Customer service experiences are doing more than shaping brand perception; good and bad customer service is affecting the nation’s mood, and ultimately, people’s financial behaviour.
A new study by Smart Money People, the UK’s most comprehensive financial services review site, found that in the majority of cases (76%) financial firms are providing a positive experience for their customers. And that great customer service creates a “glow effect” that lasts, encouraging loyalty (34%), and recommendations from customers (31%). Efficient service (50%), knowledgeable staff (47%), and quick resolutions (44%) are the top ways consumers have been impressed by financial services firms.
However, a negative experience can have a significant impact on the end customer. The study found that consumers who experience poor service from a financial services organisation can feel frustrated for over a week (11%).
Lack of empathy (36%), untrained staff (32%) and long call waiting times (32%) are the top three reasons why people had a poor experience with a financial services provider. These failings don’t just damage sentiment in the moment, they risk undermining long-term trust in financial brands.
Power of a review
For financial services brands one of the most important insights is the role of reviews in a consumers’ emotional recovery. Rather than simply being a ratings tool, the Smart Money People study suggests that speaking up through reviews can act as a form of emotional release for many consumers. Rather than bottling up frustration, many turn to reviews to regain a sense of control. Those who leave reviews report feeling calmer, more empowered, and better able to move on. A quarter of Brits (25%) have left a negative review on a company’s own site to feel better following a bad experience, while 21% have shared their experience on an independent review platform.
That feedback can also translate into operational and strategic change. The Stafford Building Society used member reviews gathered in partnership with Smart Money People, with members voicing strong support for retaining local branches and traditional savings passbooks. The Society subsequently confirmed it would maintain passbooks alongside digital channels, underlining how structured review data can inform board-level decisions and member proposition strategy.
The research also confirms the growing importance of embedded reviews in financial decision-making. A quarter of consumers (25%) use online reviews to learn more about products and services, while 15% say they won’t buy a financial product unless they have checked reviews first, making reputation management and review engagement a business-critical issue.
Peer Jelendorf, CEO of Smart Money People commented: “Our research shows that customer service has become inseparable from financial behaviour. A single poor interaction can undo years of trust, while one standout experience can turn a customer into a long-term advocate.
“Reviews play a vital role in this ecosystem. They give consumers a way to process their experiences and give firms real insight into what is, and isn’t, working. Brands that engage constructively with feedback will be better placed to build trust and improve outcomes for customers.”
