M&S Money is plotting further moves into the savings market as it joins other financial brands looking to exploit public mistrust in traditional banks.
The wholly-owned subsidiary of HSBC has launched its first “easy access” savings account and plans further new product developments.
Amanda Newman, head of marketing at M&S Money, says the trust consumers have in the M&S brand provides an opportunity for the company to make inroads in the savings market.
The launch of the M&S Everyday Savings Account follows research the company carried out that found 71% of consumers will continue to save this year, 34% say trust is the most important factor when deciding where to put their money.
Research from marketing agency Baber Smith also shows M&S to be the most trusted brand on the high street with support from 22% of those polled.
Earlier this week, Virgin Money was reported to be preparing to launch an internet bank. Virgin’s move follows that of Tesco, which has also indicated it intends to push further into financial services.
However, financial services branding experts say that brands looking to exploit mistrust in banks must offer viable products.
Roy Stephenson, financial services consultant at Strategic Planning and Marketing, says brands looking to extend their reach in the financial services sector cannot count on perceived public disgust and must “prove their worth” by offering competitive products.