He's used the report as the basis for numerous presentations including a major one at the ABA's Annual Convention this fall. The vast majority of banks will be of the second type. There is no advantage to size today and no benefit to incumbancy. Banks, and all companies, must become learning organizations. The front-line people are your eyes and ears to what's going on, what works and what doesn't.
Banks now realize that about half their individual customer relationships are unprofitable.
The bad news is nobody at the point of customer contact knows this yet. Therefore the industry continues to offer undifferentiated products and undifferentiated prices. The successful banks will use customer information to build loyalty programs and reduce the turnover among their most profitable customers. Don't worry about having the most sophisticated sytem to measure customer profitability. Even if you just used revenues to start out with and didn't use cost you would still be more effective than today when you treat everybody the same with undifferentiated pricing.