How Important Is A Concierge Service In Private Banking? An interview with Andrew Cant, VP, Financial Services Solutions

Clients need to feel special. And, when it comes to private banking, meeting this need takes on a lot more importance when the clients in question happen to be HNWI and UHNWI.

We put forth a few questions to Andrew Cant, our VP, Financial Services Solutions, about what some institutions call Concierge Service, others Platinum Service, and still others High-End, Superior, Luxury or Premium Service. Here’s how he helped us make sense of it all.

How would you define a Concierge Service?

A Concierge Service is one of the ways in which private banks provide a differentiated service to their clients, extending the relationship to become a trusted partner for client needs that fall outside of the traditional banking relationship. This level of specialized service connects them to experts that a retail client would not ordinarily have access to. Travel, event planning, and philanthropic activities are the most common services provided. This delivers a highly personalized and exclusive service to these clients, enhancing the overall quality of the relationship between them and the bank.

Do CRM solutions enhance these services?

Absolutely. A  CRM solution specifically designed for private banking allows Relationship Managers to not only capture the personal passions of their clients but also prompt the RM to engage with the client when relevant. Let’s say it is the client’s husband’s birthday in a few weeks, for example. The RM has already captured the full household in the client hierarchy, as well as the profile and interests of the client and her family. If one of the husband’s interests is tennis and the US Open happens to be coming up, bringing her attention to exclusive VIP packages as a gift for her husband is a great way to engage on non-financial topics. It also opens up an opportunity to talk about their portfolio while providing a hyper-personalized experience.

What about vice versa? Can Concierge Services enhance CRM?

They definitely can. Concierge Services are not only designed to save what clients value most — their time – but also provide them with a luxury service. Connecting those concierge interactions with the client can enrich the client profile while providing the potential for identifying opportunities to sell additional products and services. Frequent travel, for instance, may lead to a discussion about real estate investments overseas, foreign currency management or yacht financing.

How do Relationship Managers evaluate the importance of Concierge Services?

To the Relationship Manager, a Concierge Service is an additional service or tool for them to develop deep personal relationships with their clients and differentiate them from their competitors. While the services themselves are normally outsourced to specialist third parties, this is a perk for the client on top of the core financial products and services provided by the firm.

Could you give us a few examples of the kind of services firms offer their most valued customers?

The most common services provided by a concierge are in relation to travel, entertainment and dining.  24/7 access to specialists with exclusive access to luxury hotels, concerts, event planning, and restaurants are a strong baseline for a Concierge Service. Other examples include support of philanthropic activities such as charity work or organizing Wealth Management training for heirs to fortunes. There is also a growing trend for support in health care for older clients, placing the RM in a position not unlike that of a health team coach, making for a compelling value add in the process.