Australian Unity looks to Big Sky

australian unity chief investment officer chief executive

2 March 2012
| By Staff |
image
image
expand image

Australian Unity will seek to capitalise on ongoing consumer discomfort with the profits of the major banks to boost subsidiary Big Sky Building Society's penetration rate in retail banking.

According to David Bryant, the company's group executive of investments and chief investment officer, customers don't feel they can go and talk to their bank in times of difficulty, while growing bank profits were making them uncomfortable.

He said Australian Unity would use that sentiment to boost Big Sky's business.

"For consumers, there is a point at which they don't feel comfortable with that degree of profitability, and we can take advantage of that," he said. 

Because the mutual banking industry wasn't simply about profits, it would appeal to a younger customer base that was more focused on values, Bryant said.

However, it was a challenge to communicate the advantages of a credit union over the big four banks, Bryant said.

"Making customers aware of what we are, and what we are not, is a fundamental challenge in the communication space," he said.

Mutual banks needed to make customers understand that they didn't exist for shareholders, he added.

Big Sky chief executive Tony Ryan said there was a need for an alternative to the big banks, but it was difficult breaking through consumers' apathy.

Big Sky would use Australian Unity to develop its customer base throughout the country, Ryan said.

Read more about:

AUTHOR

Recommended for you

sub-bgsidebar subscription

Never miss the latest news and developments in wealth management industry

MARKET INSIGHTS

This verdict highlights something deeply wrong and rotten at the heart of the FSCP. We are witnessing a heavy-handed, op...

10 hours ago

Interesting. Would be good to know the details of the StrategyOne deal....

4 days 15 hours ago

It’s astonishing to see the FAAA now pushing for more advisers by courting "career changers" and international recruits,...

3 weeks 2 days ago

Insignia Financial has made four appointments, including three who have joined from TAL, to lead strategy and innovation in its retirement solutions for the MLC brand....

2 weeks 4 days ago

A former Brisbane financial adviser has been charged with 26 counts of dishonest conduct regarding a failure to disclose he would receive substantial commission payments ...

3 days 13 hours ago

Pinnacle Investment Management has announced it will acquire strategic interests in two international fund managers for $142 million....

2 days 16 hours ago