Case Study Barclays Bank

• Key dates: 1690 (founding), 1896 (formation as joint-stock bank), 1967 (first ATM), 2000 (acquisition of Woolwich), 2008 (Lehman North America).
  
  
• Global footprint: Present in ~40 countries across Europe, the Americas, Africa and Asia, with core operations in the UK and an international investment-banking arm.
• Structure: Two main divisions (Barclays UK and Barclays International, including Barclays Capital investment banking).

Marketing Strategy

Barclays’ marketing has evolved from promoting scale and strength to emphasizing trust and customer purpose. Historically its advertising stressed being a “big bank” for a “big world,” often using sponsorships (e.g. Barclays Premier League title sponsor, 2001–2016) to build brand recognition. After the 2008–09 financial crisis, however, Barclays’ image suffered (e.g. LIBOR rigging fine in 2012), so in 2013 new leadership launched a purpose-driven strategy. CEO Antony Jenkins declared a new brand purpose – “helping people achieve their ambitions, in the right way.” – and linked employee training and advertising to this ethos. Campaigns then highlighted social programs like “Digital Eagles” (teaching digital skills) and community education (e.g. Code Playground for children). The bank also rebranded its values (including respect and stewardship) and shifted marketing from product pitches to real customer stories, which markedly increased trust and positive brand metrics.

• Customer focus: Barclays has introduced digital features (e.g. viewing accounts at other banks via open banking, spending controls in its app) to align with consumer expectations of convenience and security.
  
  
• Sponsorship & branding: High-profile sports sponsorships (football, cycling, etc.) and pro-social branding (education, financial literacy) have been central.
  
  
• Recent messaging: Advertising now often emphasizes digital convenience, security, and ethical banking. For example, Barclays was the first major UK bank to let customers “turn off” spending at certain types of retailers (e.g. gambling) for budgeting control.
  
  

Digital Transformation and FinTech Initiatives

Barclays has aggressively digitized operations and partnered with fintech to meet rising customer demand for online banking. Today it boasts one of the UK’s largest digital customer bases: its mobile app is the #1 banking app in the UK, handling ~1.7 billion customer interactions annually from over 7.4 million users. In fact, over 70% of Barclays’ UK customers regularly use online or mobile banking as of 2023. Notably, Barclays was an early innovator: in 2012 it launched Pingit, Europe’s first smartphone-based P2P payments app. Its mobile app offers features like instant balance viewing, PIN reveal, card freezing, and real-time alerts, and in 2018 it pioneered multi-bank account aggregation within one app. Barclays has also embraced biometric security – for example, it replaced telephone-banking passwords with voiceprint recognition, fully rolling out this technology by 2016.

• FinTech partnerships: In 2015 Barclays founded the Rise accelerator (with Techstars) to incubate fintech startups. Over time Rise supported ~180 startups (London, New York, Tel Aviv, Mumbai) and built a fintech portfolio of over £1 billion, though only a few dozen have been adopted by Barclays itself. In early 2025 Barclays announced it will wind down Rise, planning to integrate fintech scouting into its new Eagle Labs innovation hubs and corporate banking partnerships. Barclays continues to invest in emerging technologies (blockchain pilots, AI for fraud detection, cloud migration, GenAI) to enhance services.
  
  
• Customer engagement: The bank’s Digital Eagles initiative (since 2013) trained over 12,000 staff and also teaches customers digital skills, showing Barclays’ focus on inclusion. It also deploys chatbots and AI advisors for online queries, and expanded services like contactless payments (94%+ of in‑store transactions in 2024) and mobile withdrawals without cards.
  
  
• Open banking & data: Barclaycard open-banked accounts and data analytics are used to personalize offers (e.g. savings tips, spending insights) in its app. The emphasis on digital-driven innovation has reduced call-center volume and increased self-service: following its latest app redesign and biometric login rollouts, Barclays reported a significant drop in navigation-related help queries. In short, Barclays’ digital strategy centers on a seamless, omni-channel user experience powered by partnerships with tech firms and continuous app upgrades.
  
  

Financial Performance and Competitor Comparison

Barclays has returned to profitability in recent years after crisis-era losses. In FY 2024 Barclays reported £26.8 billion in revenue and £6.36 billion in net profit. Its balance sheet held about £1.52 trillion in assets by 2024. Key drivers have been net interest income (from loans and mortgages) and fee income (cards, wealth management), alongside cost control.

For context, major peers show the scale differences:

Barclays’ profitability metrics (e.g. return on equity ~9–10% lately) generally lag larger U.S. banks but compare favourably in Europe. Its credit quality and capital ratios are solid post-crisis. Historically, Barclays was hit by the 2008 crisis (like all banks) but avoided nationalization by raising funds privately. It absorbed significant losses on scandal provisions (e.g. LIBOR-related fines, PPI compensation) in the 2010s, then resumed growth. Recent years have seen stable net interest margins and a focus on shareholder returns (dividends and buybacks resumed).

Ethics and Compliance Record

Barclays’ ethics record has faced major challenges. The 2008–09 global crisis and ensuing regulatory investigations revealed problems. In 2012, Barclays was the first bank fined in the LIBOR rate-rigging scandal: UK and U.S. authorities imposed a total penalty around £290m (the FCA alone fined £59.5m) and the DOJ later secured a $160m criminal penalty against Barclays for LIBOR/Euribor misconduct. CEO Bob Diamond resigned as a result. The bank publicly apologized and undertook cultural reforms thereafter.

Other major incidents include:

• Forex and trading: In 2014 the US regulator fined Barclays ~$150m for foreign exchange fixing practices. (Multiple banks faced similar charges.)
  
  
• Product mis-selling: Barclays set aside billions for mis-sold products. By 2013 it had earmarked ~£3.5bn for PPI insurance refunds and interest-rate swap mis-selling to SMEs.
  
  
• Tax avoidance: In 2013 Barclays shuttered its lucrative tax planning unit under new CEO Antony Jenkins, pledging no more schemes intended solely to avoid tax.
  
  
• Whistleblower and culture: In 2018 Barclays (and then-CEO Jes Staley) were fined by the FCA (£15m to Barclays and £642k to Staley) for instructing bank security to identify a whistleblower who raised concerns about a senior hire. The bank stated this incident breached ethical standards.
  
  
• Recent fines: In 2024 the US CFTC fined Barclays $4m for incorrect reporting of derivatives data. Also, Barclays disclosed that the FCA is probing its anti-money-laundering controls (an FCA £40m fine was levied earlier in 2023 for AML failings).
  
  

In response, Barclays has overhauled its compliance and audit functions, adopted stricter conduct policies, and implemented cultural programs (e.g. the “Good Bank” vision) to restore trust. It now emphasizes ethics in marketing and has a standing committee for conduct. While lapses have attracted criticism, recent reform efforts – including independent oversight and clearer governance – aim to ensure better compliance moving forward.

Customer Service Evolution and Controversies

Barclays’ customer service channels have modernized dramatically but not without hiccups. The bank has invested in convenient services like 24/7 mobile banking, in-app alerts, and instant card control. It pioneered digital customer education (the Digital Eagles trained staff to help customers online) and redeployed under-used branches into community hubs and tech workshops (e.g. “Barclays Local” in libraries and vans). Features like app-based spending controls, personalized alerts, and the ability to deposit cash via the Post Office or cardless ATMs reflect this tech-driven model.

However, Barclays has also faced service controversies:

• IT outages: In Feb 2017 a software glitch disrupted ATMs, card payments and phone banking across the UK, affecting thousands of customers. Barclays publicly apologized when ATMs failed and card transactions were declined. More recently (Jan 2025) a mainframe software error caused 17% of payment attempts via the Barclays app to fail; regulators were notified and the bank estimated £5–7.5m in customer compensation.
  
  
• Branch closures: As with other banks, Barclays has steadily cut branch numbers (e.g. closing 14 branches in 2023) as footfall declines. This has drawn customer protests, especially in rural areas. Barclays counters that it offers alternate access (Cashback without purchase at shops, more ATMs, and its 200+ “Barclays Local” service points) to mitigate impact.
  
  
• Customer sentiment: Following its purpose-driven turn, Barclays has worked to rebuild trust with customers. It reports rising Net Promoter Scores after improving digital UX and transparency. Initiatives like real-time fraud alerts, easy card-freezing via the app, and online financial advice chatbots have generally been well-received, aligning with customer demand for convenience and security. Nevertheless, any digital failure or sales scandal (e.g. aggressive mortgage sales) can still rapidly damage its reputation, so the bank remains focused on service training and open communication.
  
  

In summary, Barclays’ customer service has evolved from traditional branch-centric banking to a digital-first model, using technology innovations (mobile apps, AI, fintech partnerships) to meet modern expectations. At the same time, notable outages and branch reductions have been pain points that Barclays continues to manage through customer support and alternative service channels.

Sources: Authoritative news and corporate sources including Barclays PLC reports, banking trade publications, and reputable news outlets, etc., as cited above.