aid in the development of emotional connections with customers. 

Using an omnichannel approach is also important because the customer may not appreciate having to repeat the query over and over. Given the growing number of digital lending platforms and customer preference for convenience, now is the time for NBFCs to implement a smart digital lending strategy. Only then they can  remain relevant in the lending industry.