SAS Conference: Banks Focus on CRM

Share this article:
LAS VEGAS -- Though banks continue to take customer relationship management seriously, reflected by their IT purchasing, advances must continue for banks to avoid diminishing returns.

This was the message yesterday from Susan Landry, managing vice president, banking industry advisory services at research firm Gartner. She spoke at SAS' BetterManagement LIVE conference here. The fourth annual worldwide business conference drew more than 1,000 attendees in various industries, plus many global sponsors.

Landry offered insight from a 2005 Gartner study of bank CEOs. The study found that attracting and retaining customers is the most important concern of bank CEOs. Increasing market share ranked second, she said.

Most surprising, Landry said, was that mergers and acquisitions no longer were considered a concern or a growth strategy for banks.

"Mergers and acquisitions are still going on, and they are still strategic, but they are no longer the primary growth strategy [for banks]," she said. "That is an enormous difference from what we saw five or 10 years ago, where primarily the growth strategy was growth by acquisition."

Landry also cited the American Consumer Satisfaction Index from the Ross School of Business at the University of Michigan. The survey found that from 1994, when the index was first published, through 1999 banks "were taking their eyes off of the ball -- this was the earliest days of CRM cross-selling and marketing analytics and campaign management, [and the focus was on getting] cross-sell ratios up," she said. "Frankly, [banks] irritated the heck out of people with calls at dinnertime and mailboxes stuffed with credit card offers, etc."

However, Landry said that the ACSI for banks is improving.

"Most of the recovery comes from [banks'] ability to apply technology that allows banks to do target marketing," she said. "We are no longer blitzing everyone."

But Landry said that in 2005 and beyond, banks will improve on these strides by offering real-time messaging, dynamic relationship pricing and using sophisticated Web analytics.

SAS paid part of Melissa Campanelli's transportation to attend the conference

Share this article:
You must be a registered member of Direct Marketing News to post a comment.

Next Article in News

Sign up to our newsletters

Follow us on Twitter @dmnews

Latest Jobs:

More in News

SAP Names New CMO and First CDO

SAP Names New CMO and First CDO

Maggie Chan Jones, who helped Microsoft transition to the cloud, takes over from new chief digital officer Jonathan Becher.

Toshiba Business Solutions Names Melo CMO

Toshiba Business Solutions Names Melo CMO

The 23-year content management veteran will lead new product and service development.

The Risk of Taking Email Full Throttle: Answers

The Risk of Taking Email Full Throttle: Answers

As VP of marketing for the fledgling Targeted Outreach, Tony Smith's charge was to help grow the company—but his gut felt he was walking the ethical line. How should he ...

Copyright © 2014 Haymarket Media, Inc. All Rights Reserved
This material may not be published, broadcast, rewritten or redistributed in any form without prior authorization.
Your use of this website constitutes acceptance of Haymarket Media's Privacy Policy and Terms & Conditions.