Big banks rank low in customer advocacy. But on looking deeper, there are clues to systemic change occurring in financial services.
destinationCRM.com: Consumers Size Up Financial Services
Forrester defines customer advocacy as consumer perception that their financial services firm does what’s best for its customers, not just the firm’s own bottom line.
Like last year JP Morgan Chase and Citibank received the lowest ratings, earning scores of 18 percent and 19 percent. In fact, six of the seven lowest-scoring firms are large banks like Bank of America (30 percent), Wells Fargo (32 percent), and Washington Mutual (33 percent), according to the report. Click here to learn more!
There are two major culprits responsible for poor customer advocacy rankings among large banks, according to Bruce Temkin, vice president and practice director of financial services at Forrester and report coauthor. “It’s hard to be everything to everybody, and a lot of the big banks have spent most of their time over the last view years focusing on their M&A strategy,”
The changes we are seeing offer four clear clues to future success for large banks.
- the full service brokerage model is under attack, and some argue is dead
- big organisations have lost customer focus, yet some such as A.G. Edwards do it masterfully
- Credit Unions are perennially successful, because customers feel they “belong”
- property & casualty do well – because of simple, easy to price products, with consumate focus on delivery (claim payouts, fast service)
Continue reading “Some household-name banks and full-service brokerages struggle with customer advocacy, while credit unions and insurance firms connect with consumers”
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