Compass Bank: Allowing truly customized accounts
[Posted by Brad Strothkamp}
Forrrester recently conducted a teleconference where I presented and spoke about what I considered the top best practices in financial services in 2008 to be. Many of the best practices I have written on in the past, but one that stood out is a tool developed by Compass Bancshares, a bank with 166 branches in Texas, Alabama, Arizona, Florida, Colorado, and New Mexico.
The tool allows customers to build a truly customized checking account. So why is that so interesting?
I recently published a brief that discussed how consumers choose checking account providers. The key thing I took away from the research is that different segments of consumers value different things from their bank. Younger consumers care about fees and the convenience of ATMs, and older consumers care more about good customer service and competitive rates. But in today’s world most banks (with a few exceptions) offer a one-size-fits-all account.
The tool from Compass is the first one I have seen that lets shopper choose exactly what elements of a checking account are important to them. If they use foreign ATMs a lot, then they can have those reimbursed. If earning extra rewards is important, they can earn double rewards. Shoppers are allowed to select two options at no cost. Beyond that, each selection the shopper chooses increases the monthly cost of the account.