The Top 10 Best Practices for Serving Small-Business Customers
Report Summary
The Top 10 Best Practices for Serving Small-Business Customers
The small-business customer profile is evolving, and banks must identify new strategies to serve this important customer base.
Boston, April 26, 2012 – A new report from Aite Group provides a list of the top 10 best practices that U.S. financial institutions should employ to win small-business customers. The report is based on data from a February to April 2012 Aite Group survey of 17 large and midsize U.S. financial institutions that have more than US$9 billion in assets. In order to determine best practices, Aite Group also compares this data with key findings from Aite Group's August 2011 survey of 291 small-business owners.
While the needs of small businesses once closely mirrored those of consumers, small-business owners have become more technologically savvy, require more sophisticated products and services, and conduct more business overseas. They also require greater assistance and new tools as they struggle to gain access to credit, manage their cash flow, and effectively collect receivables in today's challenging economic environment. This evolving profile presents new opportunities for financial institutions to better meet the needs of and deepen relationships with this segment. In order to do so, however, banks must identify new strategies to serve this important customer base.
“Enjoying greater success with small-business customers is a top priority for most financial institutions, but achieving it requires a shift away from past practices,” says Christine Barry, research director with Aite Group and author of this report. “Aite Group recommends that banks evolve their strategies and implement best practices necessary to appeal to the new small-business customer.”
This 36-page Impact Note contains 32 figures. Clients of Aite Group’s Wholesale Banking service can download the report.