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A Step-by-Step Guide to Digitizing Your Lending Business

Business leaders worldwide are adopting different strategies to digitize various aspects of their operations. However, it's crucial to understand that there is no one-size-fits-all solution that works for all businesses. So, how can you determine which solution is the most suitable for your specific needs? Learn more...

As digitization continues to impact various industries, what are the implications for the lending sector? What is the best way to approach digitization? What should businesses consider when undergoing digital transformation? Let’s explore these questions.

Simply put, digitization is a means to an end. It enables greater efficiency, accessibility, and innovation by leveraging digital technologies and platforms. The process of digitization presents a chance for companies to increase their profits and enhance customer satisfaction by reducing expenses and developing new and creative products.

Business leaders worldwide have been implementing various strategies to digitize different aspects of their operations. However, there is no universal solution that fits all businesses. So, how can one determine which method or solution is best suited for their specific needs?

Here at Vymo, we believe that digitization needs to be a step-by-step process so that organizations can embrace change and do more with less.

Step 1 : Understanding the entire lending value chain and defining clear problem statements

A standard B2C lending journey starts from running campaigns and gathering leads to the disbursal of loans and collection of monthly payments from onboarded customers. Lending comprises multiple secured and unsecured business lines that operate across different channels, including B2C and B2B. Consequently, the requirements for each organization differ. In addition to lead and partner management, lending involves due diligence, underwriting, and other related aspects. It is essential to analyze the entire value chain and identify specific problem areas to select the appropriate solution.

Many fintech solution providers focus on specific areas of the value chain, offering specialized services for each. This is particularly important for lengthy and complex processes.

Step 2 : Choosing the right solution provider

When selecting the appropriate solution or tools, it is important to consider various factors, including: 

  1. How user-friendly the solution is 
  2. Whether it is compatible with your current systems 
  3. The security of your data and systems 
  4. The potential for future growth and expansion 

This is not an all-inclusive list and may vary depending on the organization.

When digital transformation teams aim to solve a specific problem, they have certain expectations from the solution. However, it’s common for the root cause of the problem or gap to be found in other processes that come before or after it. As a result, it’s recommended to take a step back and consider the bigger picture instead of solely focusing on current gaps. Adopting solutions prioritizing the desired outcome rather than just addressing the gaps is the way to go.

Step 3 : Defining the digital deployment strategy and timelines

Once an organization chooses a specific solution or technology tool, ensuring a smooth deployment with minimal obstacles is essential. Implementing a new working model or strategy involves getting all users and stakeholders accustomed to the new approach, which can be challenging.

The crucial factor is effective process training and gradual progress over a limited period. Deployments usually happen in stages, so it’s essential to validate the effort required, priority of requirements, and other factors from the outset.

Step 4 : Progressively customize and enhance the services to mold to your business

Post successful deployment(s), the next steps are to customize the solution further to suit the ever-changing business strategies of the client. To achieve this, it is necessary to have a close partnership between the client and the solution provider and a thorough comprehension of the client’s business.

Vymo is verticalized for the BFSI industry, and we have end-to-end solutions curated for specific use cases. Vymo for Lending bridges the gap right from prospecting to loan disbursal to even collections for the B2B and B2C verticals. Our key differentiator is that all our products and features work hand in hand to solve for an entire user journey instead of focusing on individual pain points to solve. One of our premier product offerings is our lead management systems which intelligently reads historic activity and lead conversion data to nudge sales reps into taking actions that would increase the propensity of sale/ onboarding. More on our lead engagement solution here.

With successful deployments across multiple geographies and lines of business, Vymo has established itself as one of the leading players in the sales engagement and fintech space.

For more details, do reach out to us

Sreenivas Gattu

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Sreenivas is a product marketer orchestrating product success through innovative positioning, sales enablement, and cross-functional collaboration. Outside of work, he can be found playing sports, engaging in gaming, or learning to play a new musical instrument.

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