TD Canada Trust and President's Choice Financial Rank Highest in Customer
Satisfaction with Retail Banks in Canada
TORONTO, Aug. 27 /CNW/ - While chequing and savings account services
remain the foundation of customer relationships with their retail banks, a
majority of customers also use their primary financial institution for
additional services such as credit cards, investment products and insurance,
according to the J.D. Power and Associates 2008 Canadian Retail Banking
Customer Satisfaction Study(SM) released today.
The study finds that a majority of retail bank customers use their
primary financial institutions for additional services such as borrowing,
investment and insurance provided through an affiliated financial institution.
Among customers of the "Big 5" banks, 76 percent also have a borrowing product
with the financial institution where they hold their chequing or savings
account, while 40 percent have investment products and 20 percent have
insurance products. Within the midsize bank segment, 69 percent of customers
have a borrowing product in addition to their deposit account, while 27
percent have investment products and 16 percent have insurance products.
"By building strong relationships with customers through their retail
banking deposit accounts, banks have opportunities to expand these
relationships to involve additional financial services, which encourages
customers to move a larger share of their financial holdings to their primary
financial institution-ultimately creating a positive impact on bank revenue,"
said Lubo Li, senior director of research at J.D. Power and Associates.
"Providing reliable service and innovative banking products-such as electronic
statements with cheque images and no-fee banking-paves the way toward
deepening customer relationships with their financial institutions. In
addition, quality financial advice offered at retail bank branches has a
positive impact on satisfaction, particularly among customers who have more
holdings with their bank."
Now in its third year, the study examines customer satisfaction with the
overall retail banking experience in two segments: the Big 5 retail banks and
midsize retail banks. In both segments, customer satisfaction is measured
across six factors (listed in order of importance): transaction experiences;
account set-up and product offerings; facility; fees; account statements; and
problem resolution. Overall satisfaction is measured on a 1,000-point scale.
TD Canada Trust ranks highest in overall customer satisfaction among Big
5 banks for a third consecutive year, achieving a score of 777. TD Canada
Trust performs well across all six factors that drive satisfaction.
Among midsize retail banks, President's Choice Financial ranks highest
for a second consecutive year, with a score of 816. President's Choice
Financial performs particularly well in transaction experience, account set-up
and product offerings, fees, and account statements.
The study also finds that the importance of the online banking channel
has increased steadily. In 2008, the online channel represents 29 percent of
overall satisfaction with the transaction experience, compared with only 19
percent in 2006.
"While in-branch transactions remain influential in customer
satisfaction, online banking has become an essential tool for routine banking
and monitoring activities," said Li. "Customers who use online banking
services report checking their account balances online 11 times per month, on
average. For this reason, banking Web sites that have pages that load quickly
and offer a range of services, especially bill payment functionality, are
particularly pleasing to customers."
The 2008 Canadian Retail Banking Customer Satisfaction Study is based on
responses from 10,823 customers who use a primary financial institution for
personal banking. The study includes the largest financial institutions-banks
and credit unions-in Canada, and was fielded in two periods in 2008, between
March and April and between June and July.
About J.D. Power and Associates
Headquartered in Westlake Village, Calif., J.D. Power and Associates is a
global marketing information services company operating in key business
sectors including market research, forecasting, performance improvement,
training and customer satisfaction. The company's quality and satisfaction
measurements are based on responses from millions of consumers annually. For
more information on car reviews and ratings, car insurance, health insurance,
cell phone ratings, and more, please visit JDPower.com. J.D. Power and
Associates is a business unit of The McGraw-Hill Companies.
About The McGraw-Hill Companies
Founded in 1888, The McGraw-Hill Companies (NYSE: MHP) is a leading
global information services provider meeting worldwide needs in the financial
services, education and business information markets through leading brands
such as Standard & Poor's, McGraw-Hill Education, BusinessWeek and J.D. Power
and Associates. The Corporation has more than 280 offices in 40 countries.
Sales in 2007 were $6.8 billion. Additional information is available at
No advertising or other promotional use can be made of the information in
this release without the express prior written consent of J.D. Power and
NOTE: Charts Available Upon Request
For further information:
For further information: Media Relations Contacts: Mark James, Cohn &
Wolfe, Toronto, ON, (647) 259-3269, email@example.com; John Tews, J.D.
Power and Associates, Troy, Mich., (248) 312-4119, firstname.lastname@example.org