Greater Competition In The Key Main Financial Services Sector Provider Space Predicted For 2013
Written by JGFR
18 Jan 2013
Greater competition in the key main financial services provider space is predicted in 2013. During
2012 the stranglehold of the ‘Big 5’ leading bank brands – Lloyds TSB, Barclays, NatWest, HSBC and
Halifax was firmly broken.
Indeed in September, Nationwide, following a very successful summer advertising campaign, moved
into fifth position and first direct entered the top ten brands for the first time ousting the Royal Bank
of Scotland brand, dropping out of the top ten for the first time.
Co-operative Bank also saw an improvement in market share during 2012 reaching a record high of
4% in September.
Lloyds TSB and Barclays continue to dominate the main financial services provider space – as they
have done continuously since the Barometer started in 2003. The former has pulled away from
Barclays during 2012, although it has, like all the Big 5 brands, lost market share on a 4-quarter
moving average basis compared to a year ago.
Leading main financial services brands, December 2012, 4-quarter moving average
1. Lloyds TSB 15.7 16.5
2. Barclays 14.5 16.6
3. HSBC 9.9 11.0
4. NatWest 9.8 11.1
5. Santander 9.0 8.8
6. Halifax 8.5 9.6
7. Nationwide 6.8 5.8
8. Bank of Scotland 4.0 3.0
9. Co-operative Bank 3.1 2.7
10. Royal Bank of Scotland 2.9 2.7
Source: GfK NOP / JGFR
Overall the MFSP share of the leading ten brands in December slipped 4 points to 81.6%, down from
86.2% a year ago and the lowest proportion since March 2006. The MFSP share of the leading 5
brands improved by a point in December, although is 4 points lower than a year ago.
Just over 9 out of 10 of the population cite having a main financial services provider, little changed
on September and a year ago.
Greater support this quarter is for some of the smaller challenger brands such as National Australia
Bank brands Clydesdale and Yorkshire Bank, Citibank, the Post Office and Northern Bank.
On a group basis the Lloyds Banking Group is the market leader with a 25% MFSP share, with
notable regional variations.
The annual 2013 ComPeer / JGFR Financial DIY report will show that just under 1 in 10 of main
financial services customers also regard their MFSP as also their main financial services adviser,
slightly up on a year ago but well down on earlier in the decade.
While the market share of Lloyds TSB has improved since June with the bank benefitting from its
Olympics sponsorship, the Post-Olympics Barometer Report produced by JGFR shows that the bank
brands with the most ‘sporty’ customers are NatWest and Royal Bank of Scotland, followed by HSBC
Commented John Gilbert, Chief Executive of JGFR:
“2012 appears to be a watershed for UK retail banks as the pressure for change intensifies with more
customers switching their main financial services provider allegiance and attracted by new offerings.
With more competitors seeking to become a main financial services provider, the next year is likely to
see the market share of the top ten brands slip further below the 80% level."
Enquiries: John Gilbert +44 (0) 208 944 7510 / +44 (0) 7740 027968 (mobile) or email
Last Updated ( 27 Aug 2013 )