(14 March 2012 – Australia) The Transaction Bank has historically been favoured by customers as a business’ primary relationship, highlighting the opportunity for banks of cross sell across transaction products.East & Partners’ latest Corporate Transaction Banking Markets report has
reinforced Cash Management and Internet Banking products as the key relationship
platforms in transaction banking with middle market businesses. Over the last
four years, Cross Border Payments has seen the biggest rise in product
penetration in this segment with an increase of 9.4 percent, to fully 36.8
percent of Corporate business customers engaging these solutions.
Cross Border Payments and Full Service International Transaction Banking
products provide the biggest area of opportunity for cross sell within a primary
transaction banking relationship. National Australia Bank, for example, has best
of breed Cash Management market share with 28.5 percent of the business market,
however is below average for both Cross Border Payments and Full Service
International TB products. HSBC by contrast, with a relationship share in Cash
of 7.6 percent has used its global service proposition to secure 13.8 percent of
Cross Border Payment relationships in this segment.
|
% of Primary Supplier Shares February 2012 |
||
| Cash Management | Cross Border Payments | |
| ANZ | 16.8 | 23.5 |
| CBA | 21.6 | 6.1 |
| HSBC | 7.6 | 13.8 |
| JPMorgan | 0.4 | 6.1 |
| NAB | 28.5 | 17.1 |
| St George | 5.2 | 0.9 |
| Westpac | 14.1 | 17.1 |
Source: East & Partners Australian Corporate Transaction Banking Program
Paul Dowling, East & Partners’ Principal Analyst commented, “There are
significant differences between providers on these measures of cross sell, with
some banks being way more successful than others at leveraging their Cash and
Payments relationships with business customers”
“This latest research also reaffirms the transaction relationship as the most
powerful cross sell platform for other, non-transaction product offerings, in
particular Risk, FX and Treasury solutions.” added Mr Dowling.
About East & Partners’ Australian Corporate Transaction Banking Markets
service
A six monthly demand research service focussed on the A$20-530 million turnover
‘middle market’. Consisting of some 11,160 companies the program interviews a
structured sample of 880 plus enterprises twice yearly.
The Corporate Transaction Banking Markets service monitors market share, share
of wallet, mind share, service engagement, churn and customer satisfaction
metrics, bank-by-bank across Cash Management, Payments, Receivables Processing,
Desktop Banking, Internet Banking, Cross Border Payments and Full Service
International Banking product markets.
For more information or to interview East & Partners please contact:
Sian Dowling
Marcomms & Client Services
East & Partners
t: 02 9004 7848
m: 0420 583 553
e: sian.d@eastandpartners.com