Roy Morgan’s latest Customer Satisfaction Report has reflected the way customer owned banking institutions have stayed the course with customers through the COVID-related challenges of 2020.
Among banking institutions as a whole, Beyond Bank Australia scored the highest in October on 92.3% (up 2.4% in 12 months). Newcastle Permanent achieved 90.3% (up 3.6% on October 2019), while People’s Choice was the highest ranked credit union on 88.1%.
In comparison, satisfaction for the four major banks as a group is 76.9%. At the time of data gathering in September and October, the majority of customer loan repayment deferrals were resuming repayments.
“While customer owned banking institutions were at the forefront of customer satisfaction prior to 2020, the past year has brought the customer owned model into sharp focus,” says Michael Lawrence, CEO of COBA.
“Without the competing interests of shareholders, our members are able to focus on customers with a clear sense of purpose and priority. This remains a constant in a changing environment.”
COBA’s new Spotlight on Customer Vulnerability report also saw customer owned banking institutions rate 21 points higher on satisfaction than other banking institutions when responding to customers experiencing vulnerability (97% v 76%).
Ernst & Young Australia conducted the research, surveying more than 2,000 banking customers in September and October. The report also found that the level of satisfaction in the customer owned banking sector was even higher for customers experiencing vulnerability than those who were not vulnerable (97% v 88%).
“The report found our members are notably ahead of other banking institutions on relational skills such as compassion and empathy. These soft skills can underpin customer service in ways that improve the quality of communication and ultimately create a better ‘fit’ in support.”