Customer is the purpose

Banks exist to serve customers, let us serve them well

- SWAMINATHAN J

The origin of the quote, “The customer is not an interruption in our work but the purpose of it,” may be debatable. Its core message, however, is not. Businesses in general, and banking in particular, exist to serve the customer, not the other way around.

The recent annual report on the Ombudsman Scheme by the Reserve Bank of India (RBI) notes that complaints under the Reserve Bank Integrated Ombudsman Scheme rose last year, even as complaints per lakh accounts declined. In a fast-expanding ecosystem, absolute complaints can rise even when complaint “intensity” falls.

Against this backdrop, the RBI Governor has announced a two-month long campaign from January 1, 2026, to dispose of complaints pending for over 30 days with Ombudsman offices. This should help expedite resolution.

Yet, for customers, large absolute numbers still mean friction at scale. The more enduring response must, therefore, come from regulated entities (REs) to prevent recurrence. This requires a shift in mindset at the frontline towards real customer centricity.

First, rapid digitalisation has made banking faster and more convenient, but it has also widened the distance between the frontline and the customer. In the manual world, branch staff not only “owned” their customers, but also the outcomes.

Second, products have become complex. Features have become difficult to understand, exclusions harder to explain and the fine print easier to miss. Together, they widen the gap between the initial understanding and ultimate delivery.

Third, the gap in skills, combined with limited empowerment at the frontline, is turning simple service lapses into prolonged grievances. By the time an issue reaches an external forum, it becomes a story of delay, uncertainty, and what the customer perceives as indifference.

Trust is the first deposit a bank earns