Banking Relationship Economics

A banking relationship cannot be understood fully by looking at individual products in isolation. A customer may generate attractive revenue through one facility while requiring intensive service elsewhere, maintain significant balances but use capital inefficiently, or appear profitable today while the economics of the relationship are gradually weakening. Product-level performance can therefore hide the combined effect of revenue, funding behavior, utilization, servicing effort, risk and resource consumption across the complete relationship.

BOOST Consulting & Training presents Banking Relationship Economics, a practical program designed to help participants evaluate the economic strength of a banking relationship as an interconnected portfolio rather than a collection of separate products. The course develops the ability to map value creation and value consumption across the relationship, examine customer behavior and resource usage, assess risk-adjusted economics, identify underdeveloped or economically weak relationships, and design actions that strengthen sustainable relationship value rather than simply increase product sales.

• Evaluate banking relationships beyond individual product revenue.
• Identify where value is created and consumed across the relationship.
• Analyze the effect of balances, utilization, servicing effort and customer behavior.
• Incorporate risk and resource consumption into relationship economics.
• Distinguish high-revenue relationships from economically strong relationships.
• Identify opportunities to improve the quality and sustainability of relationship value.
• Build a structured approach for managing relationship economics over time.