(15 November 2024 – Australia) CBA and NAB have made their intentions clear for business banking lending leadership, less well understood is their fierce battle for transaction banking (TB) supremacy in the traditionally ultra competitive mid-market.
With Bankwest commercial TB customers incorporated into CBA, the group has now drawn the closet it has been to NAB’s best in class relationship share status since the former relinquished the #1 spot in February 2008 (21 percent).
In August 2011 NAB extended its lead to the biggest ever margin with 26 percent primary TB share over CBAs 22 percent, demonstrating that CBA had not lost ground but more so failed to match NABs enormous acceleration in new relationship share growth post GFC.
NAB peaked at a record high 26.2 percent relationship share in August 2012, before faltering slightly. The bank finally moved past this record high in February 2022.
Without a recognised Full Service International TB offering and relatively less recognised Cash Management offering in terms of mind share, current primary relationship share leader NAB will encounter difficulty fending off the concerted challenge of CBA whose growth rate has outpaced NABs in recent years.
Will 2025 be the year CBA reclaims the title of Australia’s number one transaction bank for commercial enterprises?
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