Financial Sector Research
Market Segmentation
Segmentation is a means of helping you understand more fully the behaviour, attitudes and needs of customers, as well as to identify, size and understand how different segments operate in the market.
Segmentation will enhance your ability to:
- Prioritise customers with the best opportunity for profitable growth
- Develop more focused and differentiated propositions
- Tailor sales and marketing messages more accurately
- Align all aspects of service and support
- Identify new opportunities and future high growth areas
Case study Protection IFA Segmentation Study
Our client needed to develop further its understanding of the IFA distribution channel for individual protection products. To achieve this, ORC International was commissioned to undertake an attitudinal and needs based segmentation study which would identify and prioritise the initiatives required to accelerate growth in this sector.
To meet this requirement we conducted a two-stage research exercise:
- Qualitative research to identify initial "attractive" segments and to scope the subsequent quantitative research questionnaire and sample frame
- Quantitative research consisting of 20-minute long telephone interviews with the target sample of 500 intermediaries.
At the analysis stage, factor analysis and cluster analysis were used to identify segments based on intermediary attitudes and behaviour. Discriminate analysis was then applied to determine the relative importance of key decision criteria within each cluster/segment.
The research identified seven distinct segments within the market covering both general IFAs and mortgage brokers. The segments were defined by their attitude to service and the market generally, their use of IT systems and how they focused their underlying business models and business placing behaviours.
This segmentation is now being implemented within the organisation to drive product and service propositions.
Case study Mass affluent attitudes to investments
Our client wished to develop a better understanding of its existing client base in order to accurately target future marketing communications.
To achieve this we conducted in-depth interviews with a cross-section of the client’s customer base, focusing on the identification of key segments based on different financial needs and motivations.
Through the research we were able to identify keys drivers of product purchase and the higher order functional and emotional benefits of holding investment products. Techniques used during the research included laddering and the use of a lifecycle product purchase diary.
For further information, please contact Marketing on 020 7675 1151 or e-mail website@orc.co.uk
