ICA Bank

Highest customer satisfaction in the market

ICA Bank continued doing business according to the established strategy in 2013. As a result of continuous and long-term investment in the offering, enhancing the digital channels and a sustained focus on simplicity, the bank had the highest customer satisfaction rate in the banking market while improving profits in 2013.

Founded in 2001, ICA Bank is mainly active in the Swedish market. The bank offers a complete range of bank services for private individuals, including savings accounts and mutual fund solutions. ICA Bank has no actual bank branches; instead all services are offered either by the Swedish ICA stores, through a customer service department or via various digital channels (website and apps). Accessibility, simplicity, low fees and easy-to-understand terms are key concepts for ICA Bank. Some of the services are offered through partners.

ICA Bank has limited operations in Norway, where the bank is responsible for all payment terminals at Rimi and ICA Supermarked stores.

At the end of 2013 ICA Bank had around 3.6 million ICA customers in its customer database, around 612,000 of which were bank customers. Around 67,000 new bank cards were issued during the year and at the end of the year the total number issued was around 529,000.

"ICA Bank is participating in the fight against child pornography in cooperation with ECPAT and the Swedish National Bureau of Investigation (Rikskriminalpolisen)."

Smart banking services and strong customer loyalty

ICA Bank plays a key role in ICA Gruppen. In addition to providing smart and user-friendly banking services, ICA Bank is also helping to improve loyalty to the ICA stores while reducing the cost of the financial flows in the ICA system.

ICA Bank contributes in many ways to strengthening customer loyalty, for example by offering a comprehensive package of banking and insurance services.

Services and offering

Cards  ICA Bank offers and administers several card offerings. ICA Card, ICA’s Swedish customer loyalty card, is by far the most common amongst them. Today ICA Bank also has three different debit cards – Debit Card Plus, ICA Debit Card and Debit Card Maestro, a no-fee card for young people. 
Borrow and save  ICA Bank offers mortgages, lines of credit and overdraft facilities. The distinguishing features are low fees and the market’s best interest rates. ICA Bank also offers simple, cost-effective savings solutions – from savings accounts to various mutual fund solutions.
Insurance  In partnership with insurance companies, ICA Bank offers various types of insurance solutions, such as home insurance, car insurance, accident insurance, travel insurance and loan protection. 
Commercial customers  ICA Bank supplies efficient payment solutions to various parts of ICA Gruppen, mainly payment terminals, online sales payment solutions and cash withdrawal services at store checkouts and ATMs. 

Sales and income growth

ICA Bank’s revenues amounted to SEK 850 million (814) for the full year. Business volume rose by 6% and contributed to increased commission income. Net interest income also rose as a result of divestment of a bond portfolio at the beginning of the year as well as increased lending volumes, which compensated for reduced deposit margins due to the lower official bank rate.

Operating income excluding non-recurring items amounted to SEK 201 million (181). Higher costs for marketing, consultants and IT were charged against earnings for the period.

The consultancy costs relate to, among other things, adjustments to the new regulatory requirements. The higher costs were counteracted by a reversal of previous provisions for loan losses of SEK 34 million.

Key figures    
  2013 2012
Revenue SEK m 850 814
Operating income excl. non-recurring items, SEK m 201 181
Operating margin excl. non-recurring items, % 23.6 22.2
Business volume, SEK m 24,772 23,272