Zenith Bank’s Remarkable Growth: Onboarding Over Four Million New Customers in 2023

Zenith Bank’s Remarkable Growth: Onboarding Over Four Million New Customers in 2023

Zenith Bank Plc achieved a significant milestone in 2023 by onboarding approximately 4.08 million new customers, propelling the group’s total number of customers to an impressive 33.07 million by the end of the year, representing a notable 14% growth from the previous year. This demonstrates the bank’s unwavering commitment to innovation and customer-centric services.

The disclosure of this milestone was made in Zenith Bank’s comprehensive 2023 full-year report, which was made accessible to Nairametrics. Alongside the substantial increase in customer numbers, the bank also issued a substantial 3.8 million new cards, bringing the total number of cards issued by the group to 25.65 million, up from 21.83 million in 2022.

One of the key indicators of Zenith Bank’s adaptability to the evolving financial landscape is the surge in electronic and mobile money transactions witnessed nationwide in 2023. This trend was reflected in the bank’s active Point of Sale (POS) terminals, which saw a remarkable 78% increase, reaching 414,192 terminals compared to 233,024 terminals in 2022.

Zenith Bank’s customer growth trajectory has been nothing short of impressive, with a staggering 267% increase in its customer base over a span of four years. From a modest nine million customers in 2019, the bank’s customer base has surged to an impressive 33 million by the end of FYE 2023. The most significant leap was observed in 2022, when the total number of customers soared to 28 million, up from 18 million in FYE 2021, marking a remarkable 56% growth.

Despite the substantial addition of over four million customers in a single year, Zenith Bank opted to establish only one new branch in 2023, nudging its total branches slightly from 446 to 447. This strategic decision was elucidated by Zenith Bank’s CEO, Ebenezer Onyeagwu, during the group’s Annual General Meeting (AGM) held in Lagos, emphasizing the bank’s focus on digital growth avenues.

In tandem with its expanding customer base, Zenith Bank’s financial performance has also witnessed a commendable upsurge. In FY 2023, the group’s gross earnings surged by an impressive 125% to reach N2.13 trillion, marking a historic milestone as the highest gross earnings ever recorded by a Nigerian bank.

The bank’s net interest income also experienced substantial growth, soaring by 101% year-on-year to N736.2 billion, while Zenith Bank achieved its best-ever net income of N676.9 billion in 2023. The growth trajectory was primarily fueled by the expansion in interest income and trading gains attributed to the Naira’s devaluation.

Despite a 14% increase in customer numbers, Zenith Bank witnessed a remarkable 69% year-on-year growth in customer deposits, which surged to N15.17 trillion by the close of FYE 2023. Additionally, the bank’s Return on Average Equity (RoAE) soared to an impressive 36.6%, showcasing a substantial improvement from the 16.8% RoAE recorded in 2022.

Furthermore, Zenith Bank’s Return on Average Assets (RoAA) reached 4.1% in 2023, marking a notable 200 basis points increase from the 2.1% RoAA recorded in the previous year. These financial indicators underscore the bank’s robust performance and strategic positioning in the competitive banking landscape.

In conclusion, Zenith Bank’s exceptional growth in customer acquisition, coupled with its stellar financial performance in 2023, exemplifies the bank’s resilience, strategic foresight, and unwavering dedication to delivering unparalleled banking solutions to its ever-expanding customer base. As the bank continues to leverage digital innovations and customer-centric strategies, it is poised to sustain its upward trajectory and solidify its position as a leading financial institution in Nigeria and beyond.