How do typically bank in Bangladesh segments their market? Judge the Effectiveness in terms of standard requirements for effective segmentation

 Market segmentation is a common marketing practice that means breaking down a larger target market into smaller, more manageable market segments to improve marketing efficiency, sales and service. Several common segmentation strategies exist. While small banks often service local geographic areas and demographics segmentation is often sensible, banks can often best define market segments based on product benefits when they offer multiple types of products.

Standard Banking

One of the largest common benefit segments offered by a bank is for its standard checking and savings banking products. Many banks promote these basic products on their website home pages. Historically, standard checking and standard savings accounts were sold separately. However, many banks have attempted to bolster relationships with their standard banking customers by developing packages whereby customers get added value by combining a checking and savings account and often better interest rates with automatic checking-to-savings transfers. Banks often target consumers in this segment through traditional media like radio, television, newspapers and magazines.

High-end Savings

High-end savings is typically a step up from the standard checking and savings customer. High-end savings products may include higher dollar value money market and savings accounts, certificates of deposits and other long-term savings products intended to derive great monetary value from customers. These products are sometimes marketed through traditional means, but they are also often marketed to existing standard customers who may have interest in moving up in savings value at some point.

Loans

For many banks, loans are a huge segment of banking operations. Home loans and auto loans make up a significant portion of bank lending, but equity loans, student loans and personal loans are also common. Loan products are typically advertised separately from the bank's other products. Banks may promote home loans through local real estate publications or resources. Auto loan offers make sense in car-related media. Banks also cross promote by marketing loan products to existing banking customers and even offering better rates with bundled products.

Investment

A fast-growing segment in traditional banks is in the investment product sector. Traditionally, individual investors have had to set up separate investment accounts with niche investment banks. With the evolution of the Internet in the early 21st century and many more people managing their own stock, bond and other investments, traditional banks have expanded significantly into this sector. Again, banks can market investment solutions to existing customers with bundled benefits. They can also advertise through local media, but they may deliver more targeted messages through investment-related publications.

Commercial Products

Banks segment customers into two general categories before breaking down those markets into product benefits: consumers and businesses. Some companies focus entirely on consumer products; others do only commercial banking. However, many traditional banks market to both types and offer products in similar areas for businesses because of their normally larger size and scope regarding money management.

Judgment its effectiveness for standard requirements for effective segmentation

Marketing Strategy : Improving marketing effectiveness can be achieved by employing a superior marketing strategy. By positioning the product or brand correctly, the product/brand will be more successful in the market than competitors’ products/brands. Even with the best strategy, marketers must execute their programs properly to achieve extraordinary results.

• Marketing Creative : Even without a change in strategy, better creative can improve results. Without a change in strategy, AFLAC was able to achieve stunning results with its introduction of the Duck (AFLAC) campaign. With the introduction of this new creative concept, the company growth rate soared from 12% prior to the campaign to 28% following it. (See references below, Bang)
• Marketing Execution : By improving how marketers go to market, they can achieve significantly greater results without changing their strategy or their creative execution. At the marketing mix level, marketers can improve their execution by making small changes in any or all of the 4-Ps (Product, Price, Place and Promotion) (Marketing) without making changes to the strategic position or the creative execution marketers can improve their effectiveness and deliver increased revenue. At the program level marketers can improve their effectiveness by managing and executing each of their marketing campaigns better. It's commonly known that consistency of a Marketing Creative strategy across various media (e.g. TV, Radio, Print and Online), not just within each individual media message, can amplify and enhance impact of the overall marketing campaign effort. Additional examples would be improving direct mail through a better call-to-action or editing web site content to improve its organic search results, marketers can improve their marketing effectiveness for each type of program. A growing area of interest within (Marketing Strategy) and Execution are the more recent interaction dynamics of traditional marketing (e.g. TV or Events) with online consumer activity (e.g. Social Media). (See references below, Brand Ecosystems) Not only direct product experience, but also any stimulus provided by traditional marketing, can become a catalyst for a consumer brand "groundswell" online as outlined in the book Groundswell.
• Marketing Infrastructure (also known as Marketing Management) : Improving the business of marketing can lead to significant gains for the company. Management of agencies, budgeting, motivation and coordination of marketing activities can lead to improved competitiveness and improved results. The overall accountability for brand leadership and business results is often reflected in an organization under a title within a (Brand management) department.
• Exogenous Factors : Generally out of the control of marketers, external or exogenous factors also influence how marketers can improve their results. Taking advantage of seasonality, interests or the regulatory environment can help marketers improve their marketing effectiveness.