WellsFargo Consumer Banking Services
WellsFargo Consumer Banking Services
Market segmentation is a marketing practice of breaking down a wider target market into smaller and manageable market segments to better marketing efficiency (Wedel & Kamakura, 2012). Wells Fargo Bank will be introducing the e-banking method in the market. Any marketing sector for a product will be the non-consumers, either the customers of other banks or young consumers. Another part of the bank’s market are the high-value customers loyal clients of the bank that have been using the old methods of banking. New consumers can be reached through advertisement on social media and televisions, and the high-value customers will be coming to the bank’s branches. Most youths would want to associate with the latest products, so they will find it prestigious to subscribe to the e-banking system. Other bank’s consumers will be happy to get into a system that is more convenient and reliable hence will find it easy to abandon their banks for the e-banking at Wells Fargo.
Market Segmentation getting new customers will be essential for the bank as it will increase the revenue for the bank (Bodnaruk, Massa & Simonov, 2009). Attracting new subscribers for the e-banking will require more efforts but it will be of more profit to the bank as the bank will be widening its customer’s capacity. The new consumer is sizable since college students are in large numbers. The customers will be growing since students remove their courses on a yearly basis to search for jobs. Accessibility to students is easy as long as the bank gets a permission to visit the schools. The youths are a potential future customer when they are in the job market as they clear their courses. The teens will also help the bank to grow in their customer coverage and maximize their profits shortly.
The Market Strategy for the target market strategy for the reaching the youths in educational institutions is the concentrated marketing strategy (Principles of Marketing, 2015). Youths are collectively available at the educational institutions. Most of the youths that are prospective customers of Wells Fargo will be in either colleges or universities. After colleges and universities, most students prefer searching for jobs to be self-independent. For the bank to easily reach the youths, it will be proper for the bank to send their sales and marketing teams to the institutions after obtaining permission from the administrations. The sales team from the bank will be in a position to gather the interested youths and market their product while explaining the benefits of subscribing to the e-banking method. Gathering the youths, which mostly are in their final year of studies and are anticipating going out to the job markets will give the bank a concentrated target therefore, concentrated market strategy will be useful.
Positioning a Perceptual Map from a general way of thinking, most youths prefer classy things or new products in the market as they are in the stage where they care much about their identity. Youths that will be leaving campuses and colleges will be dreaming of getting good jobs and transacting with the best banks. Wells Fargo already has a good reputation as one of the best banks around the world therefore, it will be easy to attract youths from educational institutions to subscribe to their e-banking services as it will be classy. E-banking is one of the latest methods in the banking industry therefore, it will attract many youths who like spending much of their time on the internet. The e-banking services will then become one of the places that youths visit during their free times. The youths will see online banking as a banking made easier just as online learning has made learning much easier as most of the materials are on the internet.
Bodnaruk,A., Massa, M., & Simonov, A. (2009). Investment banks as insidersand the market for corporate control. Review of Financial Studies,hhp043.
Principlesof Marketing (2015). Washington, D.C.: The Saylor Foundation
Wedel,M., & Kamakura, W. A. (2012). Market segmentation: Conceptual andmethodological foundations (Vol. 8). Springer Science & BusinessMedia.