Digital banking channels are today not just extensions of the bank, Sacco or Microfinance bank. These channels are the bank.
According to data published by the Statista Research Department on June 3, 2025, digital banking channels had already seen widespread adoption among Kenyan bank customers by 2022. Importantly, usage rates had increased across all banking channels.
However, it’s worth noting that 2022 is a relatively distant benchmark in the fast-evolving tech landscape. It’s likely that an even broader range of digital channels has emerged and become integrated into mainstream banking all over the world.
What Are Digital Banking Channels?
Digital banking channels comprise the entire range of platforms through which customers interact with their bank without having to visit a physical branch.
These include:
- Mobile Banking Applications
- Internet Banking Platforms (Web Portals)
- USSD / SMS Banking
- ATM Networks
- Point-of-Sale (POS) Terminals
- Chatbots and Conversational Interfaces (WhatsApp, Messenger, etc.)
- Agency Banking Platforms
- APIs and Open Banking Interfaces/platforms
- Social Media Banking
etc…
Each channel caters to specific customer segments. However, all the channels must work together to deliver a consistent, reliable, and secure banking experience.
The Risk of Fragmentation and Downtime
Customers of today expect uninterrupted banking services from wherever they are, and at any time. This new digital experience is now the primary determinant of customer trust and loyalty.
However, these channels also introduce some complexity. When each channel is independently managed or loosely integrated with the Core Banking System (CBS), any downtime, whether scheduled or unplanned, can ripple across all touchpoints. Downtimes disrupt the customer experience and erode trust.
Consider these common scenarios:
- CBS downtime during overnight batch processing causes failed USSD and mobile banking sessions.
- A mobile app update leads to temporary login failures.
- A regional network outage brings down ATM and POS services.
In such cases, customers don’t see a backend or a system constraint. What they experience is simple:
The bank is unavailable.
This perception is damaging in an era where digital access is expected 24/7.
A Channel Management System (CMS) Ensures Digital Channels Are Accessible 24/7
A Channel Management System ensures all digital channels are accessible for service continuity and consistent user experiences even during backend disruptions.
What Does a CMS Do?
As a Digital Channel Manager, your mandate goes beyond uptime. You are responsible for ensuring seamless customer experience.
A CMS empowers you in many ways:
- Consolidates all your API integrations into a single, easy-to-manage platform.
- A unified interface makes it easy to monitor, maintain, and optimize your API integrations.
- Ensures secure data exchange between your services and third-party APIs.
- Reduces the processing burden on your core system to enable it accommodate increased transaction volumes without impacting system performance or experiencing service disruptions.
- Offloads channel transactions processing from your core system, significantly increasing its transaction processing capacity. This means the system can handle a larger volume of customer transactions, leading to improved efficiency and reduced processing times.
A good CMS has benchmarked times of <100ms for enquiries and <200ms for transactions.
Digital Banking Channels are the Brand
Digital channels are the primary interface through which your bank’s customers engage, transact, and form opinions.
Ensuring channel reliability is an IT concern because doing so protects the bank’s reputation, supports growth, and enables true digital resilience.
Interested in building a truly omnichannel experience?
Let’s discuss how our Channel Management System can enhance your bank’s digital strategy and service continuity.
