Improved customer segmentation
Accurate customer segmentation is essential for any business. In recent decades, however, banks have been unable to improve their segmentation strategy, but that is about to change with Lify.
According to a report by Ernst & Young (EY), banks’ traditional segmentation (based on demographics factors alone) is inadequate as it doesn’t yield the insights necessary for comprehensive customer understanding. What is necessary to build actionable strategies, they say, is “insights about behaviors, attitudes, life stages and lifestyle factors”, exactly the type of data that Lify can provide.
As simple as buying anything else online; sign up, log in to the marketplace and select the data you would like to purchase.
Using Lify’s wide availability of data, banking institutions can create new segmentation categories, such as “digital savviness” (by aggregating data on technology use) and “financial savviness” (using data about investments, job role and assets owned).
These simple examples of additional segmentation can yield great insights that can be used to tailor communication strategies, products and services to unique groups. For example, digital savvy customers will be happy to receive communications on their mobile phones and to subscribe for services that allow full online control of their finances.
Deeper customer understanding allows financial institutions to identify the needs and wants of each customer segment, thus helping to tailor the communication strategy and to direct investments into customer experience enhancements.
The result is more satisfied customers, who trust your institution more and are likely to continue using your products and services.