Sentiment Watch: “What If AAPL Was A Bank?” Talk

When you start seeing stories like, “What if Apple were to become bank?” you should take notice.

Half of Apple fanbois would bank with the iPad titan

One in 10 punters polled in the US and UK admitted they would bank with Apple if the iPad maker decided to move into the money sector. Among Apple product owners, 43 per cent of those quizzed would consider dumping their current banks for the iPhone biz.

Two thirds of the 5,000 surveyed fanbois said they’d switch to a notional AppleBank because they trusted the company, and a half of them reckoned Apple would make their account easy to access and manage.

David Rankin, boss of research consultancy KAE that carried out the study with pollster Toluna, believes banking is an obvious next step for the computer makers:

Apple would face no capital constraints in building a deposits base. With a proven ability to cross-sell additional products, along with the highest sales per square foot of any retailer and an affluent customer base, it wouldn’t take long for Apple to become one of the most profitable consumer banks in recent times.

Lee Powney, marketing chief at KAE, added that “it would take a remarkable display of discipline [for Apple] to resist” moving into banking. The survey concludes that Apple would massively disrupt any industry it got involved in, as Powney explains:

This research tells us Apple customers perceive a fit where at first glance we would assume the brand could not travel […] This makes it a truly dangerous animal to a startling array of sectors

Tremble, bankers.

Even Fast Company published an article on this.

If Apple Opened An iBank It Could Have 37 Million Customers On The First Day

According to a new survey from research consultancy KAE, about 10% of U.K. and U.S. citizens questioned would actually lodge their precious money with Apple, were the firm to spend some of its $100 billion in cash to build an iBank. Financial institutions of the world: Commence quivering in your (Ferragamo) boots!

The percentage of iBankers who’d leave their existing banks actually numbered higher, at about 43%, for survey respondees who already own an Apple product. Two thirds of those surveyed said they’d bank with Apple because they trusted it, and 50% said that they thought Apple’s systems would make it easy for them to access and manage their iAccount (which kind of implies their existing banks aren’t necessarily trustworthy or good at enabling access!). And before you ponder if these questions were posed to a group of people lining up to buy iPads outside an Apple store, it actually covered 5,000 people across the U.S. and U.K.

Peter Brandt posted a good article of how Jesse Livermore might be trading AAPL if he was around today.
Would Jesse Livermore be looking to go short Apple?