National  Bank  Trust  Product    Customer  Analysis  and  Penetration  Strategy  

Fortune  Spring  7 LeonardoZhang,  Cheng  Chen

Segmentation  and  Targeting

Identify  Target  Age  Group •  Client bank has more than 3% higher proportion than the random population’s in

two age ranges

•  Focus on 19~25 age group Lower acquisition cost for 19~25 age group. They have more development potential and longer service time. Higher acquisition cost for 46~60 age group. They probably already have stable relationship with other trust companies.

Segmentations  within  19~25  Age  Group •  Typical customers are relatively wealthy people and tend to be married. •  One of the most important index to do segmentation is wealth level.

Random population 19~25 age group

Existing customer 19~25 age group

Cluster‘s centers: wealthIndex marital_status 1 1034.6963 2.254446 2 432.0926 2.296321

Cluster‘s centers wealthIndex marital_status 1 1873.518 2.154185 2 1083.900 2.163636

Target segments:

Wealth index 1600~2000 Wealth index 800~1200

wealthIndex = 5*median_income + median_home_value Marital_status: 1=NA, 2=married, 3=single

More  Insights  from  Random  Population  Data  

52% 48%

Wealth Index 1600~2000

52% 48%

67%

32%

Average

53% 46%

73%

27%

Wealth Index 800~1200

55% 45%

Segment 1: •  16% more single •  2% more male •  Average median annual income: 219K •  Average household value: 687k

Segment 2: •  6% more married •  2% more female •  Average median annual income: 95K •  Average household value: 517k

19~25 age group

Married

Single

Female

Male

Target  Customer  Analysis

Typical  Types

Young Elites Professional Talents

Annual Income 220k 100 k

Home value 690k 520 k

Marital Status Single Married

Gender Male Female

Family structure 3 = 2 adults + 1 child 4 = 3 adults + 1 child

Occupation Doctor/ Professor/ CEO/CFO/ Lawyer Programmer/ Designer/ Sales/ Pilot

State TX /NJ/ PA CA/ NY/ TX

Interest Travel/ Reading/ Sports&Fitness/ Gambling Travel/ Reading/ Sports&Fitness

Personas

Kim Kim is a 25-year-old programmer living in San Francisco, she married 2 years ago and has a 1-year-old son. Kim likes reading during spare time and she travel with her family several times per year. Kim and her husband now are considering saving money regularly for their son’s education.

Mike After graduation, Mike started his own business with 2 college friends and the company has been profitable 3 years later. As the CEO of a company, Mike spends most of his time on work and have less time for personal life. However, Mike likes gambling and traveled to Las Vegas most of his Christmas vacations.          

Linda Linda has been a lawyer for 1 year after graduating from the Law School at University of Pennsylvania. Now she lives in Philadelphia. Linda has a dream to have her own law firm someday and she really enjoys reading suspense fictions. Besides, Linda likes designer clothes and is willing to pay several thousand on it every year.

Internet-SavvyGrew up with computers and comfortable with software

Stable SeekerWent through two crashes

Net-WorkingNeed an educated and wise mentor

Work-FocusedNever trade time for money

Family StarterJust build family or about to build family

Characteristics  Analysis � 

4Ps  Suggestions

Product

Investment management services Diversified investment portfolio “Lower risk and taxes”

U.S. Stocks

ForeignStocks

Foreign Currency

NaturalResources

Municipal Bond

Go on-line “A World-Class Investment Team manages your investment account for you 24/7.” Service focused “We’ll do all the work so that you can focus on the other things that really matter to you.”

Price

$3000

$999

National Bank

Traditional Advisor

Annual fees for $100k investment

Lower fees lower taxes “Don’t have to pay up to 3% per year in management fees, hidden fees, and other fees to get sophisticated investment management from someone that will give you a fraction of their time.”

Wealth management lectures in top universities

Cooperate with university financial center

Offline Industry networking opportunities

Build functional social media platform

Transfer existing customers

Promotion � 

Membership Bonus Plan

Cater to target customers’ interestsGenerate existing customers’ referrals

Travel coupon

Free kindle

Free book

N&B coupon

Fans meeting

Free gym membership

Free sports

games ticket

Fans meeting

Free Las

Vegas Trip

Free family education

classes

Family activities

Place

Potential 19~25 customers' top citiesExisting 19~25 customers' top cities

Focus on West and East Coast cities Middle and north cities have big potential

Social Media Marketing

Mail and email advertising

Cold Call

Young Sales Team