Internet Customer Acquisition Strategy at Bankinter

BY: Rohit Agarwal 12P099 Amit Agarwalla 12P124 Vishal Agarwal 12P179 Himanshu Arora 12P201

SWOT(1/1)
Strengths Weakness

Multi channel banking and customer interaction Early mover into online banking Had on of the best online banking site Offers unique and innovative services Stored and tracked customer information through CRM system Customer centric approach

Difficult to cross-sell online product High number of non formalized client Changing internet strategy

SWOT(1/2)
Opportunity Threats

Low internet penetration in Spain Internet provides opportunity for diversification

Online customers less loyal Low entry barriers due to easy access to internet Internet bubble burst

E-collaborators
Pros
High traffic sites Hard to duplicate Low acquisition cost Dramatic results

Cons
High non-formalization rates Not very loyal Lack of targeting

Brick and Mortar

Pros
More loyal customers Easier to cross-sell to Less price-oriented

Cons
High cost acquisition High operating costs

Alliance Strategy
Pros Cons

Developed alliance High traffic dominant sites Co-Branding

High upfront annual fee High cost replicate system Staff shortage Pay for each customer acquired Brand was hidden

Recommendation
Profitable segment is 8700 and profitability can be increased by Increasing retention rate of 8700 Increase volume of 8700 Decrease ratio of non-profitable to profitable

THANK YOU