Banks have the opportunity to increase consumer and small business banking profitability by digging deeper into sub-segments to find unmet needs. In this brief webinar, Ric Carey discusses: •Determining your segmentation plan •Consumer and small business segmentation options •Developing an integrated strategy •Designing marketing strategies and tactics for each segment

1. Innovative Strategies to Maximize
Marketing Results
Webinar with Ric Carey
Peak Performance Consulting Group®
512-607-6332
www.peakconsultinggroup.com

2. Welcome…
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Ric Carey
Director
Main: 512-607-6332
Direct: 503-789-8790
ric.carey@ppcgroup.com
 Ric Carey has had a distinguished career in banking and is
known for his work in building deep and profitable customer
relationships through improved consumer and small business
service quality, segmentation and innovative distribution
strategies.
 Most recently he served as Executive Vice President and Head
of Retail Banking for Umpqua Bank, overseeing Umpqua’s
internationally recognized best-in-class banking program. Prior to
that he was SVP and Small Business Segment and Marketing
Manager at Bank One.
 Ric is located in Portland, OR. In addition to supporting client
needs in his areas of expertise, he manages service delivery for
west coast clients.

3. Innovative marketing for results outline
Developing your Segmentation Plan
 The Segmentation Goal
 Internal Analysis
Consumer and Small Business Segmentation Options
 Demographics, Profitability, Life Cycle, Behaviors
Integrating the Segment Strategy throughout the Organization
 Creating and Executing the Value Proposition
Designing the Marketing Strategy and Tactics by Segment
 Targeted and Personalized Marketing
Utilizing Predictive Modeling to maximize your Marketing effort
 Next Product Purchase
 High Value Prospects
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4. The Segmentation Goal
 Segments are sufficient size
 Market demand and market potential can be measured
 Members of the segment are reachable
 Members behavior similar within segment and differ from other segments
 Ease of implementation at local level
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5. Developing your Segmentation Plan
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 Profitability Measures
 Householding efficiency
 Organizational Structure
 Marketing Support
 Client Management Process
 Delivery Channels
 Products, Packaging and Training
 Salesforce expertise and Incentive plans
Internal
analysis

6. Consumer and Small Business Segmentation Plan
Options
Retirement?
Investments?
Credit?
 Demographics
 Behavioral
 Needs based segmentation
 Contribution tiering
 Lifecycle
 Product focus
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7. Sample Small Business Needs Based Segmentation
Plan -- example
Branch
Relationship
Management
Remote
Relationship
Management
Remote
P
R
O
F
I
T
A
B
I
L
I
T
Y
A
High
Value
B
Medium
Value
C Low Value
Delivery Channel Preference
Based on Client Purchasing Preference
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8. Building the Value Proposition
PRODUCT SERVICE DELIVERY COMMUNICATION
Target Segment
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9. Integrating the segment plan into the Value
Proposition
SMALL BUSINESS – BRANCH CUSTOMER - HIGH VALUE
Product Service Delivery Communication
Investment
Services Package
 Sweep
 Brokerage
 Mutual Funds
 Retirement
Plan
Credit Backup
Line
Business DDA
Personal
Investment
Package
Differentiated
Telebanking
Service #
Access to
financial
consultant
Red carpet
branch service
Retention and
cross sell focus
Assigned Branch
Manager with
investment
expertise
All Delivery
Channels made
available
 RM
 Branch
 PC
 Telebanking
Personalized DM
from Branch
Manager
Financial profile
conducted
annually
Phone contact
through Branch
Manager
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10. Next product purchase
model – E mail or text
customer with offer
Promote differentiated
service and benefits
Designing the Marketing Strategy and Tactics by
Segment
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1&2
3-10
Profit
Decile Relationship Manager Banking Center Manager On Line – Mobile
Conduct profile session
needs based selling
Appreciation events
Next product purchase
model – direct mail-
personalized by RM
Promote differentiated
service and benefits
Solicit high value
modeled prospects
Conduct profile session
needs based selling
Next product purchase
model – direct mail-
personalized by
Manager
Promote differentiated
service and benefits
Next product purchase
model – E Mail or text
offer
Model deciles 3 to 10 for
high value potential
Next product purchase
model – direct mail- not
personalized
Promote low cost
delivery options
Migrate to other
channels
Next product purchase
model – direct mail- not
personalized
Promote low cost
delivery options
Model deciles 3 to 10 for
high value potential

11. Utilizing Data Warehouses and Predictive Modeling
to support Segmentation and Marketing Tactics
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Transaction
Accounts
MCIF-MIS
Purchased
Data
Cash flow patterns
Revenue
Purchase patterns
Delivery channel usage
Payables
Industry
Revenue
Ownership
Employees
Location
Products used
Balances / Fees
Profitability
Risk
Other financial products
Preferences
Model providers
Channel Preference
Product Design
Response Models
Next Product Purchase Models
Service Network Configuration
Current Profitability
Future Profit Potential
Client Acquisition Model
Sales Tracking
Segment Performance
Sales Management

12. In Summary
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The recipe for future success:
 Create a focused and targeted segmentation strategy
around customers and prospects
 Create Value Propositions so everyone within the
organization understands the segmentation strategies
 Align and prioritize your sales force with the right
segments
 Utilize predictive modeling to support current marketing
strategies while focusing on the best prospects

13. Thank you!
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Ric Carey
Director
Peak Performance Consulting Group
Main: 512-607-6332
Direct: 503-789-8790
ric.carey@ppcgroup.com
www.ppcgroup.com