Do your customers like what you do? They bank with you; they borrow from you; they invest in you. So they should, right?
However, a recent study has indicated that customer loyalty is overestimated by banking executives. Only 48 percent of banks think they are doing a good job encouraging strong customer loyalty while only 35 percent of customers agree.
Likewise there are gaps in the area of customer trust – only 67% of customers trust their primary bank compared to other bank competitors.
There is a clear and visible gap between expectations of customers and the beliefs of bankers. For some, this will be a catastrophic disaster as they continue to compete on low-margin services, or get eaten up by new players entering the market, ready to disrupt and take advantage of an industry in transformation.
The IBM IBV “Banking Redefined: Disruption, transformation and the next-generation bank” study picks out one of the main issues. Customers don’t believe their banks are providing differentiated or personalised service, and for the most part, they would readily change banks. Here then is the opportunity for banks of today. Build deep customer relationships by expanding collaboration through their business and bringing in a wider set of partners.
If you would like to know more about building a world-class customer experience for your customers, come along to IBM Business Connect, November 19th, in London. You’ll hear from Matthias Kröner, CEO at FIDOR Bank.