Best Practice Customer Acquisition Strategies in Banking

  • OVERVIEW
    • Catalyst
    • Summary
    • Methodology
  • INTRODUCTION
    • Acquisition strategies need to be built up from a number of factors
      • Brand strategy: a strong brand value will aid consumer awareness and perception of the brand
      • Service delivery: the channels through which a proposition is delivered will affect the acquisition of customers
      • Product innovation: a strong product offering and innovative ideas will attract customers
      • Customer segmentation: segmenting consumers allows for more targeted acquisition strategies
      • Customer advocacy: word of mouth marketing is a powerful acquisition tool
      • Price: price will always be a key part of the acquisition strategy for financial services providers
    • The big five UK players offer insight into achieving customer growth
      • Providers must take account of consumer trends in order to meet the demands of customers
  • ACQUISITION STRATEGIES
    • (Untitled section)
      • HSBC's international outlook and focus on service appeals to a more affluent segment of consumers
      • Lloyds TSB is building a customer-centric image in order to attract new customers
      • Barclays has leveraged technology to create the products and services of the future
      • RBS/NatWest must innovate in order to live up to the "helpful banking" branding
      • Santander is refining its customer service while driving forward with product innovation
    • Branding and brand message are vital for attracting consumers to a provider
      • HSBC has dropped its longstanding brand tagline in favor of a new future-focused campaign
      • Lloyds TSB is offering clarity to consumers with its brand strategy
      • Barclays uses consistent messages of transparency and smart technology
      • RBS and NatWest are aiming to be the most helpful banks for their customers
      • Santander's unification of brands sends a positive message to consumers
    • Product innovation is essential in order to keep up with evolving consumer demands
      • HSBC targets an international audience with segmented products
      • Lloyds TSB aims to acquire customers through practical, everyday benefits
      • Barclays has harnessed technology to drive forward its product innovation
      • RBS/NatWest is falling behind the competition on product innovation
      • Santander has redesigned its core banking products in order to prove its commitment to innovation
    • Consumers seek out propositions delivered through their preferred channels
      • HSBC is allowing customers to self-select through its channel strategy
      • Lloyds TSB is aiming to show its customer-centricity through its service delivery
      • Barclays will acquire customers seeking forward thinking in the digital channels
      • RBS/NatWest seeks to offer service to customers across all channels
      • Santander is the bank that appears most committed to the branch channel in the UK
  • BEST PRACTICE ACTION POINTS
    • A number of core acquisition strategies form the basis of best practice
      • It is essential to build up value in a brand
      • Engage consumers through open communication and common interests
      • Create innovative and customer-centric products
      • Excel in the delivery of customer service
      • Find a niche or segment of consumers to target
      • Encourage word of mouth advocacy among consumers
    • Strategies from around the globe give weight to best practice
      • Banks can increase their brand equity through charitable or community actions
      • A strong brand message needs to be visible to consumers
      • New entrants need to transfer their brand strength from other parts of the business
      • Providers need to show greater, customer-centric innovation
      • Increasing the use of technology to create products that are ahead of the curve will attract consumers
      • Social media has the potential to be a strong acquisition tool
      • Mobile banking is a key differentiator and will affect consumer choice
  • APPENDIX
    • Methodology
    • Secondary sources
    • Further reading
    • Ask the analyst
    • Disclaimer
  • FIGURES
    • Figure: NatWest spent the most on overall brand building in 2011 out of the top UK players
    • Figure: The equity of a brand consists of a number of factors
    • Figure: There are three main elements of an acquisition strategy that are explored in this report
    • Figure: Datamonitor's Financial Customer Intelligence framework details the key consumer trends within the financial services industry
    • Figure: Each of the top five banks in the UK employs different approaches in order to build up their overall acquisition strategy
    • Figure: Despite no longer being in use, HSBC's "the world's local bank" strapline is still well-known by consumers
    • Figure: The HSBC "in the future…" campaign focuses on how banking will change, and how HSBC is prepared for these changes
    • Figure: The "for the journey" strapline is clearly present in Lloyds TSB's branding
    • Figure: Lloyds TSB's marketing uses consistent imagery to visualize the life goals that the bank is aiming to help customers to achieve
    • Figure: Barclays uses metaphors to simplify the message of financial responsibility in its "take one small step" campaign
    • Figure: Barclays' brand concept branch showcased technology that could be used in branches of the future
    • Figure: The NatWest Customer Charter contains a series of promises to its customers, under four main areas of service
    • Figure: Santander's sponsorship of Formula 1 racing has raised brand awareness and created a mutual enjoyment of the sport with customers
    • Figure: The HSBC Expat service cements HSBC's position as an international bank
    • Figure: HSBC clearly segments customers with its range of current accounts, adapting the products to the needs of each group
    • Figure: The Money Manager tool allows consumers to analyze their spending on their Lloyds TSB account and credit card
    • Figure: The Lloyds TSB Added Value accounts bundle a number of products together to offer consumers greater convenience
    • Figure: The Pingit service is designed to help consumers make transfers to their peers without the need for all their banking details
    • Figure: The Features Store from Barclays allows consumers to build their own packaged current account
    • Figure: NatWest is aiming to show how helpful it can be by introducing services such as emergency cash withdrawals without a bank card
    • Figure: NatWest offers three current accounts to cater to the needs of a range of customers
    • Figure: Consumers can calculate the approximate cashback and interest they would earn from Santander's 123 current account
    • Figure: Santander has demonstrated a range of product innovation in its attempt to acquire customers
    • Figure: HSBC uses Twitter to distribute press releases and publicize new products and services
    • Figure: Lloyds TSB's 24 hour telephone advisor service highlights its commitment to all banking channels
    • Figure: Barclays' Investor Zone is the online option for consumers now that the bank no longer offers financial advice through its branches
    • Figure: The mobile banking app from RBS/NatWest remains one of the best on the market in terms of functionality
    • Figure: RBS/NatWest has been vocal in advertising its extended branch opening hours
    • Figure: NatWest's use of social media to promote its sponsorship activities creates brand warmth that in turn can aid customer acquisition
    • Figure: Chase Community Giving demonstrates how to strengthen a brand through charitable actions
    • Figure: The Co-operative Bank has a clearly communicated ethical brand
    • Figure: Halifax has introduced an innovative prize draw system in order to attract consumers to its savings accounts
    • Figure: Westpac has innovated to create a flexible personal loan
    • Figure: Simple has created a unique proposition that relies heavily on technology to differentiate itself and attract customers
    • Figure: National Australia Bank demonstrated tangible returns from its social media acquisition campaign
    • Figure: La Caixa offers its own mobile app store, highlighting the extent of its offering in this channel

Report

Published by
Datamonitor
Published on
01 Oct 2012
Product code
CM00233-001
Pages
Please wait...

$3450

Multi-user License $8625