Case study: TBC Bank’s non-financial services strengthen georgian SME clients
TBC Bank’s focus on small and medium-sized businesses, through its NFS approach, has been a considerable success. Since the launch of the Business Support Program in 2013, the Program has helped position it in the market as the partner of choice for that customer segment.
The success of the NFS program and IFC’s skills development offerings for SMEs in Georgia were recognized by the International Business Brilliance Award under the category, The Best New Product Launched in 2014.
Benefits for the Bank
- Market leadership: By deploying non-financial services, TBC Bank brought its service for MSME clients to a new level, where the bank is providing a combination of financial support and business advice.
- Maximum reach to clients: A suite of complementary NFS offerings maximized the reach of TBC Bank to its clients through new delivery channels.
- Better performance of SME clients: The business performance of SME clients can be enhanced by offering complementary non-financial services that strengthen SME business skills.
- Sustainable customer base: NFS also enhances SME client satisfaction and loyalty, providing a stronger, more stable customer base despite local and global political and financial turmoil.
- Global expertize to local clients: Partnerships with international development institutions, such as IFC, ADB, or PUM, help local banks bring global experience to local clients.
«TBC Bank provides an excellent example of how financial institutions can effectively embrace the untapped potential of SMEs by helping existing and prospective clients develop their business and financial skills. TBC Bank’s experience led to a chain reaction: new clientele started onboarding very shortly after the bank offered NFS. This translates into a growing SME portfolio, increased sales of SME products/services, lower NPLs, better results and satisfied customers choosing TBC as their partner bank», – GARTH BEDFORD, Banking Advisory Services Lead, Central Asia and Eastern Europe, IFC.
«The innovative NFS package truly complemented the TBC Bank’s new MSME strategy and helped us stand out in a very competitive and well-developed financial market. As a result of supporting our client MSMEs through NFS, TBC Bank is now perceived as a partner bank for micro, small and medium size businesses», – TAMAR ZHIZHILASHVILI, Deputy Director, Business Banking.
«Those who have made investments into small family businesses often are unable to get business advice from highly qualified specialists. It’s the same with me. Being self-educated and new to the business environment, I am trying hard to learn and develop professional business skills. To do so, I could never imagine any better partner than www.tbcbusiness.ge», – MARIAM GENGASHVILI, Entrepreneur and Founder of Silver Hotel.