Segments of "the few" can be tremendously profitable niche targets for start-up firms offering unique packages/presentations of financial services products. Historical marketing barriers of segment and household identification combined with the expense of traditional marketing campaigns have been supplanted by precision database results combined with Internet-marketing messages. These new tools are available to small firms and can yield prime borrowing candidates to whom premium-priced products can be sold. The challenge for any company targeting prime credit borrowers is that product must offer a truly superior customer service experience that is flawlessly executed.
Consumer credit offerings delivering that superior experience are positioned to snare zero-risk credit buyers who would otherwise have borrowed from their banks. The banking industry must be alert not only to new competitors offering consumer credit, but to the changing consumer expectation base-lines those firms create.
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