Despite increasing dissatisfaction with fees, overall customer satisfaction is up slightly from 2011, according to the J.D. Power and Associates 2012 U.S. Retail Banking Satisfaction Study which was released last week. A one point increase in the J.D. Power satisfaction score is primarily due to higher satisfaction in areas such as banking facilities, account activates, and problem resolution.
Chase in Florida achieved the greatest increase in the J.D. Power study with an improvement of 56 points over 2011, followed by Prosperity Bank in Texas, up 53 points. TCF Bank in the Midwest Region had the steepest decline, dropping 52 points this year, followed by Citibank in Texas, down 41 points. The survey shows customer satisfaction heading in different directions at some of the largest banks. Bank of America is in last place in six of eleven regions and their scores declined from 2011 in ten out of eleven regions. Meanwhile, Chase’s scores improved in all ten regions in which they are included, with scores going up between 9 and 56 points. Satisfaction with PNC also increased in all four of their regions, with scores improving by between 11 and 27 points. PNC is also the winner in Florida.
2012 Winners and Losers by Region
California
Winner: Rabobank
Last Place: Bank of America
Florida
Winner: PNC Bank
Last Place: Bank of America
Mid-Atlantic
Winner: Northwest Savings Bank
Last Place: Bank of America
Midwest
Winner: Commerce Bank
Last Place: TCF National Bank
New England
Winner: Rockland Trust Co.
Last Place: Citibank
North Central
Winner: Independent Bank
Last Place: Bank of America
Northwest
Winner: Banner Bank
Last Place: Bank of America
South Central
Winner: Arvest Bank
Last Place: BBVA Compass
Southeast
Winner: First Federal
Last Place: Bank of America
Southwest
Winner: Arvest Bank
Last Place: BBVA Compass
Texas
Winner: Frost National Bank
Last Place: Citibank
Ten Most Improved Banks (vs. 2011)
Bank Name Region Change
Chase Bank Florida +56
Prosperity Bank Texas +53
US Bank South Central +38
New York Community Bank Mid-Atlantic +38
First Niagara Bank Mid-Atlantic +36
TD Bank Florida +35
Fifth Third Bank Southeast +32
Regions Bank Texas +31
Webster Bank New England +31
Arvest Bank South Central +28
Ten Banks with Steepest Declines in Customer Satisfaction (vs. 2011)
Bank Name Region Change
TCF Bank Midwest -52
Citibank Texas -41
United Community Bank Southeast -38
Marshall & Ilsley Bank (M&I) Midwest -38
Regions Bank Southeast -37
Citibank New England -30
Comerica Bank Texas -28
First Financial Bank (OH) North Central -27
Zions Bank Southwest -26
FirstMerit Bank North Central -26
A little background on the J.D. Power methodology. The score is not based on how satisfied customers claim to be with their bank (i.e. how customers respond to a single question about their overall satisfaction), but instead the satisfaction score is based on the scores for six factors (each of which are weighted based on its importance as calculated by the J.D. Power regression model).
The six factors, as defined from jdpower.com, are:
Product Offerings: This score is based on how customers rate the variety of services available, ease of making account changes, effectiveness of communication regarding products/services and competitiveness of interest rates for their primary financial institution.
Facility: This score is based on how customers rate the hours of branch operation, number of branches, and ease of access for their current primary financial institution.
Account Information: This score is based on how customers rate the ease of understanding and clarity of account information provided from their current primary financial institution.
Fees: This score is based on how customers rate experiences with their primary institution’s fee structures.
Account Activities: This score is based on how customers rate the various transaction methods used (as applicable) including in-person, ATM, online, automated phone, and phone transactions with a live representative for their current primary financial institution.
Problem Resolution: This score is based on how customers rate their problem resolution experience with their current primary financial institution.
Related Prime Performance Articles:
Bank Loyalty on the Rise According to the 2012 Temkin Customer Loyalty Survey
Bank Fees and Customer Satisfaction
4 Reasons Why the Branch Remains the Cornerstone of the Retail Banking Relationship