Banks see first marginal improvement in customer satisfaction
It seems the scars of the Banking Royal Commission may have already faded a little, with bank customer satisfaction seeing its first marginal improvement since the debacle began in January last year, according to Roy Morgan’s latest survey.
The survey recorded customer satisfaction was at 78.1 per cent in November, up from 78 per cent in October, and while it’s a decline of 3.1 percentage points from January 2018, it’s the first positive move since the Royal Commission began.
Satisfaction also remains above the long-term average of 74.3 per cent, and well up on the 58.7 per cent recorded in January 2001.
Despite dissatisfaction with banks remaining low, indifference seems to be a growing problem, with only 5.6 per cent of customers dissatisfied with their banks compared to 16.3 per cent who are indifferent to their relationship with their bank.
The figures show that the combination of both dissatisfied and indifferent customers means that around one in five (21.9 per cent) customers pose a potential threat to customer retention.
Consistent top performers during the Royal Commission, ING and Bendigo Bank, have again seen an increase in customer satisfaction with 88.8 per cent and 88.5 per cent respectively, up 3.6 percentage points and 0.1 percentage points respectively on January last year.
Contrastingly, Westpac took the biggest hit, dropping 5.5 percentage points, followed by NAB and Bankwest, which both dropped 4.5 percentage points.
ANZ followed closely with a drop of 4.3 percentage points, but Commonwealth Bank of Australia remained top of the big four with 76.7 per cent.
Norman Morris, Roy Morgan’s industry communications director, said the scheduled release of the Banking Royal Commission report in February would be a major challenge for banks to maintain satisfaction levels.
Recommended for you
While the Financial Services and Credit Panel can take action on individual advisers’ misconduct, a compliance professional unpacks why the panel does not always subject licensees to further action.
Platform HUB24 has reported $100 billion funds under administration in its latest quarterly results, helped by a 90 per cent rise in platform net inflows.
Progressing digital advice and seeking breakeven in the advice division are part of AMP’s goals for the upcoming financial year as it approaches 1,000 financial advisers in its licensee.
The Rask Group, in partnership with InvestSMART’s new investment platform, has announced three ETF strategies, aimed at empowering financial advisers to create and manage their own ETF portfolios.
