Interactions between customers and bank branch representatives are still heavily product-driven, as opposed to assessing the client’s needs, finds a new report from financial services research firm Dalbar, Inc.

Dalbar says all the foundations for a positive client experience were uncovered in the study, with the key being how to fine-tune the interaction to have the greatest impact on the client.

Dalbar mystery shoppers and analysts conducted 200 unique visits in different branches spanning across both urban and rural locations in Ontario.This methodology, combining both the client perspective and Dalbar’s objective 3rd party viewpoint, yielded 400 unique experiences. The study looked to answer whether all the resources spent into upgrading the branches from a physical standpoint translated into an improved client experience.

Some of the questions asked include: How long are clients waiting? Which bank is most knowledgeable with lending products? What aspects of the branch interaction do clients appreciate most?

The study results revealed that bank branches are offering very respectable levels of service, but have yet to consistently engage clients in needs-based interactions., Dalbar says.

Rank

Financial Service Institution

Score

1

TD Bank Financial Group

78.8

2

BMO Financial Group

75.7

3

Canadian Imperial Bank of Commerce

74.2

Industry Benchmark

74.1

4

RBC Royal Bank

72.8

5

Scotiabank

69.1

David Fang, a senior research analyst at Dalbar notes that, “We encountered a lot of pleasant interactions, but few that truly represented a holistic discussion around a client’s financial plan. Representatives were eager to promote certain products, but it is crucial that these products are appropriate in the spectrum of a client’s investment strategy and portfolio. Too often, representatives brought up products without conducting a needs assessment, coming off to the client as pushy and aggressive.”

The study also charted each bank’s performance across the various transactions clients conducted, such as applying for a bank account, or inquiring about a lending product. The overall industry rankings show that clients are satisfied with the service provided at branches. However, it is critical to avoid complacency, and to continue to improve the client experience. Anita Lo, Dalbar’s vice president of Canadian strategy comments, “Banks are promoting that their experiences are superior, but the actual conversations are still product-driven, if you really listen to them. Training needs to be more fine-tuned in putting the client first, and the product second.”