How GoTyme kiosks transformed grocery stores into banking hubs

The digital bank onboarded two-thirds of its 3.4 million users through supermarket kiosks.

The population is ready, and the technology is available, but 34 million Filipinos still remain unbanked, according to data from the Bangko Sentral ng Pilipinas (BSP). GoTyme Bank, one of the Philippines’ first-ever digital banks, saw a way to reach these people: by putting GoTyme kiosks in supermarkets.

“The kiosks are paired with ambassadors. So other than it being a physical manifestation of opening an account, you might want to call it a large mobile phone,” Albert Tinio, co-CEO and Chief Commercial Officer of GoTyme Bank, told Asian Banking & Finance in an interview. 

“The ambassadors are there to make Filipinos feel comfortable: to talk about it, to explain, and to guide them through the process of onboarding. This allows a customer to be able to open an account in five minutes or less,” Tinio said.

The most crucial part is that the newly onboarded GoTyme Bank customers are then issued a debit card by that kiosk in just minutes. “To most Pinoys who were previously unbanked and underbanked, a physical manifestation of having an account is a big deal,” he said.

The strategy is working: just two years after kicking off operations, GoTyme Bank now has 3.4 million users in the Philippines– and about two-thirds of this were onboarded through their kiosks.

This was not Tinio’s first venture into the world of digital finance: he was the former CEO of GCash from 2016 until 2019, an experience that he credits as an “eye opener” regarding the lack of financial inclusion amongst Filipinos.

“The advocacy, I took it personally when I left GCash. I wanted to be able to build something from scratch, correcting the mistakes and using the learnings from GCash and previous experience and putting it into GoTyme,” Tinio said.

“We often say that we are a place for people with scars and unfinished business,” Tinio said, regarding GoTyme Bank. “The population [of GoTyme employees] here are people who have experience and who want to incorporate [financial inclusion] in Filipinos’ lives. So that was my inspiration. This is what we’re going to build in the Philippines. And I want to be a part of it.”

​

A “phygital” ecosystem
One big factor with the popularity of the kiosks isn’t just the convenience– it’s the perks that come with it.

The GoTyme debit card serves as a rewards card for the whole Robsinsons ecosystem, including supermarkets, grocery stores, malls, and department stores.

The supermarkets’ cash tills, meanwhile, have transformed into an ATM or the de facto bank branch of GoTyme’s client base: users can deposit and withdraw money there for free.

“We brought the bank to them, so to speak,” Tinio said. “So you have deposits, withdrawals, account opening, all done and enabled digitally, but helped with and facilitated by humans.”

This “phygital” (a portmanteau of physical and digital) approach is something that GoTyme Bank champions.

“It's a marriage of physical and digital. Yes, we have a digital banking license. Yes, we enable digitally, but more importantly, we want to connect physically, and I think that's the most appropriate model, especially for how social and how communicative [and] interactive Filipinos are,” Tinio said.

Complementary
Asked on how he sees the future of digital banking– and the Philippine banking industry– would be like, Tinio has one thing to say: humans will always be a major force of the banking industry despite the rise of digital tools and services.

“What we like to say is, the more digital the world becomes, the more human our bank has to be-- whether that's through digital banking, through ambassadors and cashiers, or customer service, where people can chat directly with the human,” Tinio said.

As for what the banking industry would be like with both digital and traditional lenders, Tinio sees less competition and more cooperation.

“I see a world where digital banks and traditional banks complement each other. I don't think physical branches will go away anytime soon. There is a need for them, but I do see a time where people who started out unbanked may graduate to a traditional bank, or traditional banks who became avenues for the unbanked will eventually say, hey, why don't you start with a digital bank? I think there’s a synergy or complement in the future and the only people who stand to benefit there are all our fellow people,” Tinio said.

BNPL, investment services
As for GoTyme Bank’s future plans, Tinio said that they will continue offering the propositions it promised its 3.4 million users: high interest for regular savings, rewards, ease of use, and ease of onboarding. 

More recently, it introduced loans aimed at small and medium enterprises (SMEs) and small corporations who have very little access to the capital or lending they need. 

For its retail customers, GoTyme Bank also launched earned wage access (EWA) or a form of salary loan. It has also launched a multi-currency time deposit service offering a 3% and 3.5% interest rate for three- or six- month time deposits.

The bank is also gearing up to roll-out new services in the near future.

“Pending BSP approval, we're also looking to launch investment products,” Tinio said. Though Tinio could not yet share more details, he said that GoTyme customers can look forward to growing their money further by availing investment products. 

A buy now, pay later service is also in the works, with a target roll-out date for later in 2024.

​