Customer mobility is important to ensure competitive markets. According to the Swedish Competition Authority (SCA), customer mobility on the Swedish private fund savings market might be too low. This study investigates customer mobility in the Swedish private fund savings market.
The results indicate that customer mobility varies over different groups of consumers. A number of indicators of customer mobility are compared across different groups of consumers. According to these indicators, those who have a private fund saving at a large bank are less mobile than other consumers. Individuals with less interest in, or knowledge of, funds and financial markets, are also less mobile.
Newly established funds might experience problems when competing for large bank customers. These represent the bulk of consumers, indicating that newly established fund companies might lack a sufficient customer base to be able to exercise an efficient competitive pressure on the market.
The study is part of the Swedish Competition Authority’s commissioned research.
Download the full report on the Swedish Competition Authority’s website
For further information, please contact Karl Lundvall