Value added account
The value-added account is a current account for processing cashless payment transactions , which in addition to the classic banking services includes additional value - usually special services or insurance components.
history
The first value-added account system was introduced by Hamburger Sparkasse in 1999 under the name "HASPA Joker" and replaced the current account models without value-added services that had been customary until then. Unlike what was customary in the market at the time, the Joker accounts were priced at a flat rate, so that no other costs were charged in addition to the basic fee. Due to its great market success, the program has been continuously expanded and currently comprises six target group-specific account packages. Due to the excellent market success of Hamburger Sparkasse, the value-added concept was adopted by several other savings banks nationwide in the following years. Since 2005, some supraregional banks have also been offering their customers value-added services, but these are generally less extensive than the offers of the savings banks.
Reason for introduction
Value-added accounts are now a widespread instrument used by (area) banks to escape the considerable price pressure in the current account market. Since price leadership for flat banks is usually not a realistic market option due to the cost-intensive infrastructure, positioning as a quality leader is sought in this way .
Scope of services
The services included in value-added accounts vary from bank to bank and package to package in order to best meet the individual needs of regional customers and the respective competitive situation. As a rule, value-added accounts contain benefits from the areas of security (e.g. key finder service, wallet protection and insurance), travel (travel agency service and concert tickets, rental cars), leisure (restaurant discounts, cinema discounts, amusement park tickets, etc.), cashback portals and convenience -Services (concierge, order service).
costs
The costs of a value-added account are - depending on the scope of services - usually higher than those of an account with comparable banking services without added value. While some banks add value-added services to existing accounts without price adjustment in order to counter an impending price decline and at the same time achieve customer loyalty and satisfaction effects, in other cases the introduction of value-added programs is associated with a significant price increase (at least in the optional premium variants), which can amount to up to 200 euros a year.
functionality
As a rule, credit institutions expect primarily image gains and customer loyalty effects from the introduction of value-added services. Market research results show that banking products are usually commodities, the perceived value of which tends towards zero. By upgrading the account models with additional services, the direct interchangeability of the products is prevented and at the same time customers are given a service portfolio whose subjective value is higher than the respective fees for the product package. Since the provision of services is usually not a core competence of the bank, external service providers are usually used here. The task of these companies is to develop value-added offers in line with the market and to provide them on behalf and on behalf of the respective bank. Thanks to intelligent call control, it is possible for the customer to take advantage of both value-added services and banking services during a single telephone call.
literature
- Josua Fett: The added value strategy. This is how you get customers to pay higher prices . 4th edition. Pro-Literatur-Verlag, Mammendorf 2009, ISBN 3-86611-188-6 .