Course overview
The increasing competitiveness of the financial services market means that businesses must manage products for optimum growth and differentiate their product propositions to succeed.
'Product Management and Development for Retail Banks' is to enable participants to keep ahead of the competition, it is important that new products are developed to meet new markets and embrace new technology. A structured approach to developing new products and managing the existing product portfolio is key to a successful strategy.
Summary of course content
- Effectively manage a product portfolio for optimum growth
- Embrace new technology and advances to gain a competitive edge
- Confidently develop a winning product strategy
- Generate increased revenue for your bank
Methodology
As with all Euromoney Training courses the emphasis is very much on the practical and interactive exercises and real life case studies. The course will involve group work, presentations and discussions.
The programme will encourage the attendees to develop the tools to implement change upon returning
to their work place.
Who should attend this training course?
- Product development managers
- Product managers
- Marketing managers
- Heads of marketing
- Research analysts
- Heads of business units
- Strategy personnel
- Heads of Channel
- Distribution managers
Supporting publications
Day 1
Product management
- Key factors when managing products today
- The Product Life Cycle
- Classifying the product portfolio
- Successful product positioning
- Using customer segmentation to identify gaps and opportunities
- Identifying when a product needs to change
- Product management principles
- Tools for increased revenue growth
- Key drivers to growing product revenue
- The tools for effective product management
- Management reporting for ongoing success
- Our partners in growth
- Using customer touch points efficiently to optimise cross sales
- The importance of the end to end process
- The role of customer services and operations
- Getting stakeholder buy-in
- The key role of brand and strategy
- The impact of brand and business strategy on product portfolios
- The organisational positioning of the product management function
Case study 1: Barclaycard vs. HSBC
Compare and contrast two banks¡¦ credit card products to identify positioning, life cycle stages and where there are gaps in the product range. Barclaycard and HSBC have adopted different product management strategies and as such their product portfolios are quite different.
The case study will be followed by a group discussion on the merits of each portfolio and delegates can relate this example to their own work place.
Key learning:
- Ideal product portfolio creation methods for your business
- Identify your products in their life cycle
- The gaps that are in your product range
Case study 2: learning from the non banking world?
It is important to examine product re-positioning in markets outside of financial services. Lucozade (GlaxoSmithkline) is an example of how a product was re-positioned from a health drink to an isotonic
sports drink.
Key learning:
- Develop creative thinking outside of the box
- Look to the consumer for fresh ideas
- Keep your products a step ahead of the competition
Group exercise: identify how a bank can utilise the end to end process to understand and manage their products more effectively.
Delegates will gain insights from all customer touch points including: customer services, operations, marketing and cross sale points.
Day 2
- Effective pricing strategy
- Creating a winning pricing strategy
- Factors influencing price
- The Life Cycle of Pricing
- The impact of brand on the price positioning
- The benefit of segmented pricing
- Use of cross sale products to fund core product price
- How upsell can improve yields
- Pricing controls
- The governance process of pricing changes
- Pricing changes
- Pricing elasticity - increasing price while keeping customers
- The challenges of undertaking market research on price
- How to effectively communicate the value proposition
- The role of communication (internal and external) in the effective management of a price increase
Case study 1: Goldfish price increase
The price of the payment protection product was increased in conjunction with improvements to the product. Customers welcomed the product improvements and were prepared to pay the pricing premium based on additional value.
Key lessons:
- How pricing high can be beneficial to customers in valued products
- Effectively communicating pricing changes
- The importance of all customer facing staff to understand the pricing benefits
New product development
- A process for new product development
- The 5 stages key to success
- The application of key theoretical models in practice
- The 10 rules of product development
- Making the customer the heart of product development
- The role of qualitative and quantitative research
- Customer needs mapping
- Alignment of product development to customer segmentation
- Use of feedback loops to identify new product requirements
- The role of brand
- Assessment of the market and competition
- Collection of market data and industry trends
- Benchmarking and competitive threat
- Role of regulatory/environmental changes trends and risks
- Evaluate market share potential
- Business strategy fit
- The core values of your bank reflected in its products
- The financial rate of return needed to succeed
- Leveraging off similar projects already commenced
Case study 2: innovation in banking
The outstanding success in the evolution of added value transaction accounts in the UK shows the benefits of using purchasing power to develop a customer focused product strategy.
Key learnings
- What innovations from around the world can impact your banks profitability
- Keep new ideas flowing into your product range and keep ahead of the competition
- Innovation is not just about new technology
Day 3
New product development (cont.)
- Design and build your product for results
- Detailed feasibility assessment of all bank functions
- Critical design functions and elements
- Establish project budget
- Risk analysis
- Importance of clear detailed project plan
- Role of stakeholders as product champions
- Implement and monitor for continued success
- Execute product launch (including PR)
- Alert internal communications
- Review performance and customer services
- Monitoring competitor reaction and address accordingly
- The impact of technology
- Embracing new technology to innovate
- Understanding internal systems capability on product delivery
- The advantages and disadvantages of white labelling to expand product ranges
- "RADAR" - A new approach to NPD
- Fast track your product development
- Involve the customer at the heart of product design
Case study 1: Tesco Financial Services
Tesco has successfully diversified from a supermarket into Financial Services using its brand strengths to win new customers and become a significant player in the market. We will explore the product launch strategy and evolution and in particular the product fit with the core Tesco values.
Key lessons:
- Customer needs mapping revealed a sizable market gap
- How customer segmentation generated a new product suite
- Effective evaluation of market share potential
- Role of regulatory/environmental changes created opportunities
- Brand and business strategy must support your product range
Case study 2: Kodak and the impact of new technology
Delegates will identify the potential technological innovations in financials services which provide opportunities in product development and also threats.
Key lessons:
- Swift reaction to change is vital
- The need to embrace new technology to innovate
- Understanding internal systems capability on product delivery
- How to stay ahead of the competition
Group workshop: From product management to development
Delegates work in groups to examine a bank’s product range. The delegates must decide what is the best course of action to increase product revenue for the bank. Options include looking at better management tactics, pricing, repositioning, segmentation and/or developing new products.
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John Clark
John Clark has over 20 years experience within financial services during which time he has specialised in product management and development across both personal and business sectors. His extensive retail banking product experience covers the breadth of current accounts, loans, savings credit cards and insurances.
As a product strategy consultant John Clark has advised some of the leading Financial Service organisations in the world including Barclays, Lloyds TSB, Royal Bank of Scotland and the Commonwealth Bank of Australia. John has also headed up product management and development functions within NatWest Bank, Goldfish and Lloyds TSB. His achievements include pioneering the development of creditor products, leading the development and launch of banking and insurance products under the Goldfish brand and developing the first itemised money transmission tariff for small businesses.
John likes to take the theories behind product management and development and apply an element of pragmatism from his own experience. He also likes to look outside of financial services when using practical examples of product management and development. It is this outward looking approach which helps to generate thought provoking ideas and discussion from the delegates to help transform their business and giving them the cutting edge in the work place.
Interested in holding this course in-house? Please fill out your details and a member of our team will be in touch with more information.
This course has now expired please email us to find out when the course will next be running.