When it comes to ensuring that consumers are pleased, the most recent South African Customer Satisfaction Index (SAcsi) has revealed the best and worst banks in the country.
The five banks were measured on the basis of their market share and, of those surveyed, Standard Bank rated the lowest with South Africans. The findings show that Capitec has the highest satisfaction rating in the country, followed closely by FNB.
Here are the scores in relation to the industry average :
The index is based on a sample size of over 16 000 South African customers and it seems as though customer expectations are rising.
The SAcsi examines a number of areas to obtain an overall score, including customer expectation, customer loyalty, perceived value and complaints.
According to the founder of SAcsi and CEO of Consulta Research, Prof. Adré Schreuder, the transition from traditional banking to electronic channels has a great effect on overall satisfaction.
Here are the banks ranked according to their service offerings:
Capitec has brought banking back to simple transactions.
According to Jonathan Cherry, Capitec is a great example of using innovation as a part of its winning formula, and disrupting the industry by simplifying the business model.
Managing Director of Feasibilty, Dr Penny Hawkins, suggested to 702/CapeTalk presenter Redi Tlhabi that Capitec is successful because they have disrupted the legacy costs that long established banks carry to their customers. Hawkins added that the culture of high banking fees would only change if new market entrants continue to come in to challenge operations.
What came out of that was a big switch to Capitec because they have a simple fee structure.
Hawkins says that even if there are no new entrants, there are some market players that are cheaper than others. Customers have the agency to switch banks if they are not satisfied with their fee structure or any other service-related issue.
We need to work hard at actively moving from one bank to another. You do have a voice in that way. If you switch your account, eventually somebody starts listening to you.
She adds that banks don’t compete on price alone; instead they also compete on value proposition.
Read more about the results of the research on retail banks here.
Listen to Jonathan Cherry unpack the best bank brands on the CapeTalk Breakfast Show with Kieno Kammies:
Also lend your ear to the Dr Penny Hawkins' views on banking fees:
This article first appeared on 702 : The top five banks in South Africa and how they got there