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- According to the UAE Central Bank’s annual report – Outward personal remittances reached Dh 169.2 billion in 2018, an increase of 3% or Dh4.8 billion compared to 2017.
- Money sent using exchange houses increased by 6% from Dh 121.6 billion in 2017 to Dh 128.9 billion in 2018.
- Of the total outflow, 38.1% went to India – by far the highest.
- According to the World Bank, after US, UAE is the second biggest outward remittance country in the world which sent out close to $68 billion (Dh250 billion) in 2017.
- Globally remittances reached $689 billion in 2018, up from $633 billion in 2017
- Global remittances is estimated to reach $715 billion in 2019
Growth Drivers
“The overall increase was driven by a stronger economy and employment situation in the United States and a rebound in outward flows from some Gulf Cooperation Council countries and the Russian Federation,” said the World Bank’s Migration and Development Brief published in April.
In addition to that UAE exchange houses and banks are going that extra mile to invest in digital technologies that includes mobile apps. Digitization has made it easier for customers to send money anytime. The digital platforms are set to increase the remittances through money exchanges over the next two to three years.
“Such technologies have increased the market share of exchange houses versus banks,” said Rajiv Raipancholia, chief executive of Orient Exchange and treasurer of the non-profit Foreign Exchange & Remittance Group.
Further, the growth in UAE money exchange is also attributed to the competitive rate that is better than the Banks. Competitive rates offered by UAE money exchanges are resulting in higher market share.
AI-driven Customer Perception Analysis
The analysis of the customer journey is no longer an easy and straight forward highway journey as it once used to be. Instead, it has a lot of twists and turns due to the emerging trends in the digital world. Gone are the days when companies could analyze a few customers and come up with a marketing strategy. With the plethora of data available on customer preference and customer behavior, it is becoming humanly impossible to analyze the data manually. Artificial Intelligence has come up as a solution to this problem!
Artificial Intelligence (AI) can help a company to better understand its brand health. In this sense, companies can measure how well their branding efforts are being received by their customers.
With the help of AI, brands can constantly stay in tune with the ever-changing consumer perceptions, and monitor their brand perception when compared to other companies in the same space – that too, without sacrificing significant time or resources.
Top 3 Customer Perception Drivers
Customers of money exchange take into consideration several factors before exchanging their money. They want to ensure that they get the best exchange rates, while they don’t have to sweat too much over finding the right place to exchange the money.
What is Customer Perception?
Customer perception is customer awareness or an understanding of a particular thing. Consumer perception plays a vital role in consumer behavior thereby affecting the demand for a product. Hence it becomes key to understand the attitude that influences consumer behavior. There are several factors that when offered will positively impact customer experience. The customers using money exchange services in UAE look forward to certain services.
Through a detailed analysis of 6,980 online consumer conversations, Clootrack has listed the top 3 factors that money exchange customers look for the most in UAE.
These services are indeed the top 3 drivers since it leads to overall satisfaction with the money exchange services.
Top 1: Better Exchange Rate
Customers want to get the best exchange rate while travelling in a foreign country. While customers want to avoid commissions, ATM fees and credit card surcharges, exchanging their currency for the best rate is on top of their list. Customers often look for money exchange companies that have very low or no foreign transaction fees.
Top 2: Airport Money Exchange
When travelers land at a foreign airport, first thing they need is the local currency. This makes it important for customers to get money exchanged at a decent rate. Airport is one of the most convenient places for the travelers to exchange money safely and quickly without having to worry about finding the right place in an unknown country.
Top 3: Currency Exchange Places
Customers who travel to different countries want to have a variety of money exchange places so that they can exchange their currency without having the hassles of finding the best place. Customers prefer to have money exchanged at hotels, airports, exchange houses, and ATM machines.
Top 3 Perception Drivers
In this report, we have presented the relationship between different perception drivers in the form of a graph that can be used to sense the degree of importance that consumers attach to various factors.
Top 2 Delight Drivers
There are several delight drivers that enhance customer satisfaction and promote a brand. Clootrack analyzed online conversations and picked up the top 2 factors that make money transfer a delightful experience for customers.
1. Mall exchange rate
Customers prefer to exchange their money at ease without having to worry about moving out of the shopping malls. They are delighted when malls can offer money exchange services with the same rates across different malls. Customers find it easy and very convenient to get their job done when they find the exchange services in the malls. They prefer that every mall should have at least one money exchange branch belonging to a reputable money changer chain.
2. Exchange house rate
Customers are delighted when they get to exchange their money at the best exchange house rate. The exchange rate is the amount of one currency you can exchange for another. A traveler's cheque is also one of the best ways to carry foreign currency. It has a worldwide acceptance and makes for a convenient payment mode.
Brand Equity
Consumer perception, which is a combination of knowledge and experience, towards a brand and its products, builds brand equity. The perception that a consumer segment holds towards a brand directly results in either positive or negative effects.
What is brand equity?
Brand equity is an indicator of the company’s strength and performance, specifically in the public markets. In simple terms, brand Equity is the loyalty, perception, and awareness of a customer towards a brand. Brand equity can be created over a period of time by offering products that give a memorable experience, excellent quality, and highly reliable products to its customers.
Download the detailed report for free to get to know the brand names in the below chart.
Customer Beliefs
The brand must reflect customer beliefs. When it comes to convincing consumers, the secret is to understand the consumer's beliefs and behavior. This will eventually lead you to know what a buyer wants from your business. Customer has a deep understanding of what they want from a product.
Consumers of money exchange in the UAE believe that airports often offer the best exchange rates. This report elaborates on the beliefs that consumers have about UAE money exchange.
The exchange rate of currency at the airport is really less
As per the online conversations, customers believe that the exchange rate of currency at the airport is really less. Customers believe that once they step outside the airport, they are likely to be charged higher percentages to exchange their money. Customers feel that the airport is a much better option when it comes to good exchange rates without getting charged a high commission.
Detailed Report
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