The Impact of Income on Consumer Trends in Financial Services - Market Research Report on Aarkstore Introduction In the recovering Financial Services marketplace new and existing providers are competing to grow their share of an increasingly wary and cynical customer base. Datamonitor has identified ten consumer trends that provide a vital tool for providers wanting to succeed. FS providers need to construct tailored products to meet the unique demands of consumers with different incomes. Features and benefits Actionable strategies for providers of a range of financial services products will help boost customer retention and increase revenue. A global scope, with regional and country level analysis, allows for trend tracking across markets. Highlights Higher income consumers are looking for transparency from their FS providers; they demand to be made aware of all the details and ramifications of a product but do not want to be confused by an array of jargon and small print Lower income consumers are more likely to have lost faith in the security and abilities of the FS community The highest income band will be particularly receptive to ethical investment opportunities as there is little to no sacrifice in performance, which can be a deal breaker for the demanding affluent consumer. Your key questions answered Understand the underlying trends in income and expenditure occurring across the major economies worldwide Discover acquisition opportunities through insight into the role of income in product holding across the major FS markets Understand how to construct tailored product propositions attuned to different income levels Table of Contents : Overview 1 Catalyst 1 Summary 1 Methodology 1
Executive Summary 2 The financial services landscape has changed post-downturn 2 INSIGHT: Higher income consumers have a more sophisticated financial shopping basket 3 TREND: Higher income consumers are more trusting of their financial services provider but also more demanding 3 TREND: Consumers demands and expectations of their FS provider increase with income 3 TREND: General themes consumers look for in an FS provider are broadly similar despite differences in wealth 4 INSIGHT: Income is a dividing factor on comfort and ethicality 4 INSIGHT: Wealthier consumers remain unconvinced by premium banking facilities 4 INSIGHT: Value remains is king, particularly for higher income consumers 4 TREND: The global economic downturn changed views about conspicuous consumption 4 Action points 4 INTRODUCTION: THE IMPORTANCE OF TREND-TRACKING TO FINANCIAL SERVICES 12 The post-recessionary financial services market presents new challenges for the industry 12 Datamonitor is committed to creating a holistic view of the consumer 13 Tracking consumer mega-trends is fundamental to long-term success 14 A trend hierachy 20 The megatrends have different levels of importance for consumers across the globe 20 THE FUTURE DECODED 21 MEGA-TREND SYNOPSIS: Wealth Complexity 21 INSIGHT: Higher income consumers have a more sophisticated financial shopping basket 21 TREND: Higher income consumers are more trusting of their financial services provider but also more demanding 35 TREND: Consumers demands and expectations of their FS provider increase with income 39 TREND: General themes consumers look for in an FS provider are broadly similar despite differences in wealth 45 INSIGHT: Income is a dividing factor on comfort and ethicality 45 INSIGHT: Wealthier consumers remain unconvinced by premium banking facilities 57 INSIGHT: Value remains is king, particularly for higher income consumers 60 TREND: The global economic downturn changed views about conspicuous consumption 63 Action points 68 ACTION POINT: FS institutions must rebuild low income consumers trust in their providers 68 ACTION POINT: Pension funds looking to attract higher income consumers should look to improve their ESG credentials, particularly those looking to the BRIC 69 ACTION POINT: Banks must ensure that they have a honed premium banking offering to entice the affluent consumers currently sitting on the fence 72
FS institutions vary in their provision of current accounts targeted at the affluent 72 ACTION POINT: Insurers must return to their initial offering to entice low income consumers: peace of mind 76 APPENDIX 77 Definitions 90 Methodology 91 Further reading 92 Ask the analyst 92 Datamonitor consulting 93 Disclaimer 93 For some-more information, Great fully visit: http://www.aarkstore.com/reports/The-Impact-of-Income-on-Consumer-Trends-inFinancial-Services-80739.html