Do you really want your bank to be your friend?

Since launching their Customer Charter campaign in June 2010 promoting 14 customer ‘commitments’, NatWest have suffered from well-publicised computer problems, had complaints upheld by the ASA and seen a key competitor, Nationwide, promote seven ‘Savings Promises’ promises that (according to Marketing magazine) strikes an “all-too familiar tone”.

Yes, Nationwide are promoting “promises” rather than “commitments”, but do customers really care or even really want a conversation with a bank, building society or even a utility company? NatWest are a good example since they are the largest spending TV advertising amongst banks and have the largest branch footprint. However, brand tracking data demonstrates that (two years into their service campaign) they’re still firmly ‘with the pack’ for the full suite brand perceptions. Indeed, GfK research suggests that NatWest have actually lost market share since launching the campaign and customer satisfaction has remained broadly static throughout¹.

Interestingly, whilst Mintel research shows massive cynicism about the banking sector as a whole, it also shows that 51% of customers had chosen their new bank due to their proximity to the local branch². Indeed, a recent JCDecaux study³ demonstrated that only 12% of consumers felt improved customer service would improve satisfaction whilst 43% wanted cash back rewards’.

Yes, consumers might find meerkats, Stephen Merchant or another comedic voice over artiste a tad more personable than ‘helpful banking’, but most people just want their bank to work, behave ethically (i.e. not launder cash or fixing inter-bank lending rates) and be able to water their lawn in summertime.

Ironically, Nationwide have suffered bank-esque IT frailties in recent months and brands really do need to recognise that no amount of glossy marketing or innovative media planning will make a blind bit of difference if they can’t get the basics right.

While brilliant concepts and creative ideas might shift perceptions and favourability in the short-term, the old cliché still holds true that you’re more likely to change your spouse than your bank account. Indeed, 56% of those dissatisfied with their main current account have held their account for over 10 years and only 3% of consumers had switched their account in the last 6 months to September 2011⁴.

Ultimately, in spite of banks increasing desperate efforts to win our hearts and minds, there’s no evidence to suggest that consumers want banks to be their friends and a huge opportunity exists for a brand to capitalise on the public cynicism and demonstrate genuine customer understanding as a point of difference.

¹GfK

²GMI/Mintel

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⁴GfK