Last week, I posed the question, how can the ‘Challenger’ Bank actually challenge its ‘High Street’ counterpart? As discussed, in recent years there has certainly been a surge in popularity and support towards the idea of diversifying the provider ratios of traditional personal and commercial banking services. However the situation we find ourselves in currently is whether this is truly something which people are behind and will grasp, or whether it’s simply a ‘nice ideology’ but ultimately something that won’t happen because of the harsh reality of expense.
My experience has shown me that the Challenger Bank, whilst unable to compete purely on £s and %s, tend to sell the proposition of a more bespoke and individually tailored service with higher quality produced throughout. Now, do I believe that people will sacrifice ‘cost’ for what is marketed as ‘quality of service’? Yes, I do. However I also believe that this will only work on a proposition which is truly unique – a new approach which is not already being offered on the market. What the Challenger Bank cannot afford to do, is to simply rely on repackaged versions of products which are already out there being offered within the more established and price dominating Banks. The question now becomes, ‘how do the Challenger Banks find a unique offering?’
I believe the answer to this lies within innovative thinking – and by extension of this, innovative recruitment.
I work with candidates on a daily basis that operate in niche areas of finance within the Banking industry. I believe there is a great opportunity for the Challenger Bank to become more competitive via the acquisition of quality professionals who are industry leaders within their bespoke areas of finance. By correctly sourcing professionals who have developed unique propositions and can fit alongside other factors such as risk appetite etc. comes the opportunity of developing a leading foothold within a specific market.
Robertson Sewell are currently helping a number of Challenger Banks bring on board individuals with these rare skill sets who also posses the right entrepreneurial drive and cultural fit to develop new niche divisions and offerings on behalf of the Bank. This model has seen success in creating several exciting new propositions which hold a unique route to market for a specific business need which wasn’t presently satisfied. It has also shown to offer further opportunity, as from the introduction of one product comes a relationship that can lead to the introduction of wider product ranges from the Challenging Bank. I believe that the introduction of unique propositions such as these and the further business which will develop via these propositions, is the way in which the market will receive an actual challenge from the Challenger Banks
For more information on the types of propositions which we have helped to implement, as well as information on the current candidates we are working with who possess the necessary skill sets to carry something like this off, please get in touch.