Introduction to financial services marketing
Marketing is an approach to business which focuses on improving business performance by satisfying customer needs. As such, it is naturally externally focused. However, marketing cannot just focus on consumers; good marketers must also be aware of and understand the activities of their competitors. To deliver what the customer wants and do so more effectively than the competition also requires an understanding of what the organization itself is good at; the resources and capabilities it possesses and the way in which they can be deployed to satisfy customers. While, in very general terms, marketing processes and activities (such as environmental analysis, strategy and planning, advertising, branding, product development, channel management, etc.) are relevant to all organizations, we should still note that services in general and financial services in particular are rather different from many other physical goods. As a consequence, the focus of attention in the marketing process will be different, as will the implementation of marketing activities. The kind of advertising that works for Coca Cola is probably not right for
By the end of this chapter you will be able to: ● identify how and why services in general and financial services in particular
are different from goods ● understand the implications of these differences for marketing practice ● understand the way in which services can be classified and the position of
different types of financial services within this classification.