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Banking Finance

Bank consumers: Focus on service to keep me loyal

Majority of consumers feel providers don’t value them October 21, 2016: A report released by marketing technology company, Wiraya highlights that businesses need to overhaul the way they communicate with customers or risk losing them to rivals. An overwhelming 86% of customers who left their bank, energy, mobile or insurance provider in the last six months said they would have been more content if they...

Majority of consumers feel providers don’t value them

October 21, 2016: A report released by marketing technology company, Wiraya highlights that businesses need to overhaul the way they communicate with customers or risk losing them to rivals. An overwhelming 86% of customers who left their bank, energy, mobile or insurance provider in the last six months said they would have been more content if they were contacted in a different way.

When questioned about their reasons for leaving, relevancy and timeliness had the biggest impact on loyalty. Nearly 1 in 5 (17%) complained that they never received relevant information. Another fifth (20%) said they received relevant information but not when they wanted it.

More than half (51%) said they would be happy to receive information about loyalty programmes. Most said they wanted to know important facts about their account such as if their card or payment has been declined (45%), or if there’s been a notification of a renewal date end (38%).

The majority (62%) said that they didn’t feel valued by the provider throughout the course of their contract. One of the main gripes consumers have is the preferential treatment given to new customers. Nearly half (42%) said they received worse benefits as existing customers compared to new customers.

Being told ‘your call is important to us’ while waiting in a queue is the most frustrating thing to hear, according to 52% of respondents. Receiving irrelevant information (44%) and being asked for the same information twice (41%) also topped the list of annoyances.

The research for Wiraya was carried out by Opinion Matters between: 23rd – 28th September 2016. Around 500 adults in the UK who have left their bank, energy provider, mobile provider or insurance provider in the past six  months were interviewed

Overall, banks and mobile providers performed slightly better than insurance and energy when it came down to customer value. The findings clearly indicate that customers want brands to communicate but in a more appropriate and personalised way tailored to individual customer needs.

Sam Madden, UK director at Wiraya said, “Many businesses still struggle to communicate with their customers in a relevant and timely way. In the age of the bombarded consumer, where individuals receive hundreds of marketing messages a day, it’s no surprise consumers are left unsatisfied and prone to churning. Using the vast amounts of data many brands now hold and overlaying this with technology such as Artificial Intelligences (AI) can help create more engaging messages delivered in a manner chosen by the customer. Having a more service oriented approach that focuses on building loyalty not only reduces churn, but makes better business sense from a cost and reputation perspective.”

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