Fall 2006 Research Issues

New Research Highlights
Key Financial Trends & Competitive Update
Market Segmentation
Delivery Channels
Online Banking
Checking Accounts
Deposit and Investment Services
Loan and Mortgage Products
Small Business

• Customer loyalty:  how loyal are consumers to their PFI?  What is the profile of a loyal customer?

• Customer follow-up:  what is the best method, message, and frequency to follow-up with a customer after a new account is opened?

• Online services:  are consumers satisfied with their PFI’s online services and what additional services do they want?

• Promotional marketing:  what promotional gift offers drive consumers to open a new checking account?

• Internet-only accounts:  what competitive interest rate would motivate consumers to move their funds to an Internet only bank from a traditional financial institution?

• Conjoint analysis:  what’s the utility value of these attributes when a consumer selects a checking account: hours of operation, debit card rewards, ATM surcharge waiver, NSF fee waiver, free checks?

• Product management:  what are consumers' feelings about reverse mortgages?

Prior to examining consumer research results, RFG sets the stage by reviewing key economic statistics affecting the marketing of financial services.  Competitive information from a variety of sources concerning the most recent marketing strategies and tactics being employed nationally will be examined.  Following this introduction, consumer responses to questions in the following areas will be explored.

• Customer loyalty:  how loyal are consumers to their PFI?  What is the profile of a loyal customer?

• How do deposit, loan and investment product usage and balances differ among RFG’s 6-Cell Consumer Segment Model?  What’s the current demand for deposit, loan and investment products among RFG’s Consumer Segments? 

• Which segments are your best targets for each product and how can the Consumer Segment model improve marketing efficiency?

• What’s the appropriate value-proposition for these key attitudinal segments: loyalty driven, price driven, technology driven?  Which segments are your best targets for each product and how can the Consumer Segment model improve marketing efficiency?

• What value propositions interest baby boomers and GenXers the most?

• How are consumer channel preferences and usage frequency changing? 

• What factors will motivate a consumer to refer business to you?

• How valuable is customer loyalty and how you can promote it?

• Customer follow-up:  what is the best method, message, and frequency to follow-up with a customer after a new account is opened?

• What’s the market opportunity for financial education programs?

• What online products and services do consumers use, and what are they most likely to use in the next year?

• Online services:  are consumers satisfied with their PFI’s online services and what additional services do they want?

• What online features are typically offered on PFI websites and what additional features do consumers want?

• What is the difference between a consumer’s primary and secondary checking account?

• What factors affect a consumer’s decision to close their checking account? 

• Promotional marketing:  What promotional gift offers drive consumers to open a new checking account?

• Conjoint analysis:  what’s the utility value of these attributes when a consumer selects a checking account: hours of operation, debit card rewards, ATM surcharge waiver, NSF fee waiver, free checks?

• Internet-only accounts:  What competitive interest rate would motivate consumers to move their funds to an Internet only bank from a traditional financial institution?

• Who do consumers currently use for their non-retirement investment services? 

• When will baby boomers retire and where will they invest their retirement fund balances? 

• What are the financial goals for each Consumer Segment and how you can best use those goals to design targeted financial solutions? 

• What’s the market opportunity for high-yield deposit accounts?  What institutions are attracting this market and how are consumers funding these accounts?

• What is the outlook for Health Savings Accounts (HSAs)?

• What increase in interest would motivate consumers to move their maturing CD to another institution?

• In an increasing interest rate environment, what type of equity lending product do consumers prefer most? 

• Product management:  what are consumers’ feelings towards reverse mortgages?

• What percentage of consumers’ household income is used for mortgage payments?

• What loan/line product features drive consumers’ decisions when choosing a lending institution? 

• What types of products and services do Small Business consumers utilize?

• What is the current demand for deposit, loan and investment products among small business segments? 

• What are the most important factors to small businesses in selecting/retaining a financial institution?