Slate’s article on America’s Microbank Problem was a hack piece of journalism, written simply to call attention to the author and publication. There is one argument I can see making to justify the claim that there are too many banks in the US: Supply outstrips demand.
The marketing pundits tell us personalization and customization is key to successful marketing. One-to-one marketing, they call it. Recognition that every customer is different, and should be interacted with differently. If I had my own business, I know how I would do it: I would ask each customer who s/he works for.
A Carlisle & Gallagher study concludes that first-call problem resolution is critical to customer satisfaction and loyalty. But customer service isn’t just “problem resolution.” It includes responding to inquiries regarding transactions, and providing information regarding products when asked about it. Excluding these interactions may result in underestimating banks’ first-call response rates.
The CFPB says that FIs spend US$17 billion on marketing and that just US$671 million, or about US$2 per person, is spent on financial education. Many of you don’t just believe this, but tweet it, implying that the spending is out-of-whack. My take: Comparisons of financial education spending to FI marketing spend are spurious, and belie the facts about financial literacy and what really needs to be done.
ACSI releases its 2013 customer satisfaction scores for the financial services industry today. A sneak peek at the numbers gave me a few days lead time to look into this year’s results. There may be a few surprises for industry insiders, but creditunionistas can rest easy: Credit unions continue to outscore banks on customer satisfaction.
Device shouldn’t be the only factor determining what constitutes a mobile payment. Location matters. As long as the numbers being reported include home-based, web-based purchases, I remain skeptical that mobile payment statistics really capture the shift in behavior.
Ed O’Leary penned an interesting piece, published on the ABA Banking Journal site, titled Banks Need Leaders Who “Get It”. My take: Banks don’t just need leaders who “get it.” They need leaders who can “get it done.”
Community bankers need to get off their duffs and take some action in response to misguided, idiotic populist attacks in the press and blogosphere. My suggestion: Close out Slate’s business bank account.