Today’s American Banker has an article about retail customers becoming less loyal (and less profitable) to their banks. To quote:
“Our research shows a fundamental power shift between the banks and their customers since the financial crisis began,” Noel Gordon, global managing director of Accenture’s banking industry practice and co-author of the research, said in a press release.”
I had to laugh as I read this as many banks seem to be stuck in the mediocre middle. Seriously, one bank I worked with woke up one day and realized that they had a bit of a Frankenstein approach to customers as they simply were acquiring faster than they could really integrate.
One of the lessons of great banking was from a smaller bank where the CEO drove home three points.
- The segment we serve is middle market commercial.
- Within that we have a few areas we will excel in: multi-property cash management and near real time payments management – to name a few.
- While we have relationships with other segments/customers, our capital, resources, and development will go to that niche, first and foremost.
Segment, Simple, Select. Making those choices now and aligning to them may be the real key to customer experience breakthroughs.
So for some other ideas stop by Accenture’s Banking Practice page. They have some great thinking and you can get them without the “sign up” hassle.
Cheers!
