Nigel Roberts, Co-Founder & Strategy Lead, Yell Creative presented 'Exclusive Research: A Change is Going to Come, Or is It?'

1. DON’T
STOP BELIEVING
State Of Financial Marketing 2019
Nigel Roberts, Co-Founder

2. ABOUT THE SURVEY
4th year of survey
1,000 financial
services customers
16 marketer questions 8 consumer questions
Over 200 senior
finance marketers
2COPYRIGHT @2019 YELL CREATIVE PTY LTD

3. THIS YEAR’S THEMES
How well do you know your clients?
Taking a deeper look at trust.
3COPYRIGHT @2019 YELL CREATIVE PTY LTD
What difference does the Royal Commission make?

4. DON’T YOU FORGET
ABOUT ME
4COPYRIGHT @2019 YELL CREATIVE PTY LTD

5. QUESTION:
Do you feel that financial
services companies generally
understand you and your
needs?
Not at all Completely
5COPYRIGHT @2019 YELL CREATIVE PTY LTD

6. COPYRIGHT @2019 YELL CREATIVE PTY LTD 6
Do you feel that financial
services companies
generally understand you
and your needs?
Does not understand well
47%
Does understand well
53%

7. COPYRIGHT @2019 YELL CREATIVE PTY LTD 7
Do you feel that marketing
from financial services
companies represents you
- gender/age/race/
orientation etc?
Does not represent well
54%
Represents well
46%

8. QUESTION:
How truly customer centric is
your organisation?
Not at all Completely
8COPYRIGHT @2019 YELL CREATIVE PTY LTD

9. How truly customer-centric
is your organisation? 40%
35%
30%
25%
20%
15%
10%
5%
0%
1 2 3 4
2018
2019
9
Not at all We’re starting out We’re close Completely
COPYRIGHT @2019 YELL CREATIVE PTY LTD

10. 10COPYRIGHT @2019 YELL CREATIVE PTY LTD
Consumers
Do consumers think
they are understood by
the finance industry?
Marketers
“I feel that financial services
companies understand my
needs.”
“We’re completely
customer-centric - the
customer is at the heart of
everything we do.”
0% 5% 10% 15% 20% 25%
25%
3%

11. THE ONLY WAY IS UP
11COPYRIGHT @2019 YELL CREATIVE PTY LTD

12. QUESTION:
To what extent do you trust
financial services
organisations?
Not at all Completely
12COPYRIGHT @2019 YELL CREATIVE PTY LTD

13. 25%
20%
15%
10%
5%
0%
Distrust Trust
2017
2018
2019
To what extent do
you trust financial
services organisations?
13COPYRIGHT @2019 YELL CREATIVE PTY LTD

14. 14
Distrust Trust
COPYRIGHT @2019 YELL CREATIVE PTY LTD
Consumer
To what extent do
you trust financial
services organisations?
Consumer vs Marketer
perceptions

15. 15
Distrust Trust
COPYRIGHT @2019 YELL CREATIVE PTY LTD
Consumer
To what extent do
you trust financial
services organisations?
Consumer vs Marketer
perceptions
Marketer

16. QUESTION:
How much would you say
your customers’ trust has
changed from 12 months
ago?
Decreased Increased
16COPYRIGHT @2019 YELL CREATIVE PTY LTD

17. How much would you
say your customers’
trust has changed from
12 months ago?
35%
30%
25%
20%
15%
10%
5%
0%
17
Decreased
considerably
Decreased
somewhat
Increased
somewhat
Increased
considerably
COPYRIGHT @2019 YELL CREATIVE PTY LTD

18. How much would you
say your customers’
trust has changed from
12 months ago?
18
Increased
Decreased
COPYRIGHT @2019 YELL CREATIVE PTY LTD
53%
47%

19. IS BANKING THE
NEW TRUMP?
COPYRIGHT @2018 YELL CREATIVE PTY LTD 19
Last year we asked:

20. BUT IS BANKING ACTUALLY
THE ANTI-TRUMP?
COPYRIGHT @2018 YELL CREATIVE PTY LTD 20

21. QUESTION:
To what extent do you trust
each of the following?
✓ Superannuation fund providers
✓ General insurers
✓ Health insurers
✓ Financial advisers
✓ Banks
✓ Investment brokers
21COPYRIGHT @2019 YELL CREATIVE PTY LTD

22. 22
To what extent do you trust each of the following types of
financial services organisations?
Least trusted
Most trusted
2019
Super fund provider
Investment broker
General insurer
Health insurer
Bank
Financial advisor
COPYRIGHT @2019 YELL CREATIVE PTY LTD
2017
Insurer
Investment broker
Super fund provider
Financial advisor
Bank
Most trusted
Least trusted
2018 mid royal commission
Super fund provider
Investment broker
General insurer
Health insurer
Bank
Financial advisor
Least trusted
Most trusted
2018 post royal commission
Super fund provider
Investment broker
General insurer
Health insurer
Bank
Financial advisor
Least trusted
Most trusted

23. 23
90%
80%
70%
60%
50%
40%
30%
20%
10%
0%
6 Month Moving Average
But if we put it in context - customers are satisfied
Jun01 Jun02 Jun03 Jun04 Jun05 Jun06 Jun07 Jun08 Jun09 Jun10 Jun11 Jun12 Jun13 Jun14
Jun1
5
Jun16 Jun17 Jun18
18.2%
(Average
8.7%) Dissatisfied
Jan 18 4.9%
5.6%
21.9% (Average
16.1%) Neither satisfied/
dissatisfied
Jan 18 14.0%
16.2%
58.7%
(Average
74.3%)
Satisfied
Jan 18 81.2%
78.2%
Prior to Start of Royal Commission
(Jan 2018)
Source: Roy Morgan Single Source (Australia), average 6 month sample, n = 26,607. Base: Australians 14+ with at least a
deposit/transaction account with blank average 6 months sample, n = 23,176. 1 Very or fairly satisfied. 2 Very or fairly dissatisfied.
Trended Bank Customer Satisfaction: 2001 to 2018
COPYRIGHT @2019 YELL CREATIVE PTY LTD

24. 24COPYRIGHT @2019 YELL CREATIVE PTY LTD
Despite everything, we still trust the
banks to deliver on
functionality and basic services.

25. 25COPYRIGHT @2019 YELL CREATIVE PTY LTD
But do we trust them to
act in our best interests?

26. 26COPYRIGHT @2019 YELL CREATIVE PTY LTD
We asked:
1. Give me access to my
money when I need it
2. Keep my money safe
3. Be helpful when I call
them
4. Provide me with an
acceptable level of
customer service
5. Provide me with
products and services
that best meet my
needs
‘Generally speaking,
I trust financial
institutions to….’
6. Be there when I
need them
7. Act in my best
interests
8. Give me the best
price they can
9. Reward my loyalty
10.Put customers
before profits
RATIONAL EMOTIVE

27. 27COPYRIGHT @2019 YELL CREATIVE PTY LTD
Splitting the responses by...
Big 4 banks Regional /
smaller banks /
credit unions
Superannuation
providers
Financial advisors

28. 28
70%
60%
50%
40%
30%
20%
10%
0%
Agree
Disagree
COPYRIGHT @2019 YELL CREATIVE PTY LTD
Big 4 banks
Be there when
I need them
Put customers
before profits
Reward
my loyalty
Be helpful when
I contact them
Provide me an
acceptable level
of customer
service
Provide me
products and
service that best
suit my needs
Act in my
best
interests
Give me the best
price they can
Give me access
to my money
when I need it
Keep my
money safe

29. 29
70%
60%
50%
40%
30%
20%
10%
0%
Agree
Disagree
COPYRIGHT @2019 YELL CREATIVE PTY LTD
Regional, smaller banks and credit unions
Be there when
I need them
Put customers
before profits
Reward
my loyalty
Be helpful when
I contact them
Provide me an
acceptable level
of customer
service
Provide me
products and
service that best
suit my needs
Act in my
best
interests
Give me the best
price they can
Give me access
to my money
when I need it
Keep my
money safe

30. 30
70%
60%
50%
40%
30%
20%
10%
0%
Agree
Disagree
COPYRIGHT @2019 YELL CREATIVE PTY LTD
Loyalty is one of the biggest issues
facing Superannuation
Be there when
I need them
Put customers
before profits
Reward
my loyalty
Be helpful when
I contact them
Provide me an
acceptable level
of customer
service
Provide me
products and
service that best
suit my needs
Act in my
best
interests
Give me the best
price they can
Give me access
to my money
when I need it
Keep my
money safe

31. 31
70%
60%
50%
40%
30%
20%
10%
0%
Agree
Disagree
COPYRIGHT @2019 YELL CREATIVE PTY LTD
Financial advisers aren’t delivering
on a rational or emotional level
Be there when
I need them
Put customers
before profits
Reward
my loyalty
Be helpful when
I contact them
Provide me an
acceptable level
of customer
service
Provide me
products and
service that best
suit my needs
Act in my
best
interests
Give me the best
price they can
Give me access
to my money
when I need it
Keep my
money safe

32. NEVER GONNA
GIVE YOU UP
32COPYRIGHT @2019 YELL CREATIVE PTY LTD

33. QUESTION:
Have you changed banks
as a result of the Royal
Commission?
33COPYRIGHT @2019 YELL CREATIVE PTY LTD

34. Have you changed banks
as a result of the Royal
Commission?
34
Yes
No
I’m considering
8%
87%
5%
COPYRIGHT @2019 YELL CREATIVE PTY LTD

35. 3535
2.4 MILLION PEOPLE
CONSIDERING SWITCHING*
*Pro rata % of 18m Australian bank account holders. Source: Australian Banking Association COPYRIGHT @2019 YELL CREATIVE PTY LTD

36. 100%
80%
60%
40%
20%
0%
36
30 to 49 50+
Have you changed
banks as a result of the
Royal Commission?
18 to 29
Yes
No
I’m considering
COPYRIGHT @2019 YELL CREATIVE PTY LTD

37. QUESTION:
If you haven’t switched
banks, please explain why
37COPYRIGHT @2019 YELL CREATIVE PTY LTD

38. Why haven’t you
switched banks?
38
I’m happy with my
current arrangements
All banks are the same anyway
It would be too much hassle
54%
26%
10%
It didn’t make financial sense
10%
COPYRIGHT @2019 YELL CREATIVE PTY LTD
Smaller banks targeting with
campaigns

40. 40
40
ARE PROSPECTS FOR
SWITCHING*
COPYRIGHT @2019 YELL CREATIVE PTY LTD*Pro rata % of 18m Australian bank account holders. Source: Australian Banking Association
ANOTHER
4.14 MILLION PEOPLE

41. THANK YOU
To find out more, download the results at
yellcreative.com/survey
nigel@yellcreative.com