OBJECTIVE: Find new sales opportunities for loans. Activity-based queries allow new "micro" opportunities to be identified. These small, well-targeted campaigns can be fast and easy to accomplish, and have a higher response rate than general promotional mailings. They are also well suited for alternative sales channels such as e-mail. This can reduce the time and expense of a campaign from weeks to days. In this query, four data points are examined:

• Age of the individual holding the account

• Number of new auto loans held by the individual at your institution

• Number of used auto loans held by the individual at your institution

• Account holder uses PC Banking (PCBanking_MonthlyAvg)

Here's why these data points are being used:
If the account holder is between 18 and 34 years old, they are a prime candidate for buying a new car. If they have no new or used auto loans, they are more likely to consider an attractive offer. Finally, as a PC Banking user, some assumptions can be made: 
   - they have higher than average income
   - they are credit driven
   - there is a stronger than average relationship with institution
   - they are more likely to use an online loan application
 

The PCBanking_MonthlyAvg field is located in the Delivery Channel folder at the Account level. The Age field (for Head of household) can be found in the RFG Segmentation folder or in the Individual Description branch at the Household level. The New Auto Loans and Used Auto Loan fields can be found in the Loan Accounts folder at the Household level.

145 qualified accounts in 144 households were found using the query shown above.

IDEAS: Consider some of the following ways you might implement this tactic:

• Check balances and other indicators (such as Household profitability) then send out a pre-qualified letter up to $X dollars. Add fine print that makes it clear a complete credit check may be required.

• Use e-mail to make the pitch; this lowers the cost of the campaign while speeding up response rates.

• Provide a link in the e-mail pitch (and the paper pitch too) that links to a web page that will allow them to apply for the loan approval online (if your institution has this functionality).

• If you don't offer online loan application and approval, consider adding it to your web site.

You may also consider partnering with local car dealerships so you can offer highly competitive rates, or special incentives on certain makes and models.  This may have the added benefit of increasing indirect loans from such dealerships since they will get to know you better.

CAVEATS: You may not wish to offer pre-qualified loans to households that have huge debt loads and small deposit balances. Be certain to check an individual's loan or credit history before making any loan offer.

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