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Customers take a broader view

German consumers, weary of the financial services sector, would be happy to get their financial products via the automotive industry, a survey has revealed.

Market research specialist Finacord polled 3,000 consumers in Germany to determine the growing importance of partnership marketing in financial services.

The products covered in the report include motor, household, travel and health insurance, life cover, credit cards, mortgages, consumer finance deals, personal loans and savings accounts.

The results found ADAC, the largest German automotive association, to be the most trusted of all organisations included in the survey which also featured Amazon and Aldi.

The study also found that a large number of Porsche customers would be interested in purchasing financial products through the car manufacturer.

But Peter Williams, executive director of the Intermediary Mortgage Lenders Association, says the situation in the UK is different.

He said: “It’s easy to see why people’s confidence in financial services providers has been dented but the notion that companies from unrelated industries could provide financial products more effectively is questionable.

“The fact remains that the UK financial services industry has years of experience and expertise available, and is subject to tight regulation by the Financial Services Authority and other bodies.

He added: “Newcomers to the industry need to demonstrate their competence and ability to maintain suitably high standards – and that’s a pretty high barrier to entry.

“We should recognise that most of the financial services currently provided by food stores, post offices and other places are backed by big-name banks that provide the core of what customers receive, and also that a number of today’s lenders emerged via the car loans market.

“This has not prevented them facing difficulties following the collapse of the US sub-prime market.”

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