Close

Choose a country

United KingdomEnglish
South AfricaEnglish
IndiaEnglish
InternationalEnglish

A CX first strategy is critical for the perfect storm surrounding retail banking

Blog
2nd February 2018

The UK retail banking sector is developing quickly. In fact, banking is one of the fastest changing industries in the world at present with some experts predicting dramatic changes ahead if major banks don’t revise their business model. A perfect storm of change is taking place:

Anyone who studied Michael Porter’s Five Force Analysis at business school can see that retail banks are in a jam. Porter’s model described the various ways that competition can enter a market or become more intense. The number of competitors and technological change mean that change is coming from all directions for most banks.

Yet there are some interesting foreign entrants to the UK market. The US banking giant Goldman Sachs announced in 2017 that they are entering the UK retail banking market in the middle of this year. Goldman Sachs is taking an interesting approach. They are focusing only on the savings and loans business. They will provide a digital-only service to keep costs low, and they will position their rates at the top of the market.

Goldman Sachs expects to be able to build a considerable business by offering better rates and they know that they will get considerable media attention because of their own brand and US heritage.

The leading UK-based retail banks are facing competition from all sides. They have their long established reputation and tradition and they still have millions of customers – many of whom are quite happy staying where they are. But they need to invest in the customer experience and developing digital services if they want to be able to match the services being launched by challengers and digital startups. The customer experience is going to be a key factor in the next decade for this industry. What changes do you think retail banks need to make to be more customer-centric? Leave a comment below, or get in touch on LinkedIn and let me know.


Leave a Reply

Your email address will not be published.Required fields are marked *


David Turner
Article by: David Turner

News & Insights

Recommended for you
Solution Designer
Service Provider
Technology Enabler
Blog
How Gen Z will affect the Generation Game

As the Millennials move steadily into their 20s and 30s, their successor Generation Z is emerging as a global consumer force to be reckoned with. In preparation for our forthcoming Generations series Polly Ashdown, Marketing and Communications Director, examines what makes Gen Z so distinctive and how brands can capitalise on the opportunities they provide. Born into the age of the Internet,...

News
Oor Wullie’s Big Bucket Trail | Charity Week

Webhelp is delighted to sponsor Oor Wullie’s Big Bucket Trail 2019, Scotland’s first-ever national public art trail, raising vital funds for children in hospital across Scotland. Each week of the event takes on a different theme, as it is Charity Week, it’s a perfect time to look back at...

News
Groupe Bruxelles Lambert enters into exclusive negotiations for the acquisition of the Webhelp group

GBL announces today it has entered into exclusive negotiations to acquire a majority stake in the Webhelp group, together with its co-founding shareholders, Olivier Duha and Frédéric Jousset, who would retain their role as founding executive directors, and its management team. Founded in 2000,...

Whitepaper
The Hybrid Model

As an international healthcare services organization, Direct Medica develops and implements innovative solutions to reshape the relationships between healthcare professionals, patients, industry players, hospitals and payers. For the past two years, the company has been developing a very...

Case Studies
[Fashion] Fifty Jeans – Launch your brand without cashflow problems!

...

Load more
×

Webhelp Cookies Preference Centre

Strictly Necessary Cookies
The website requires the use of cookies for essential functional requirements and these are outlined in the cookies policy.

Enhanced Functional Cookies
Some features of this website use services provided by third parties websites. These features use cookies to implement their services on this website and may collect data about your visit to help them optimize their functionality. The Webhelp cookies policy outlines the cookies used by these services.

We have links to social networking such as Twitter, Facebook and LinkedIn.
These websites are third party sites. We do not place cookies on their behalf, and do not have control over the way they collect or use your data.
We encourage you to read more about their policies:
Twitter
LinkedIn
Facebook