Page 4: Measuring effectiveness
Key measures of Nationwide's effectiveness as a mutual organisation include the terms and conditions on which it does business with its members, who also form the overwhelming majority of its customers.
During 2003/04, Nationwide delivered £588m by way of better value to its members. This consisted of £236m to savers in the form of better savings rates, £223m to borrowers through lower rates and £129m in lower fees and charges.
Another measure of effectiveness is an organisation's treatment of its staff. In 2003, the European Commission carried out a survey of 1,000 businesses around the EU. Nationwide was placed in the top 100 workplaces. In a survey conducted by the Financial Times, Nationwide was placed 11th in the competition to find the best of the UK's top 50 workplaces.
Another measure is Nationwide's ability to attract new members (members are either savers or borrowers who take out a mortgage). In the year 2003/04 Nationwide attracted nearly 370,000 new members and has a current membership of around 11 million, equivalent to at least a quarter of all UK households.
The growing popularity of mutual organisations allied to their ability to retain existing customers and attract new business means that Nationwide has now achieved a 12.8% market share of new mortgage lending compared with a historic market share of 7.9%.