Improved services lead to improved NPS, report finds

Large authorised deposit-taking institutions (ADIs) have continued to improve their net-promoter scores from the final quarter of 2021. 

A majority of lenders have recorded a positive average net-promoter score over the past three months, with just four of the 32 lenders recording a negative three month net-promoter score, according to the latest Broker Pulse findings.

The Broker Pulse, produced by Momentum Media’s research division, Momentum Intelligence, revealed that Macquarie recorded their highest net-promoter score for the past year in March, ranking them as the lender with the highest net-promoter score and allowing the bank to maintain their position as the major bank with the highest three-month average net promoter score.

Among the four major banks, NAB and the Commonwealth Bank were the two with the greatest net promoter score across the three month average, with the Commonwealth Bank recording its highest net-promoter score for the previous year in March.

This positive trend in net-promoter scores experienced by the most commonly used large ADIs is emblematic of a shift in the segment that has seen all large ADIs report a growing net promoter score since the final quarter of 2021, with St George experiencing the largest rise.

Both Commonwealth Bank and Macquarie bank were able to achieve their strong net-promoter scores while also maintaining the highest broker usage rates of all commonly used ADIs present in the survey. This is representative of the steady increase in major banks usage, which rose to 77 per cent in March.

A driving factor behind the increase in major bank usage by brokers is the improvement in turnaround times among the large banks, with 32 per cent of brokers stating they chose the lenders for their quick turnaround times, an increase on the 30 per cent who answered the same in February.

Alternatively, among the less commonly used ADIs, Newcastle Heritage recorded a net-promoter score of 100 in March, their highest of the past 12 months, and were joined by Citibank, who also recorded their highest net-promoter score for the same time period.

Meanwhile, Bank of Queensland recorded their strongest net-promoter score since October 2021 and their fourth-highest in the past 12 months. Additionally, Citibank continued their strong growth, reporting their highest net-promoter score for the previous twelves months, a continuation of their strengthening position to start 2022.

This is representative of the increased strength of non-major banks, who increased their broker usage percentage to 87 per cent in March, the highest total of all lender types. Moreover, the improvement of lender services in key decision driving areas can also be attributed to the increase in both net-promoter score and increase broker usage. Brokers reported an improvement in non-major banks’ product pricing and their ease of use, as well as their own client circumstances as key factors behind them using non-major banks as lenders.

Finally, among non-ADIs, Connective Home Loans recorded the second consecutive month with a net-promoter score of 100, taking their three-month average for net-promoter score to 93, the highest among all lenders.

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