A CONSIDERABLE number of bank customers in Singapore appear pretty hard to please, according to a survey conducted by the IBM Institute for Business Value.

Findings show that most of them prefer to bank with multiple financial institutions. Many also seek customised solutions at low prices.

Banks need to recognise the different consumer segments which exist, said the institute's banking lead, Srini Giridhar.

With the knowledge, 'banks can configure services within their different channels to maximise client satisfaction, and build sustainable profits in each of its channels by optimising costs, margins and income returns'.

Some 7,500-8,000 consumers around the world participated in surveys from 2008 to the first quarter of 2009 for a report titled Fit, Focused and Ready to Fight: How banks can get in shape for the battle ahead. Of these, around 400 were from Singapore.

Singapore bank customers displayed more cautiousness towards banks. A majority preferred to bank with several financial institutions, believing that this was a good way to spread financial risk and tap expertise in various areas.

In the survey, just 19 per cent of them said they relied on a single provider, while 26 per cent of participants from around the world did so.

Also, 30 per cent of local clients relied on four or more providers, compared with 22 per cent globally.

Consumers in Singapore also appeared less willing to pay a premium for financial services. They ranked below those in eight other countries such as India and Japan in this respect.

In addition, pockets of local customers had high expectations of their providers. Some 24 per cent of them were 'active demanders' who valued accessible information and tailor- made products.

On average, 21 per cent of global respondents fell in this category.

Another 15 per cent of consumers here were 'traditional service expectants' who preferred visiting branches for services, liked customised services and also wanted low prices. Just 9 per cent of customers around the world had similar demands.

'Segmentation can reveal what clients value, how they behave and for what they are willing to pay a premium,' said IBM Institute for Business Value in a report. 'By segmenting clients based on attitudes and values, banks can more effectively determine price sensitivity and potential for premiums.'

Mr Giridhar added: 'For example, an 'active demander' may be interested in paying for convenience.'