Page 3: A retail strategy to make best use of existing branches
In order to create an effective customer service environment, Yorkshire Building Society needed to examine the ways in which it operated. One of the most important issues was to consider how it could make best use of its existing branches to meet the needs of existing and potential customers in the local market. In order to do this it needed to find out what types of customers used its individual branches.
This consisted of identifying:
- the branch's existing customer base
- the position of the branch in relation to the local financial services competitors
- the current performance of the branch in comparison to its perceived potential.
The vital task of profiling customers was carried out through demographic profiling. To create the demographic profile, Yorkshire Building Society used a classifying system that is widely used by providers of financial services for purposes of market research, known as Financial Acorn. Acorn breaks down populations into clearly defined segments. Financial Acorn divides customers into twelve segments.