More than 50% of the customers of UK financial services brands would be willing to spend more – potentially equating to billions – if only they felt more valued by them, according to new research from Jacob Bailey Group.
Key findings from Jacob Bailey Group’s Missing Billions report include:
- More than 50% of financial services institutions’ existing customers would be willing to spend more money on multiple products with the same provider if only they received better communications
- This would equate to: £1.6bn on life insurance, £1.9bn on home insurance and £2.3bn on car insurance
- More than one third of people (37%) do not feel valued by their current bank; while one in ten (12%) do not feel valued at all by bank brands
- Just over a third (35% ) do not feel valued by their home insurance company
- 22% do not feel valued by their life insurance company
- Almost one fifth of people believe their financial services provider does not communicate with them enough. This figure is higher for people who earn between £45,000 to £55,000 (22%), as well as people with an income above that bracket (21%)
Rob Manning, strategy director, Jacob Bailey Group, said: “In an age dominated by digitisation, convenience and personalisation, the financial services sector has never been under so much pressure to evolve.
“We set out to understand why these brands are failing, losing out to savvier, more agile new market entrants, finding that how financial services brands communicate with their customers is potentially costing them billions every year.
“To unlock these missing billions, these brands need to connect relevance through microtargeting, based on the best use of data, technology and creativity, leading to brilliant customer experiences.”