(27th June 2011 – Australia) East & Partners’ latest Australian Institutional Transaction Banking Markets report has shown that Australia’s Top 500 businesses are less likely to use a secondary supplier for products now than they were two years ago in 2009.Two years ago over three quarters of Australia’s Institutional banking segment
reported engaging a secondary provider of desktop banking services, a ratio
which has seen significant decline to 61.9 percent. Such declines have been
identified across all core transaction banking product lines, the most dramatic
being Full Service International Transaction Banking.
Secondary provider engagement here has dropped by a relative 55.9 percent to
just on a quarter of customers in this critical product segment now engaging a
secondary bank.
| Primary Supplier 2009 |
Primary Supplier 2011 |
Secondary Supplier 2009 |
Secondary Supplier 2011 |
|
| Account Services and Cash Management |
100.0 | 100.0 | 36.2 | 27.8 |
| Payment Processing | 98.6 | 99.0 | 24.3 | 20.6 |
| Remittance Processing |
98.1 | 98.1 | 19.5 | 15.8 |
| Internet Banking | 100.0 | 100.0 | 16.1 | 12.4 |
| Desktop Banking | 71.2 | 70.5 | 76.0 | 61.9 |
| Full Service International TB |
100.0 | 56.9 | 62.1 | 25.1 |
East’s Principal Analyst, Paul Dowling, commented that “What we are seeing here,
we suspect, is the result of primary transaction bankers to these institutional
customers over the past two years very effectively driving wallet share gains in
all product lines. Split banking is on the decline in transactional services in
all market segments, a trend that is especially evident in this Institutional
segment as primary banks have leveraged their credit relationships and added
further value to their offerings”.
About East & Partners’ Institutional Transaction Banking Markets Program
A six monthly analysis from the Top 500 Australian institutions presenting
detailed customer satisfaction ratings across 27 service and relationship
transaction, cash management and e-banking attributes bank-by-bank. The
Institutional market in East & Partners’ segmentation bottoms at enterprises
with annual turnovers of AUD$530 million.
For more information please contact:
Sian Dowling
Marcomms & Client Services
East & Partners
t: +61-2-9004 7848
m: + 61-420 583 553
e: sian.d@eastandpartners.com