Bank of the Year Colombia: Banco de Bogotá
October 31, 2019
It boasts the largest profit share in the country even though its market share
of loans, deposits and assets trails
Banco de Bogotá reported net income of COP 2,825 billion ($825 million) for 2018. That gave the bank a leading 29.2% of market share among Colombia’s four leading banks according to Asobancaria, Colombia’s largest banking association. Bancolombia followed in second place with 28.1%; Davivienda with 12.4% and BBVA with 5.7%.
Banco de Bogotá managed the achievement although it held only 12.2% of loans, 13.8% of deposits and 14.6% of assets in Colombia’s banking system.
The strong results come as the bank embarked on an ambitious digital push.
Its Digital Lab, launched in 2017, is meant to grow the use of its digital channels by customers, improve user experience and capitalize on its increased digital capacity to help improve profitability.
The bank launched two new digital products in 2018 focused on mortgages and personal loans. That brings Banco de Bogotá to a total of five digital products, including credit cards, payroll loans and savings accounts.
As of March 2019, digital savings accounts reached a compound monthly growth rate of 14.5%, with the bank opening some 27,000 accounts per month.Digital accounts represent around 40% of the bank’s total savings accounts.
Banco de Bogotá’s digital credit cards now represent 30% of the bank’s total credit card sales, with around 80% of the bank’s digital credit card holders being new customers.