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The banking industry is undergoing a paradigm change in the form of financial innovation and enabling technology. The advent of Financial Technology, or FinTech, in banking has changed the landscape of firm-customer interactions and delivery of unique customer experiences. Revolutionary FinTech firms are using technology to design and offer novel services that proactively meet consumer needs of financial services in direct and valuable ways (Gomber et al. 2018). The disrup-tive innovation triggered by technology has pitted incumbent banks against the agile new entrants, such as challenger or digital-only banks and FinTech firms. Crucially, customer experience has emerged as the new competitive front for financial ser-vices. Banks can no longer compete on product, price or the number of physical branches they have. What wins customer over is innovative products, proactive approach, and convenience in interacting via wide variety of channels (EY Banking Survey 2016).Despite widespread media and industry interest in FinTechs’ increasing ability to provide superior customer experience, academic research on this issue is still in an embryonic stage. This research seeks to understand how FinTech firms are develop-ing greater customer orientation by delivering superior customer experiences. Does FinTech-driven experience promote greater consumer trust and satisfaction, and does it have a positive impact on word-of-mouth? This research aims to inform the industry and marketing professionals in understanding how the acceptance of tech-nology by customers is influencing their customer experience.Our research methodology aims to explore the perceptions of customers of vari-ous large banks through a survey questionnaire. The survey consist of statements related to the factors affecting acceptance of online banking (TAM), online consumer experience antecedents and statements related to the interaction between service provide and customers via technology. Findings will provide insights into how banks can formulate successful strategies to address emerging competitive threats. Our policy contribution is to inform the industry and marketing professionals in understanding how the acceptance of technology by customers is influencing their customer experience. This research joins ongoing regulatory dialogues (e.g. Australian Securities and Investment Commission, 2018; Chartered Banker Institute, 2018), which assert that despite an increasingly important role of technology, service staff still plays a key role in rendering superior customer experience in banking. This study aims to conduct a detailed analysis of the dynamic role played by employee- customer (Branch-level) and technology-customer (FinTech) interfaces. Are they complements or substitutes? Our findings will provide insights into how banks can formulate successful strategies to address emerging competitive threats.

This study examines how consumers perceive sports sponsorship by a financial services organisation. Current literature provides information on the advantages and objectives of sponsorship to an organisation. However, it is evident that there is little on how consumers react to sponsorship and in particular how the differences in brand and event involvement (EI) affect response. Data was collected from two audiences of a sponsored sports event, those who attended the game and those who did not. The research findings indicate that, in the context of sponsorship activity, brand involvement is a direct positive influence on brand attractiveness and brand meaningfulness. This study also shows that EI has a direct negative influence on brand trustworthiness. Those who were classed as involved spectators considered the brand to be less trustworthy. Limitations of the study include the economic environment, type of research method and sample size. Areas of further research are recommended.

Due to the complexity and inherent risk associated with financial services decisions, many consumers seek advice and guidance from sales advisors and even delegate responsibility for decision making to them. The performance of financial services salespeople is therefore of critical importance to their clients in securing appropriate financial decisions and outcomes. Whilst different models of sales advising exist, many sales advisors work separately and at a distance from the firm, leading to a common perception of the financial services advisor as one of “lone ranger.” Monitoring the direct performance of advisors is thus difficult, if not impossible; a key factor leading to the blame of advisors following the recent financial crisis. Set against this context, this paper focuses on the role of feedback as a key factor impacting a financial advisor’s effectiveness and performance, specifically the extent of sales advisors’ feedback orientation.

Interest in the subject of Financial Services Marketing, both practically and theoretically, has grown substantially over the last few decades. This growth in interest is recognition of the importance of the financial services industry to the economies of nations globally and the acknowledgment that marketing and consumption of financial services are different from the marketing and consumption of tangible goods and indeed many other intangible services. Few other industries have such wide-reaching impact on the welfare of individuals and nations. The decisions that consumers (and financial organizations on their behalf) make regarding saving, investing, and borrowing have significant implications on their ability to consume a wide range of other products and services, in turn affecting lifestyles, standards of living and how people spend their time. The recent financial crisis has brought this to the forefront of attention.

Purpose – To demonstrate the successful use of lifestage segmentation and survival analysis to identify cross‐selling opportunities.Design/methodology/approach – The study applies lifestyle analysis and Cox's regression analysis model to behavioural and demographic data describing 10,979 UK customers of a large international insurance company.Findings – There are clear differences between the lifestage segments identified with respect to customer characteristics affecting the likelihood of a second purchase from the company and the timeframes within which that is likely to take place. The “mature” segments appear to offer greater opportunities for retention and cross‐selling than the “younger” segments.Research limitations/implications – The study was limited by the type of data available for analysis, which related mainly to life insurance and pension products characterised by low transaction frequency. Different results might be expected for banking or credit‐and‐loan products. The findings could be enh...

During the 20 year lifetime of the Journal of Financial Services Marketing the study of online banking adoption has emerged and matured as a field. Now 20 years on, we reflect on the accumulated online banking adoption knowledge and consider what this tells us. On the basis of an audit of published research over a 10-year period, 1998–2008, we identify the core theories and approaches utilised to study online banking. The findings reveal the widespread application of the Technology Adoption Model (TAM). Drawing on the current debate regarding TAM within the Information Systems domain, we critically evaluate the ongoing appropriateness of TAM for online banking adoption research, and call for a refreshed approach to the study of bank technology adoption. The paper concludes by highlighting other theories that offer potential to extend knowledge in this area.

An e-enabled distribution chain has many advantages: a key element is the company website which combines sales and marketing functions. Intermediary websites interface between the supplier and the marketplace; consequently, adoption and use of websites by intermediaries can benefit an extended supply chain. We examined intermediary e-commerce development, focusing on the adoption and use of websites, the factors influencing initial adoption, the characteristics of adopters and patterns of website use. Based on interview and survey data from financial services intermediaries, we used Rogers' model of innovation to identify adopter groups. Statistically significant differences were found between the five adopter categories in terms of key company characteristics, key factors influencing the initial decision to develop a website and its subsequent use. There are implications for providers in widening intermediary participation in website technology.

PurposeTo critically assesses the extent to which consumers are being empowered by the internet, focusing specifically on the role of the internet in the context of online pension information provision.Design/methodology/approachA mixed method study involving focus groups and observational research. Focus groups explored consumer meanings of empowerment and pension information needs. Actual information provision was measured using a content analysis of a sample of 20 pension web sites from 1996 to 2004 accessed from the internet archive.FindingsWhile consumers generally feel that the internet is empowering, the sense of empowerment has not been fully realised in the context of pensions. The findings reveal gaps between consumer needs for information and information provision with implications for pension providers and consumers.Research limitations/implicationsRelies on consumers' own reported information needs. Pensions are complex and consumers may not fully appreciate the most relevant information in order to make an informed pension decision. Researching professional financial advisors could close the loop and help understand what information consumers should be using to make decisions.Practical implicationsProvides useful insights for pension providers and employers in understanding the value of pension web sites and the features/facilities that consumers value most in using them.Originality/valueAddresses a key concern of government – insufficient pension provision – and helps to understand how the internet can be used to engage consumers in pensions and encourage them to take greater responsibility for and ownership of their retirement saving.

Considerable commentary exists on the potential of the internet for transforming the financial services industry but there is limited longitudinal research into changing website configuration. Studies have investigated online banking ignoring more complex financial services such as pensions. This paper proposes a model of financial services website evolution and applies it to a longitudinal content analysis of 30 pension provider websites, spanning eight years of web development from 1996 to 2003. The study finds that pension websites have evolved over time with apparent links between phases of development and external drivers. The findings indicate that websites support new business transactions rather than existing account management and provide more information on company strength and market position than detail on product and services. Marketing opportunities are present for improved online information provision, business-to-business communication and customer servicing.

PurposeTo provide an investigation of e‐commerce development via an examination of the forces shaping web site development among intermediaries in an extended supply chain.Design/methodology/approachA two‐stage research design combining qualitative and quantitative methods. Unstructured interviews conducted in the spirit of phenomenology elicited a range of critical incidents of web site development which were further examined via a quantitative survey of intermediaries to test for relationships between critical incidents and web site adoption.FindingsAdopter groups were identified which showed statistically significant differences in terms of the critical incidents driving web site development as well as differences in terms of key company characteristics. The timing of web site adoption was also found to affect the subsequent use of the technology, with early adopters making more advanced use.Research limitations/implicationsLimitations associated with the use of retrospective data and respondents’ abilities to recall events, although attempts were made to minimise these through external validation.Practical implicationsProvides useful insights for providers of financial services in understanding how to progress the adoption of web site technology by intermediaries, suggesting the development of networks of relationships involving IT suppliers rather than simply focusing on relationships with preferred intermediaries.Originality/valueAddresses a research gap in terms of business‐to‐business e‐commerce and offers practical guidance on how to widen participation in the financial services supply chain.

Relationship Marketing is critical to financial services to promote customer retention and cross-selling. This paper offers a quantitative approach to address: (1) segmentation; (2) cross-selling; and (3) purchase sequence in a UK financial services company. The objective is help companies identify the most profitable customers to retain.

This is the second of two articles in the Journal of Segmentation in Marketing which address the identification of segment predictors in the personal financial services sector. The first article (Volume 2, Number 2, 1998) hypothesized the existence of four segments with distinct financial services consumption patterns in the UK, based on the variables of perceived knowledge of financial services, level of involvement (interest), attitudes toward financial products and financial institutions. This paper assesses the validity of the segments in a wider marketing context. Based on an analysis of inter-segment differences in the consumption of a wide range of financial services, the key characteristics of each segment and the implications for targeting each segment are outlined.

This paper addresses the identification of segment predictors in the persona! financial services sector. Preliminary qualitative research hypothesised the existence of four segments with distinct financial services consumption patterns, based on several variables: perceived knowledge of financial services; level of involvement (interest); attitudes towards financial products and financial institutions. This paper reports the results of a quantitative study based on a sample of 1,398 customers of a large UK bank. Cluster and discriminant analysis enabled both the replication and validation of the four segments as distinct and statistically different entities and identified 4 segment predictors from a set of 8 variables which predict segment membership with a 95% degree of accuracy.

The changing nature of retail financial services, brought about by regulatory and economic forces, has prompted financial institutions to take a renewed interest in the technique of market segmentation in an endeavour to compete successfully. Traditionally employed segmentation studies in the area of financial services have tended to be simple, relying largely on demographic information. This has resulted in segment descriptors rather than segment predictors being identified. This paper argues that the lack of a behavioural element in traditional studies has been the reason for this problem and contemporary research in this area should be concerned with explaining financial services behaviour and identifying segment predictors. An approach is suggested which is quantitative and works towards the establishment of a multidimensional model for segmentation of the retail financial services market. The paper focuses primarily on two sets of variables to be contained in the model and their justification for sel...

Driven by changes in the regulatory environment and pressures on product profitability, market segmentation is increasing in importance as a competitive weapon. However, still too much emphasis is being placed on descriptive studies which do not sufficiently explain differences in financial services consumer behaviour. Reports the results of a qualitative study which attempts to offer a more detailed explanation of financial services consumer behaviour. Investigates consumer‐perceived knowledge, confidence and level of involvement in dealing with financial services, and analyses the impact of these factors on financial services usage. Four segments are identified (Apathetic Minimalists, Capital Accumulators, Cautious Investors, and Financially Confused) which differ in terms of their financial services usage. The results also suggest that consumer‐perceived knowledge and confidence have an impact on the level of potential profitability which can be expected from the segments identified. Further work is being conducted to substantiate this evidence.

The information potential of the internet is claimed to be heralding a new age of consumer empowerment, providing consumers with access to increased amounts of information which can be used to aid decision making. Yet, to what extent does this hold true for pensions? Pensions are complex products, and recent changes in the pensions industry have brought about a need for increased consumer access to information. To what extent is the industry responding to this need? Using an adaptation of Resnik and Stern's (1977) Information Content Paradigm, a content analysis was conducted of 80 UK pension provider websites from 1997–2004. The study finds that not only has the amount of information communicated changed over time, so too has the type of information. Notwithstanding, UK pension provider websites do not currently appear to provide consumers with adequate information to make informed and empowered pension purchase decisions.