For Hungarian small and medium-sized enterprises (SMEs), digitalization and artificial intelligence (AI) have become prerequisites for remaining competitive rather than optional extras. One study projects that by 2026, 73% of Hungarian companies will use AI in some form. In marketing specifically, AI adoption is rising quickly: 58% of SMEs already use AI for marketing purposes, a 38% increase compared with the previous year.
Against this backdrop, K&H Bank’s award-winning digital financial assistant, Kate, supports business customers with everyday banking tasks. Rammacher Zoltán, K&H’s head of retail and SME marketing, stressed that while digitalization is no longer just an advantage for large firms, many domestic companies still have considerable room to grow. He warned that falling behind technologically can quickly result in tangible costs, and that firms which achieve full integration of digital tools can gain a meaningful competitive edge.
What Kate offers
Since spring 2024, Kate has provided AI-based, end-to-end support to business clients. The assistant now serves nearly 13,000 active business customers monthly and offers a total of 86 features. Key capabilities include:
- instant case handling and information provision
- processing transfers
- bank card management
- adjusting limits
- tracking loan information
- personalized notifications
Around 12,000 entrepreneurs use Kate’s voice services, and regular users account for 15% of the SME segment; these regular users call on Kate about twice a month on average.
Recognition and impact
Kate received the "Év banki újítása" (Bank Innovation of the Year) award in the Forbes Bank Power Ranking powered by Visa, reflecting how its straightforward, fast solutions ease work for both customers and bank employees. The bank says these functions help SMEs handle their finances faster and more efficiently.
Rammacher noted that many companies are still experimenting with digital tools and figuring out how best to integrate them into operations. Ready-made solutions like Kate can lower the barrier to broader adoption, especially for businesses aiming for full digital integration to secure competitive advantages.
Why this matters
SMEs represent 99% of the domestic business sector, so the spread of digital tools and AI is more than a productivity boost: in a rapidly changing market, deploying the right technologies is central to cost control and sustaining competitiveness. The growing use of services such as Kate shows that banking services are increasingly adapting to the digital needs of business customers.
