Customer retention strategies at a UK telephone bank

When Frontier Bank (not its real name) set up its telephone banking service for businesses in 1995, the aim was to have 30,000 customers on board by 2000. The people at the UK’s Frontier Bank had done their sums. They knew each account would earn around £55.00 in commissions and bank charges and would cost about £155.00 to maintain a year. They also knew they wanted business customers who were cash‐rich but cost‐sensitive.