The Thai Credit Retail Bank (TCRB), the bank of choice for all micro segment customers, has worked closely with vendors to turn crisis into opportunity amid the critical impacts of Covid-19 pandemic through the fourth season of the "Smart micro customers: hardworking, saving with discipline" program. Some 30,000 vendors participated in this intensive training program throughout the year, learning such essential knowledge as financial planning, powerful sales techniques and types of cashless payments to help them prepare for the new normal.
TCRB's managing director Roy Agustinus Gunara said that by inspiring ideas, providing knowledge and enhancing business opportunities, the training program could be an effective way to create financial strength and enable the vendors to generate more income and combat the crisis. According to a sample survey of 45,075 vendors nationwide conducted in the middle of this year, 70.3% suffered from a slump in sales and 83.6% had no online channel.
The spread of Covid-19 caused household debts to soar by 83.8%, the highest level recorded for 18 years while 48.6% of Thai people had financial knowledge, and 33.33% had savings below the standard.
As a financial institute, TCRB is aware of the importance of enhancing the capacities of the vendors, who form the foundation of the country's economy and are the major customers of the bank. The 4th Smart Micro Customers program is designed both to help them survive the financial crisis and their businesses to recover.
The content of the training program includes financial planning, sales techniques to reach and attract customers via online channels and social media, payment methods via QR Code scanning as well as the use of e-Wallet applications to respond to customers' lifestyles in the new normal era.
This year, the bank saw a strong response to the program, with the number of participants tripling to about 30,000 vendors from all regions. As a result, up to 95% of the total vendors participating in the training have found the discipline to pay off their debts and create financial credibility, while 53% are aware of the need to change their behavior to create financial discipline in debt payment to achieve good credibility.
After the program, the vendors were able to apply the knowledge to create business opportunities and generate more income, thus finally surviving the crisis.
Narumol Chan-aum, a coffee vendor in Rayong province said: "I learned that payments by QR Code help prevent disease and reduce mistakes. This form of payment has played a greater role during the Covid-19 outbreak as customers wanted to avoid touching bank notes or coins from the vendors, so we had to change. The payments via QR Code help increase sales because of greater convenience for customers and cut the problems of giving the wrong change or handling counterfeit money.
Phutniphan Rampoeypol, the owner of a car care service in Bueng Kan province, said she learned how meeting customers' needs was the key to service so she introduced a new offering free pick-up and delivery for car care service. The service boosted her revenue by 30-40%.
Chalanthorn Khamdaeng, the owner of a grocery and fresh-roasted coffee shop in Chiang Mai said the training helped her learn the power of the Line group in making a profit and how the application generated more revenue. She created a Line group bringing together the Line accounts of her clients. She promoted consumer products in the group and saw a good response, especially during the spread of Covid-19. She also provided delivery service, encouraging customers to come back for more.
While Narumol Kosolset, a shoe vendor in Bangkok said the training program placed emphasis on income and expense accounts to promote savings. Vendors could save money if they entered items on the account sheet correctly and could see the cash flow every day without waiting for the end of the month. Particularly in the times of Covid-19 pandemic, such an income and expense account was very important and necessary.
"Due to the crisis, the bank has placed greater importance of providing financial and sales knowledge to boost the capacity of small and micro business owners in preparing for the crisis. The next season program will be available both online and offline and packed with insightful information that responds to the current situation and meets international standards. The revised program will be certified by leading educational institutes, making the participants proud of what they have learned. It plays a role in building a learning society that can develop the economy thanks to a strong foundation. At TCRB, everyone matters," Gunara concluded.
