Financial services businesses have dealt with this current situation in a very dynamic manner. Nevertheless, there has been a growth in the industry during the lockdown.
Financial service is an area that requires an emotional connect, trust, and conviction. This traditional business model of physical connect plays an important role in the financial service business. But in the current situation, where the world has gone online, the financial services also went digital.
Financial services businesses have dealt with the situation in a very dynamic manner. Nevertheless, there has been a growth in the industry during the lockdown. The digital way has opened up new platforms for investors and customers. People are at home and have got more time; therefore an increase is seen in the new customers. The volumes have also started to pick up. What works best for an organization to reach a good level in this service is a mix of both physical and digital ways of doing business as well as updated technology.
Motilal Oswal Financial Services Ltd rightly follows it. It calls it the “Phygital” way of doing business. Motilal Oswal treats the customer as the crux of its business. Its focus is on making the customer feel the benefit of their advice and research. That is the reason why learning and knowledge are the cultures of the organization and across its franchisees.
Motilal Oswal is a very old firm and there are various reasons why one should invest with them. It is a 30-year-old firm and has good experience in the field. It has 2000 franchisees across 300 cities. It has a strong brand and there is an on-going brand building. There is a brand development initiative where the focus is on well-defined processes, knowledge supports for systems training, best practices from an HR perspective, local marketing, networking. It is socially responsible and follows business ethics. It has a foundation that has built schools and helped in education, built hostels, and also aided in Covid-19 funds.
Motilal Oswal has a good technological base. Because of the strong technology, it has looked at peak volumes during these tough situations. Its products have moved from typical equity to across varied platforms and products like PMS, mutual funds, private equity, fixed income products, and also commodity and currency. Innovation and learning is always a part of their culture.
Good training is provided to franchisees. There is senior management involvement and mentorship also takes place. There is a set of business development executives that support the franchisees and help them in giving the customer what they need. It provides an advisory function to the franchisees. With its “Unnati” model, anyone new to this industry can also become an entrepreneur with the brand.
Comprehensive business development initiatives are undertaken to build a business. It helps in marketing locally and networking. The organisation helps its partner to connect to its ecosystem. Good AI usage has helped them get access to a database. Its advisory dashboard tells the franchisees what the customer needs.
There is no restriction on geographical areas for franchisees but a minimum distance is kept between franchisees to avoid competition.
Traditional Franchising Models - These are the older models of physical importance.
E2E model - This is the Employee to Entrepreneur model. Here, the professional employees who have got the experience and now want to become entrepreneurs are given an opportunity. They are trained and advised on the ecosystem to transform into an entrepreneur.
Digital partner Model - In this model, everything is done digitally. The only work by the partner is to get customer enrolments.
Unnati - This model is mainly for those not from the industry. A total training about the industry and the economy is provided to them.
The franchisees need to play their part in scaling their businesses. Few things a partner should keep in mind:
- Franchisee has to give time and should have flair to grow
- He has to ensure that the brand name is taken care of
- He should have a local connect
There is centralised communication between the customer and the franchisee. This ensures there is no unauthorized dealing with the account. There are frequent test audits with customers. All the information that goes to the customer is from the brand. This connects the customer to the brand.
Motilal Oswal Ltd. is confident that its partners work only with them because there is no reason to move when they are given the right products and services. Also, there is an audit mechanism in place to check on partners.
Edited By: Vaishnavi Gupta