Two thirds of UK banks will have outsourced customer relationship management (CRM) or database marketing operations by 2005, according to research conducted by Hays Marketing Technology.
The research canvassed the opinions of senior marketers at 1000 companies across the banking, utility, insurance, leisure and retail industries.
According to the survey, over a half of UK banks - 51.1 per cent - currently outsource CRM, the highest rate of any sector surveyed, and this figure is due to rise to 62.8% by mid 2005.
Overall, banks cited the ability to accomodate peaks and troughs in activity, access to the latest technology and expert consultants as the most important benefits of outsourcing. Lower costs and reduced time and expenditure on in-house training were also considered important.
Vicky Larkins, general manager, Hays Marketing Technology - which manages financial services customer databases - says the research indicates that forecast growth in CRM will largely be achieved through outsourcing.
"Particularly within banking, companies have acknowledged that outsourcing allows companies to focus on their core competencies, enabling them to meet their key business objectives, reduce their financial outlay and risk of technology redundancy, whilst maintaining consistency in campaign delivery standards," says Larkins.