Table of Contents

Targeting demographic customer segments in Asia-Pacific wealth management - This brief will highlight the attractive customer segments to focus on in APAC.

Product Code: bffs0583

Publication Date: 26-Dec-2007

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Overview

Introduction

The brief identifies business opportunities to target new money clients, assessing the revenue potential and attractiveness of various customer segments for wealth managers to target with their services.

Scope

· This brief analyzes the results from the Datamonitor Asia-Pacific Wealth Managers Survey 2007

· Primary interviews were conducted with leading Asia-Pacific wealth managers to provide valuable insights to trends

Highlights

Business owners were one of the most attractive customer segments to target. The Datamonitor Asia-Pacific Wealth Managers Survey found that 80% of Asia-Pacific banks consider business owners/entrepreneurs to have a significant potential for revenue and as a result many target these customers with their services

Retirees were ranked as one of the most attractive customer segments for wealth managers to target. 74% of Asia-Pacific banks believe that retirees hold significant revenue potential and as a result a majority of banks feel that these clients are an attractive market to focus.

Reasons to Purchase

· Wealth manager data on revenue potential and attractiveness of customer segments

· Customer segment profiles including products and services of interest

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DATAMONITOR VIEW	1
CATALYST	1
SUMMARY	1
EXECUTIVE SUMMARY	2
Business owners/entrepreneurs and retirees are the most attractive customer segments for wealth managers target	2
Muslim and Non-Resident Indians are widely considered to be niche customer segments	3
ANALYSIS	5
Business owners and retirees hold the most revenue potential	5
80% of Asia-Pacific wealth managers view business owners and entrepreneurs as having significant potential for revenues	5
Almost three-quarters of Asia-Pacific wealth managers view retirees as holding significant revenue potential	7
Expatriates also hold revenue potential because they are considered to hold high average wealth	8
Muslims and Non-Resident Indians are considered to be niche segments	9
Due to their potential for revenues, wealth managers think entrepreneurs and retirees are an attractive segment to focus on	11
More than 80% of wealth managers find business owners/entrepreneurs and retirees significantly attractive customer segments to focus on	12
And nearly three quarters think women as a customer group hold potential	14
Wealth managers must remember that each customer segment is unique	16
Business owners/entrepreneurs are receptive to innovative products, actively manage their portfolio and have a high demand for lending products	16
Retirees take an active role in managing their portfolio, demand frequent communication, have an interest in estate planning/trust services and capital protected investments	18
Expatriates are receptive to innovative products and have an interest in online services, international services and tax advice	20
Women take an active role managing their portfolio, demand frequent interaction and are interested in online functionality	22
Data	25
APPENDIX	30
Definitions	30
Expatriates	30
Inpatriates	30
Non-Resident Indians (NRIs)	30
Methodology	30
Further reading	30
Ask the analyst	30
Datamonitor consulting	31
Disclaimer	31
List of Tables
Table 1: Ranking of revenue potential across various wealth management customer segments	25
Table 2: Ranking of the attractiveness to focus on a specific customer segment with management services	25
Table 3: Ranking of receptiveness to innovative products from various customer segments	26
Table 4: Ranking of desire from various customer segments take an active role in managing their portfolio and making investment decisions	26
Table 5: Ranking of demand from various customer segments for frequent communication and interaction from their wealth manager	27
Table 6: Ranking of demand from various customer segments for online functionality from their wealth manager	27
Table 7: Ranking of demand from various customer segments for international services such as offshore investments or overseas property from their wealth manager	28
Table 8: Ranking from various customer segments for lending products from their wealth manager	28
Table 9: Ranking of demand from various customer segments for tax advice from their wealth manager	29
Table 10: Ranking of demand from various customer segments for estate planning and trust services from their wealth manager	29
List of Figures
Figure 1: Business owners/entrepreneurs have a diverse range of interests and demands from their wealth manager	2
Figure 2: Retirees mostly demand regular communication and interaction with wealth managers	3
Figure 3: Business owners/entrepreneurs are the most lucrative customer segment for generating wealth management revenue	5
Figure 4: Business owners/ entrepreneurs are considered the most lucrative customer segment	6
Figure 5: A majority of respondents believe that retirees hold significant revenue potential for Asia-Pacific banks	7
Figure 6: A large proportion of Asia-Pacific banks believe that expatriates hold large revenue potential	8
Figure 7: NRIs and Muslims are considered niche markets by Asia-Pacific wealth managers	10
Figure 8: Business owners/entrepreneurs are the most attractive customer segment for wealth managers to focus on	11
Figure 9: Business owners/entrepreneurs are viewed as a highly attractive customer segment to focus on	13
Figure 10: Over half the respondents view retirees as a 'very' attractive market to focus on	14
Figure 11: Women offer Asia-Pacific wealth managers an attractive market to focus on	15
Figure 12: Business owners/entrepreneurs have a diverse range of interests and demands from their wealth manager	17
Figure 13: Retirees mostly demand regular communication and interaction with wealth managers	19
Figure 14: Expatriates have strong interests in online services, international services and tax advice	21
Figure 15: Women are interested in online services and take an active role managing their investments	23

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