How banks can identify the optimal audiences for direct-mail campaigns

Determining the opportunity and creating client treatment groups

Bank needs to identify the optimal audience for direct-mail campaign

CHALLENGE: Bank wants to target best clients for a cross-sell campaign

The bank knew what financial products and balances its clients held with them, but did not have a way to identify which clients had the most potential for growth, resulting
in a sub-optimal direct-mail target list

The firm wanted to:

  • Understand the total financial opportunity held by its clients

  • Determine its campaign target audience by identifying clients with significant asset growth potential

SOLUTION: The bank can utilize WealthComplete® household total assets estimates to gauge opportunity and identify high potential clients

By using WealthComplete, the bank can:

  • GAUGE the total opportunity and its share of wallet for its entire customer base

  • SEGMENT its customer base and identify high growth potential “Develop” clients to target for its campaign. “Develop” households have a less than average balance at the bank, but likely have high total investable assets

RESULTS: Bank uses total assets estimates to segment customer base and select high opportunity customers for its direct-mail campaign

The bank DEVELOPED TREATMENT GROUPS based on clients’ assets at the firm and total estimated assets. 

By capturing just a percent of the Develop segment’s opportunity via a direct-mail cross-sell campaign, the bank can reasonably expect to generate a significant amount of assets:

  • 5% of the total opportunity would increase AUM by $2,124,758,549
  • 10% of the total opportunity would increase AUM by $4,249,517,097
  • 20% of the total opportunity would increase AUM by $8,499,034,194

Results may vary based on actual data and situation.

 
 
 
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