Think Big Four first in tough times
(18 March 2009 – Australia) The Big Four Australian banks have seen a spike in first bank recall in a tough start to 2009, according to the latest East & Partners’ Business Banking Sentiment Index.
According to the February Index, 69.4 percent of businesses with turnover of $1m to $100m think of a Big Four bank before any other bank, a 6.8 percent increase on last month.
A troubled market and a resulting flight to quality have caused a change in these businesses’ perception of banks. More businesses thought first of a Big Four bank than at any stage over the past two years.
East & Partners’, financial markets analyst, Peter Drennan said that "Mind Share has traditionally been a lead indicator of future market share changes and the Big Four focus on mind share could well mean a continued flight to quality during 2009".
Given recent consolidation in the Australian banking industry, there is now growing focus on the Big Four and their subsidiary brands.
Include recently acquired BankWest and St George into the mix, and Big Four based brands are first thought of by more than three quarters of all businesses.
However, the top of mind status is not evenly distributed between the banks. NAB and Westpac are recalled most, with 31.1 percent and 20.4 percent this month respectively.
"There is an enormous opportunity out there for the Big Four banks in particular in today’s market, and getting top of mind status is a key starting point for developing and winning relationships", Mr Drennan concluded.
A troubled market and a resulting flight to quality have caused a change in these businesses’ perception of banks. More businesses thought first of a Big Four bank than at any stage over the past two years.
East & Partners’, financial markets analyst, Peter Drennan said that "Mind Share has traditionally been a lead indicator of future market share changes and the Big Four focus on mind share could well mean a continued flight to quality during 2009".
Given recent consolidation in the Australian banking industry, there is now growing focus on the Big Four and their subsidiary brands.
Include recently acquired BankWest and St George into the mix, and Big Four based brands are first thought of by more than three quarters of all businesses.
However, the top of mind status is not evenly distributed between the banks. NAB and Westpac are recalled most, with 31.1 percent and 20.4 percent this month respectively.
"There is an enormous opportunity out there for the Big Four banks in particular in today’s market, and getting top of mind status is a key starting point for developing and winning relationships", Mr Drennan concluded.
Subscribe