US Insights

Focus on Customer Experience Can Pay Big Dividends for Banks

Ross Tucker

Executive Editor Kantar US Insights

Brands 12.11.2018 / 14:00

BAnkssharon-mccutcheon-552616-unsplash

Double digit growth in deposits are possible.

U.S. retail banks can grow their share of deposits by as much as 16.5% by improving key elements of their customer experience, according to new analysis conducted by Kantar.

The new CX+ study assessed U.S. banks based on a unique combination of their customer experience scores. The roadmap to growth is based on five key CX success factors:

  • Clarity of brand promise
  • Empowered employees
  • Empowered customers
  • Creating lasting memories
  • Exceptional delivery

In addition, the study identifies each bank’s Experience Gap – which quantifies the difference between their brand promise and the actual customer experience delivered.

The analysis ranks banks according to their performance via Kantar’s CX+ Index, combining each bank’s CX performance score with their Experience Gap.

USAA topped the rankings based on its ability to deliver superior customer experience in line with its brand promise. Regions Bank, Chase, BB&T and Citizens Bank comprise the remainder of the top five performing retail banks.  

CXPlus Bank Ranking

“Our analysis clearly shows retail banks can achieve exceptional financial growth through superior customer experience that is matched with a strong brand promise," said Erika Pearson, EVP Customer Experience at Kantar. "This requires a deft combination of human empathy and personalization, to engage consumers and meet their needs and expectations. Focusing on customer experience is the single most important investment a bank can make in today’s competitive business environment.”

Other findings underline the clear benefits of delivering strong customer experience:  

  • Banks that lead in the CX+ Index have a recommendation rate that is 1.9 times higher than banks at the lower end of the index. Additionally, their share of deposits is 1.9 times higher and their customers are 2.1 times more willing to take up new products and services from their bank.
  • Banks that let their customer experience decline risk losing up to 12.5% of their share of deposits.
  • While improved customer experience can benefit financial services companies across the board, the opportunity to grow is particularly significant among women, according to the research:
  • Women are often disengaged or underserved in their experience with financial services. The study found that while 61% of female bank customers stay with their bank for more than five years, on the whole they are less satisfied than men;
  • Women have a lower preference score for their bank than men (65.0 for women vs. 76.0 for men), indicating that they may be more willing to switch if a better alternative presents itself.
  • Women are also less willing than men to take up additional products or services with their bank (64.3% vs. 73% of men).

The Kantar CX+ study analyzed 6,000 retail banking customers in the U.S. and was conducted in 2018.

To download a copy of the report, please visit www.kantar.com/cxplus-US

Source: Kantar

Editor's Notes

To download a copy of the report, please visit www.kantar.com/cxplus-US

Latest Stories

Costco’s U.S. growth taper off as it saturates the market in the coming years.

Wavemaker's latest study offers insights about 160 million future Chinese consumers.

The TV ad war is well underway with three candidates on the air since Jan. 1.

Younger men in the US are apt to believe gender equality has already been achieved.

Figures from our TGI consumer data reveal that young women feel a sense of empowerment and freedom.

Related Content