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The Communication Strategies of Internet Banks
27/4/01



Three quarters of consumers opt for their own traditional bank's Internet offering rather than choose a standalone Internet bank. This is one of the findings from Thomson Intermedia’s recent detailed investigation into UK Internet banks' communication strategies.

Providing analysis of communications strategies, target audiences, media and media spend, from the emergence of Internet banking in 1998 to the end of 2000, the report dissects both standalone Internet banks and the Internet offering of high street banks.

Other key findings include:


  • Standalone Internet banks spend 3.5 times more than traditional banks promoting their Internet offerings through press advertising.
  • Competitive advantage once held by standalones such as Egg, due to its huge advertising spend and first mover advantage, is diminishing as traditional banks provide full Internet services and high interest accounts.
  • Choice for consumers is now reverting back to the strongest banking brands, giving traditional banks a huge advantage.


According to Charles Ilsley, Research Director at Thomson Intermedia's Research Division, "Our analysis shows that the complexity and competitive nature of the Internet banking industry in the UK. Standalone banks such as Egg need to be dynamic and innovative in their communications strategies to ensure that they can compete against the strengthening Internet offerings of the big four. This report truly provides players in financial services with unique insights into the Internet banking communications strategies of UK banks. As the first in our series of communications industry intelligence reports, it clearly demonstrates Thomson Intermedia's expertise to turn competitive information into competitive intelligence." The Internet banking report is the first in a series of 24 competitive intelligence reports that analyse communications across different industries, providing insights into the tactics utilised by the key players in the markets.