Bank communication in the reputation trap

The Swiss banking sector, which was originally very discreet, has been in the media spotlight for some time now. Publicom therefore wanted to know how the industry is dealing with the considerable communications challenges and, to this end, interviewed media executives from 28 different banks.

The industry does not yet seem to have found the right answers to the ongoing attacks and the negative effects on its reputation, writes Publicom in a press release. On the one hand, the lasting negative image of the banking center is lamented everywhere, the main cause of which is critical media coverage. Print media play a central role, while social media are considered to be of little relevance for image building. From the point of view of the bank representatives, the greatest negative impact on reputation comes from the discussions surrounding tax issues (tax optimization problems and tax treaties), followed by bank client confidentiality and the performance of individual banks.

On the other hand, from an organizational point of view, communication within the banks is rarely given adequate priority, the report continues. The units tend to be small, and hardly any head of communications is a member of the executive board. The budgets for the systematic and comprehensive management of media reputation are comparatively small - especially when compared to marketing investments (for example, for advertising and branding) or even possible damage to reputation.

Where the reasons for this discrepancy between aspiration and reality are to be found cannot be answered simply or universally. However, the study suggests that those responsible for the media at banks cannot limit themselves to external communications. This is because the need for education regarding the importance of professional reputation management is often considerable within the organizations as well. 

Teaser image: Keystone