Digital bank GoTyme, formerly TymeBank, is ramping up its expansion into shopping centres, as it accelerates its hybrid ‘phygital’ model built around setting up mall-based customer hubs.
The move forms part of a strategic shift in how the ‘neo bank’ engages customers, positioning malls as the primary interaction point for onboarding and customer education, while its mobile app remains key to daily banking.
This, after the bank last month removed its kiosks from Pick n Pay stores, in a restructuring move aimed at reallocating its kiosk footprint to high-traffic retail environments, including Boxer and TFG stores.
GoTyme Bank CEO Cheslyn Jacobs tells ITWeb the expansion forms part of a broader strategy to scale sustainably, particularly among underbanked segments, while maintaining customer relationships.
“The customer hubs allow us to meet customers where they already are while connecting them to our mobile app for day-to-day banking,” notes Jacobs.
“In terms of rollout, we’re prioritising malls and retail centres across major urban areas first. We have already launched the customer hubs in Gauteng at Rosebank Mall, Dobsonville, Centurion Mall and Maponya Mall, and in the Western Cape at Kenilworh Centre and Blue Route Mall. More locations to follow.”
The move forms part of the bank’s push to grow GoTyme’s customer base across income segments, including more affluent users, while maintaining its appeal to underserved markets, he adds.
In parallel, the bank is expanding its product portfolio, particularly in payments, savings and credit, including SME-focused offerings, such as merchant cash advances.
Over the next year, the bank is planning to introduce a scaled credit card, he notes.
Digital-only banks typically face challenges such as trust and customer acquisition, particularly in emerging markets, where face-to-face interaction remains an important part of financial decision-making, according to the Research in Digital finance journal.
This trust gap can slow on-boarding and limit adoption – a barrier which can also affect early tech-savvy users.
Another common challenge is customer engagement and retention in the absence of physical touchpoints, making it harder to build deep, primary banking relationships, the report adds.
Fundamental changes
SA’s major banks − First National Bank, Absa, Nedbank and Capitec − told ITWeb they are entering a new phase in their artificial intelligence (AI) projects in 2026, shifting from pilot projects and isolated experiments, to large-scale deployment across core operations.
The institutions have deployed emerging technologies, such as agentic AI, to transform core banking processes, from real-time fraud prevention and credit assessment, to personalised customer engagement and operational automation.
GoTyme says it is investing heavily in upgrading its mobile app, integrating AI to play a central role in personalisation, risk management and customer engagement.
Jacobs states: “We’re applying AI and data-driven decisioning to personalise financial insights and nudges across different customer segments, improve credit underwriting and risk management, strengthen security and drive smarter customer engagement. Over time, this allows us to serve both entry-level and affluent customers with equal precision.”
The bank is also introducing a range of new features through a phased rollout, including in-app chat support, Apple Pay integration and multiple account functionality to help customers better manage their finances, he adds.
These upgrades are designed to improve usability and engagement, while reinforcing customer trust through transparency, he notes.
A key component of GoTyme’s digital strategy is the prioritisation of instant payments, particularly through PayShap, which has been integrated as a default option in the bank’s unified payment flow.
Launched in March 2023, PayShap enables instant digital payments between banks via a real-time clearing system that processes transactions within 60 seconds. It also makes it possible to conduct transactions without the need for bank account details, using a phone number instead.
By enabling real-time payments, GoTyme aims to drive higher engagement and retention, while seeking to become the primary bank rather than a customer’s secondary account.
“Ultimately, we measure success against three core metrics: customer trust, monthly active users and profitability at scale – benchmarks we believe will underpin our ambition to become one of South Africa’s top three banks.
“The big focus for the next 12 to 18 months is to make sure we build our product proposition so that we are able to compete with the big banks. Secondly, we will put the foundations in place to be able to offer good customer service and customer experience.”
Partnerships remain a key pillar of GoTyme’s expansion strategy, enabling it to scale distribution and product reach without adding operational complexity, Jacobs continues.
Key collaborations include enterprise partnerships, such as its joint venture with Sanlam, retail distribution through Boxer Superstores, and business lending partnerships with platforms such as Takealot and Kazang.
“These relationships support embedded finance models and broaden customer acquisition channels across retail and digital ecosystems. We’ll continue expanding these collaborations.”
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