Australian Bankers Association launches advertising blitz
As political pressures mount on the industry, the Australian Bankers’ Association this weekend launched an advertising campaign portraying the sector as the friend of mum and dad investors.
The ‘Australian Banks Belong To You’ campaign, which is running across TV and full-page advertisements in today’s newspapers, features bank workers describing how over 80 percent of local banks’ profits are returned to shareholders.
Ummmm.
So “nearly 80 percent of Australian bank profits go straight back to shareholders.”.
But …
“Profits don’t belong to the banks, they belong to everyday Australians like you.”
So isn’t there an inherent assumption by the banks that everyday Australians (and let’s toss in their customers for good measure) are shareholders.
Sure my superannuation fund probably has some investment in the banks, but this totally invisible to every customer.
Jut man up, waive some fees (like $10 a month just to keep an account and I haven’t set foot in a branch for who knows how long) – it ain’t gonna kill you!
The Big Four made $15b profit in the first half of 2017-18. That’s around $1,300 per annum per man, woman and child in Australia. Waiving personal account fees would drop that by single digit percentages.
Remember banks – actions speak louder than words.
Is anybody able to prove that Westpac is not at least 50% owned by foreign investment?
What about that loan during the GFC?
For crying out loud!!!???
In any successful business the formula is:
1) Look after your customer – without them you don’t have a business.
2) Look after your staff (majority of your staff)
3) Keep an eye on expenses and profits will flow – from this you can then pay returns to your investors.
From personal experience, this is what changes with the banks when we reward senior execs purely on share performance:
1) Push the share price as high as possible by:
a)Screwing every cent you can out of your customer.
b)Cut as many staff jobs as you can – to reduce expenses.
c)Report highest possible profits by any means possible including ignoring anything illegal or unsavoury as this will impact your own bonus.
2) Reward yourself and fellow senior execs with $millions in bonuses and pay staff ~50% of their bonuses.
3) Look after the funds and fund managers by paying a handsome dividend to the investors after you and your fellow cover-uppers have had your slice.
4) Nobody cares about the frontline staff as who helped make the profits, nor the customers without whom there would be no profits and they have no serious alternatives other than the oligopoly of the Big 4.
This is why everyone in senior positions wants to avoid a Royal Commission at all costs, there has been some seriously unethical behaviour and no-one wants to answer for any of it.
A cynical propaganda campaign on the part of the banks.
I have informed the television networks as well as the Australian Bankers Association that I will boycott watching any channel / network that broadcasts their ad.
I can’t imagine those networks other advertisers will be too happy to learn the channels/ networks they’re advertising on are being boycotted and that as a result expensive advertising they’ve paid for, will not be seen.