How many relationship managers have you had? One? Five? More?
Actually, that’s dating, not a relationship. One of the reasons customers use private banks is because it’s more personal. You are prepared to pay more because you want access and service. It’s been that way probably since the start of private banking.
Is it the future?
Within the banking world, the purpose of a good relationship is to sell the banks products and services. We all know that and customers accepted the conflict. The ‘trade-off’ seemed ‘fair’. But is it fair?
It is clear the cost of products is still too high? And paying for service is subjective. For some customers they may feel its good value, but is that true of everyone?
Times are changing. You can now build a relationship outside the bank but continue to use the bank and its products and facilities. What could be more perfect? You no longer need to compromise on the conflicts of interest. A relationship is for as long as you want it not when the bank’s relationship managers leave. And you are unlikely to be sold any of their more expensive inhouse products.