KBAY Kanbay International (MM)

Financial Services Demand 2006 study reveals which financial services companies rate as the most desired among U.S. consumers ROSEMONT, Ill., Nov. 9 /PRNewswire/ -- While many consider financial services to be a commodity, consumers clearly state the opposite. Significant pricing power, as measured by consumer willingness to pay more to meet their desires, is the highest of all industries tracked by Washington, D.C.-based Kanbay Research Institute (KRI), an operating unit of Adjoined Consulting LLC, a subsidiary of Kanbay International, Inc. (NASDAQ:KBAY). The KRI studies six major industries on an annual basis: Communications, Financial Services, Media Content, Restaurants & Beverages, Retail and Travel. Consumers are willing to pay 5.2% more for financial services than any other industry, according to KRI's latest report entitled "Financial Services Demand Today: How Well Banks, Credit Bureaus, Consumer Credit, Investment Firms, and Insurance Companies Deliver on Consumer Desires." The study identifies the top performing financial services companies in each major category: -- Banks: Comerica (NYSE:CMA) -- Investment Firms: Goldman Sachs (NYSE:GS) -- Consumer Credit: Ford Motor Credit (NYSE:F) and Capital One Financial Corporation (NYSE:COF) -- Insurance Companies: GEICO -- Credit Bureaus: Equifax (NYSE:EFX) "Consumers view financial services much different than other industries, which changes what financial services firms must do to be competitive," said Gary A. Williams, executive director of the Kanbay Research Institute. "For example, the result consumers want from wireline, wireless and cable communications providers is the same: Get me my data/voice/video. But with financial services, the result consumers want from banks, insurance, credit cards and investment firms is not the same. That's why integrated financial services firms find it so difficult to be successful." In the 2006 study, KRI conducted 2,262 web-based interviews with U.S. consumers to examine their expectations, needs and desires. Consumers then used the same set of questions to rate 41 of the leading financial services companies. The KRI analyzed the data to identify emerging trends that are not being met today. The financial services industry has experienced recent growth after encountering a period of stagnancy between the years of 2000 and 2002. Several financial services firms are developing competitive advantages -- what the KRI refers to as consumer moats -- to hold customers captive and enable consistent revenue growth. However, in four of the nine moats, no financial services firm today possesses a 5M rating (the highest level). Charles Schwab & Co., Inc. achieved the highest moat rating for cost containment and was also ranked as one of the top ten most desired financial services firms by consumers. The majority of consumers state they would rather not have a one-stop financial services provider. This differs substantially from the communications industry, where over 50% of consumers prefer a one-stop provider. "The answer to de-commoditizing financial services is not simply to consolidate multiple products under a single banner. Firms that can present a truly integrated set of best-of-breed solutions should find that they can secure a greater share of customers' financial wallets, establish longer-term customer relationships, and exert greater pricing power," said Meetul Patel, executive director for Kanbay. "The challenge for multi-product financial services players is that customers prefer different channels, different service attributes and different pricing characteristics for banking, investments and insurance products. Fulfilling customers' expectations and securing greater returns from broader relationships will require that financial services firms truly understand their customers and manage these relationships effectively across channels and products." Consumers today state that the most critical success factor for investment firms is executive credibility, while customer loyalty is the number one factor for banks, credit, and insurance firms. When comparing today's factors versus those required to be successful in coming years, consumers clearly believe that financial services must focus on improving their technology. The 2006 edition of Financial Services Demand Today provides a complete list of consumer ratings for 41 companies overall and by category. To download your complimentary copy, go to http://www.kanbayresearch.com/financial.html or contact us at . About the Kanbay Research Institute The Kanbay Research Institute (KRI) is an operating unit of Adjoined Consulting LLC, a subsidiary of Kanbay International, Inc. Originally founded in 1998 and formerly the independent research division of Adjoined Consulting, Inc., the KRI conducts primary research on an original set of leading indicators that measure consumer demand across functional, emotional and economic factors. Through a patented research system, comprehensive market models are built based on consumer desires that measure how well leading companies are meeting those desires. The KRI researches and analyzes over 300 market leading companies on a continual basis, with over 14 million data points collected since 2001 in a standardized fashion. The research provides strategic, technological and operational insights about how today's best performing companies tap into unmet customer demand to build long-term, economic advantages over the competition. For more information, contact 800-840-5148 (U.S. only) or at 703-788-6751 worldwide, or visit http://www.kanbayresearch.com/ . About Kanbay International, Inc. Founded in 1989, Kanbay International, Inc. (NASDAQ:KBAY) is a global IT services firm with more than 6,900 associates worldwide. Kanbay provides a highly integrated suite of management consulting, technology integration and development, and outsourcing solutions through a proven global delivery platform to clients focused on Financial Services and Consumer & Industrial Products, as well as an emerging presence in the Communications & Media and Life Sciences industries. Kanbay is a CMM Level 5 assessed company headquartered in greater Chicago with offices in North America and India as well as London, Singapore, Hong Kong and Melbourne. Further information about Kanbay can be found at http://www.kanbay.com/ . DATASOURCE: Kanbay International, Inc. CONTACT: Megan Grabos, +1-312-861-4710, , or Laura Micheli, +1-312-861-4712, , both for Kanbay Web site: http://www.kanbayresearch.com/financial.html http://www.kanbayresearch.com/ http://www.kanbay.com/

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