Based on data from Deloitte in 2021, approximately 202 million people in Indonesia have been using the internet, with about 98% of them owning smartphones. While messaging, social media, and entertainment apps dominate the mobile space, the use of financial apps has also become a daily necessity for many.
Limited understanding of financial products among the public remains a challenge in accessing banking products. However, recent changes in the financial sector have brought relevant solutions, especially for the Millennial Generation, who tend to seek fast and convenient financial services.
The emergence of digital banks provides the public with easier options to access formal financial products such as savings accounts from financial institutions. This also enables them to utilize efficient services that align with modern lifestyles.
One such digital bank acknowledging the high demand for easy and fast access to formal financial products is PT Allo Bank Indonesia Tbk (Allo Bank). In celebration of Indonesia's 78th Independence Day, Allo Bank has introduced its latest financial product innovation called Allo Grow.
Allo Grow is a savings product offering several advantages, including a simple account opening process, attractive interest rates, and flexibility in fund withdrawals according to customers' needs and preferences. Through Allo Grow, customers are believed to experience enjoyable saving experiences, without commitments and free from all administrative fees, while achieving optimal results.
Indra Utoyo, the CEO of Allo Bank, stated that Allo Grow is the latest flagship product in the Allo Bank Mobile App. This product is designed to provide customers with the opportunity to obtain optimal returns while remaining flexible, thus helping customers become wiser in building their financial futures.
"In the future, we will continue to develop the value proposition for this product, including the possibility of a cashback program for customers who maintain their Allo Grow balance for a certain period. This is in line with our commitment to launch various digital banking product and service innovations that allow customers to Experience a Simple Life," said Indra in a written statement, quoted on Wednesday (23/8/2023).
The Allo Grow product offers the opportunity to earn high interest rates of up to 6.5% per year by applying a tiered interest rate mechanism based on the deposit period. Balances stored in Allo Grow can be withdrawn anytime, without penalty fees.
Furthermore, Allo Grow can be easily opened by customers through the Allo Bank app with a minimum initial balance of Rp 500,000. Additionally, Allo Grow customers are not charged monthly administrative fees. This provides financial control freedom for customers.
Solid Performance in Semester I - 2023
In the first semester of 2023, Allo Bank once again recorded commendable financial performance, with net profit increasing by 44% annually (yoy) from Rp 151 billion to Rp 216 billion. The profit performance was supported by a 32% yoy increase in the company's assets from Rp 9.8 trillion to Rp 12.9 trillion as of June 2023. The asset growth was mainly driven by continuous credit distribution and investment in securities.
In terms of customer base, since the bank's launch during the Allo Festival on May 20-22, 2022, Allo Bank has acquired 6.5 million customers by the end of July 2023. This makes the Allo Bank Mobile App the digital banking application with the highest growth rate until June 2023.
During the same period, Allo Bank also obtained ISO/IEC 27001:2022 certification regarding Information Security Management System from CBQA Global Indonesia. This certification reflects the bank's commitment to maintaining the security and protection of information assets in accordance with the principles of confidentiality, integrity, and availability.
For your information, organizations that have obtained ISO/IEC 27001:2022 certification validate that information assets and other related assets managed by information management, including information entrusted by third parties, are well managed and continually improved based on best practice approaches and frameworks.