Fees Cause Customers to Reevaluate Bank Relationships, According to New Survey | Techy Kings

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CHICAGO–(BUSINESS WIRE)–A new study of US banking customers and their attitudes towards fees has revealed that nearly one in three customers are considering switching banks because of fees.

The second annual study, commissioned by McGuffin Creative Group and run by YouGov, sheds light on customers’ perceptions and attitudes towards common banking fees and how their bank communicates them.

Confirming last year’s results, almost half of customers (47%) do not consider banking as a “service”. This finding is supported by the fact that customers continue to perceive fees they perceive as “service fees” to be unfair, even though they are rare. For example, “cashier service fee” was seen as the lowest fee (ranked 11 fees on the most to least fair scale), even though 79% of customers reported never paying it.

What’s more, older customers β€” those 55 and older β€” take a more dim view of most fees than younger customers, a warning sign for banks looking to build loyalty among a high-net-worth base.

According to Betsy Fiden, partner and head of marketing and strategy at McGuffin Creative Group, the 2022 findings represent a red flag for bank marketers β€” and an opportunity.

“Customer antipathy to fees is clearly a threat to the banking relationship, especially among the older, high-value demographic,” Fiden said. β€œThe good news for bank marketers is that there is untapped potential for outreach, to explain to customers about fees, to listen to their concerns and make them feel heard and informed. It’s not just communicating the ‘what’ behind the fee but the ‘why’.”

For access to the free survey report “Banks, Customers and Fees: An In-Depth Search for Bank Marketers,” visit: https://pages.services/info.mcguffincg.com/banking-fees-research-2022/

Methodology:

All figures, unless otherwise stated, are from YouGov Plc. The total sample size was 2,059 adults, of which 1,520 qualified as banking customers (by virtue of having a checking and/or savings account). Fieldwork was conducted on June 8-15, 2022. The survey was conducted online. The figures have been weighted and are representative of all US adults (age 18+).

About the McGuffin:

Founded in 2004, McGuffin Creative Group provides a range of marketing services, including branding, digital communications and print communications, to clients in the banking, financial services and healthcare industries. McGuffin’s headquarters are located in Chicago’s West Loop.

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