| |
||
Case 4:
Relational Marketing
Municipal Savings & Loans Institutions (CMACs), Peru
Source: Emma Fernandez, World Savings Banks Institute (WSBI)
Prepared by Aby Carpio, Rani Deshpande, and Jasmina Glisovic-Mezieres
|
||||||||||||||||||||||||||||||||
Relational marketing focused on building long-term relationships with clients.
Takeaway:
Personalized and efficient customer service, matched with suitable and reasonably-priced products, results in client satisfaction.
Results:
Total deposit volumes of all CMACs have registered 30% growth per annum in the last five years.
Case:
The Cajas Municipales de Ahorro y Crédito in Peru (Municipal Savings and Loans Institutions, or CMACs) employ a corporate branding strategy based on relational marketing that is focused on creating long-term relationships with clients. Rather than invest heavily in aggressive, short-term, and costly marketing campaigns, the CMACs focus on providing quality service to their clients. CMACs believe that personalized and efficient service, matched with suitable and reasonably-priced products, will result in client satisfaction, and that satisfied customers will in turn bring in new clients through referrals and word-of-mouth. CMACs follow a simple strategy of targeted marketing to gain clients and quality service to keep them.
CMACs target their promotional campaigns to the youth segment in order to create and maintain long-term relationships. They participate in vocational fairs, concerts, youth congresses, and lectures delivered in educational centers. While CMACs focus on the municipal level, they also participate in regional and national events. At these and other high-traffic venues, the CMACs distribute carefully-crafted printed collateral and merchandise with a message that is consistent with people’s real-life experiences. Because many potential clients are not accustomed to saving with any institution, these materials stress the benefits of saving from an early age. And because CMACs operate in a competitive market, the materials emphasize the benefits of choosing a CMAC (e.g., better client security and attractive interest rates). In addition to marketing campaigns, CMACs also use independent savings promoters who receive commissions and incentives for the sales they generate. Promoters are direct marketers, attracting or soliciting deposits from specific client groups or individuals.
Once they have a client, CMACs ensure his loyalty by providing him responsive service. CMACs properly (and specifically) train their staff members in client service. They also provide incentives to promote customer satisfaction by rewarding productivity through salary or awards (e.g., motorbikes, cellular phones, computers).
CMACs obtain customer feedback through claims-and-complaints slips. These slips garner useful information, allowing the institutions to be continuously in touch with their customers' changing demands and their perceptions regarding the products and services being offered. These efforts have created a strong track record and a strong image for the CMACs in the municipalities they serve. The CMACs further strengthen their image through continuous improvements to the institutions’ physical premises and equipment.
CMACs are always evaluating their programs, institutionalizing those that are successful (e.g., customer service training and marketing events, which are now held regularly). This assessment ensures activities that are effective are sustained, allowing the CMACs to grow and maintain a satisfied customer base.
Through targeted marketing, quality service, and quality control, CMACs have successfully grown their client base. In the last five years, the increase in the volume of deposits has been sustained at 30% annually. As of February 2006, the total value of savings in all CMACs stood at US$743.1 million, of which almost 20% are demand deposits from individuals with an average account balance of US$256.