Professional Documents
Culture Documents
Marketing of Financial Services
Marketing of Financial Services
S e r vi c e s
Submitted to- ALL OF YOU Submitted by –Ankit Singh
Introduction
•Marketing is an approach to business which focuses on improving
business performance by satisfying customer needs.
•
•Financial services are concerned with individuals ,organizations and
their Finances.
•These are the services which are directed specifically with peoples
intangible assets (money/wealth).
•
•
Marketing
issues
•Some financial services may be very short( e.g. buying and selling
stocks, while others are very long ( e.g. Mortgage ,pensions).
•
•Product may vary in terms of complexity; a basic saving account for a
personal consumer may appear to be relatively simple product ;
whereas the structuring of finances for a leveraged buy-out may be
highly complex.
•
•Customers may vary in terms of both their needs and their levels of
understanding- corporate customers may have considerable expertise
and knowledge in relation to financial services they wish to purchase ,
while many customers may find even the simplest product confusing.
•
Distinctive
Characteristics INTANGIBLITY
of
services
oThey lack a substantive physical form hence cannot be seen
,touched or felt or tried in advance of purchase.
E.g.- The potential purchaser of a car may take a test drive, while a
consumer can only evaluate the advice given by financial advisor
once the advice has been experienced.
o
o
Issues to facilitate
buying
oProviding process
Physical evidence (e.g. Policy documentation that accompanies
an insurance policy ) or the environment in which services are offered (e.g.
the grand premises in prime locations occupied by banks ) to compliment to
actual physical evidence create a tangible image such as “Citibank-where
money lives”, or offer physical gifts to prospective customers.
o
oPlacing particular emphasis on benefits of services – Customers do not
want a saving account but they do want to be able to pay for the education
of their children's.
o
o
o
A service can only be provided when the customer is willing to purchase and
experience it, because of the customers involvement in a greater degree
services are referred as Interactive processes.
oIssues to be addressed-
o
oEnsure that the service delivery are clearly specified and customer oriented-
services should be designed to suit the customer rather than the organization for
e.g. many banks have product specialist( i.e the staff which focus only on specific
products) but a customer with multiple services in a bank would like to deal with
a single individual.
o
E.G Westpac banking corporation in new Zealand stresses to its customers that
It offers “one number for your all banking needs”
oEnsuring that all the staff involved in service delivery are
customer oriented, flexible and responsive.
o
oIdentifying methods of facilitating customer involvement which
will enhance the quality of the service provided and to address
their new demands.
o
oE.g. HDFC bank offers to pay online for lord Ayyappa
o
o
o
o
Perishablity
The fact that services are produced and consumed simultaneously means that they
are perishable too.