Implementing market segmentation strategies in UK personal financial services: Problems and progress

Research output: Contribution to journalArticle

18 Citations (Scopus)

Abstract

Most academic research into segmentation in the financial services industry has focused on alternative analytical approaches and base variables; relatively little attention has been paid to implementation issues, despite managements concerns about the practicality and usefulness of segmentation. Some significant barriers to effective implementation of segmentation have been encountered by major financial services firms. This paper reviews these barriers, and finds that weaknesses in customer data, and the importance of a good fit with the companys distribution channels, can limit the range of segmentation approaches that a company can adopt, while the organisational context, structure and strategic positioning can fail to support effective segmentation. The paper also considers some of the newer entrants to the financial services industry, and finds that they are making progress in all of these areas.

Original languageEnglish
Pages (from-to)45-63
Number of pages19
JournalThe Service Industries Journal
Volume18
Issue number2
DOIs
Publication statusPublished - 1998
Externally publishedYes

Fingerprint

Industry
Financial services
Market segmentation
Segmentation
Financial services industry
Strategic positioning
New entrants
Organizational context
Academic research
Distribution channels
Service firms
Issue management
Usefulness

ASJC Scopus subject areas

  • Management of Technology and Innovation
  • Strategy and Management

Cite this

@article{437660a6cefe4b23b682fd99f9a276fe,
title = "Implementing market segmentation strategies in UK personal financial services: Problems and progress",
abstract = "Most academic research into segmentation in the financial services industry has focused on alternative analytical approaches and base variables; relatively little attention has been paid to implementation issues, despite managements concerns about the practicality and usefulness of segmentation. Some significant barriers to effective implementation of segmentation have been encountered by major financial services firms. This paper reviews these barriers, and finds that weaknesses in customer data, and the importance of a good fit with the companys distribution channels, can limit the range of segmentation approaches that a company can adopt, while the organisational context, structure and strategic positioning can fail to support effective segmentation. The paper also considers some of the newer entrants to the financial services industry, and finds that they are making progress in all of these areas.",
author = "Maureen Meadows and Sally Dibb",
year = "1998",
doi = "10.1080/02642069800000018",
language = "English",
volume = "18",
pages = "45--63",
journal = "Service Industries Journal",
issn = "0264-2069",
publisher = "Taylor & Francis",
number = "2",

}

TY - JOUR

T1 - Implementing market segmentation strategies in UK personal financial services

T2 - Problems and progress

AU - Meadows, Maureen

AU - Dibb, Sally

PY - 1998

Y1 - 1998

N2 - Most academic research into segmentation in the financial services industry has focused on alternative analytical approaches and base variables; relatively little attention has been paid to implementation issues, despite managements concerns about the practicality and usefulness of segmentation. Some significant barriers to effective implementation of segmentation have been encountered by major financial services firms. This paper reviews these barriers, and finds that weaknesses in customer data, and the importance of a good fit with the companys distribution channels, can limit the range of segmentation approaches that a company can adopt, while the organisational context, structure and strategic positioning can fail to support effective segmentation. The paper also considers some of the newer entrants to the financial services industry, and finds that they are making progress in all of these areas.

AB - Most academic research into segmentation in the financial services industry has focused on alternative analytical approaches and base variables; relatively little attention has been paid to implementation issues, despite managements concerns about the practicality and usefulness of segmentation. Some significant barriers to effective implementation of segmentation have been encountered by major financial services firms. This paper reviews these barriers, and finds that weaknesses in customer data, and the importance of a good fit with the companys distribution channels, can limit the range of segmentation approaches that a company can adopt, while the organisational context, structure and strategic positioning can fail to support effective segmentation. The paper also considers some of the newer entrants to the financial services industry, and finds that they are making progress in all of these areas.

U2 - 10.1080/02642069800000018

DO - 10.1080/02642069800000018

M3 - Article

VL - 18

SP - 45

EP - 63

JO - Service Industries Journal

JF - Service Industries Journal

SN - 0264-2069

IS - 2

ER -