Day: January 19, 2018

Smashing Paradigms – “Stupid Banking Rules”

{latest in a developing series on Smashing Paradigms}

For my story-telling explanation of the definition of a Paradigm, see “What is a Paradigm“. 

One way of defining a paradigm is “an unconsciously held belief that limits us from fresh thinking” or “we’ve always done it this way”




Today some data to illustrate the issues around UK retail banking customer service, a personal example of how they can be in the paradigm of “we’ve always done it this way”, then an example of how that paradigm can and has been smashed !

First, some data. In November 2017 I went to a presentation by Vernon Hill of MetroBank put on by the Academy for Chief Executives. One key slide which had me laugh and nearly jump out of my seat was on Net Promoter Score. To simplify “NPS“, the score comes from one core question :

“How likely is it that you would recommend our company/product/service to a friend or colleague?”

To simplify, if there is an equal number of promoters and detractors in your client base, your score is 0. If it is negative, you have more promoters than detractors. A company with strong customer loyalty will have a score over 50, those around Zero, well, not good, not good at all !

When Vernon Hill put up the slide comparing the NPS scores for all the banks, the score for Metro Bank (more on them later!) was 78, excellent. THe highest score for any of the other full service retail banks was around 20, with one of them even having a negative score.

The phrase “shooting fish in a barrel” comes to mind !

So, now a story to illustrate the “old” way, then a little on how simple it has been to do it a “new” way.