Experian, First Manhattan Launch Segmentation and Scoring System

Financial Personalities enables marketers to target prospects using scores that accurately predict a consumer's needs and attitudes towards specific financial products. Along with a Financial Personality(R) score for each consumer, a framework reveals critical aspects of each Financial Personality, such as the importance of rates and fees, discipline with finances, perceived financial security and their use of financial products.

"We had been disappointed with our direct mail campaign performance," said Sue Jump, vice president, Union Bank of California. "Using Financial Personalities to inform both our mail file targeting and creative tailoring changed everything."

For illustration, within the Home Equity Financial Personality framework, a consumer identified as a "Home Equity Enthusiast" considers home equity products as a smart way to finance a variety of purchases such as making home improvements or paying down credit card debt. This is in contrast to another consumer identified as a "Home Equity Averse Skeptic" who avoids home equity debt, is disciplined with finances and tends to not use credit. In addition to targeting, marketers can use these insights to tailor their offers and then execute what has proven to be high-performing marketing campaigns.

Financial Personality scores are based on consumers' needs, attitudes and actual behaviors (data gathered from direct consumer market research) combined with credit and demographic data. Scores are available for credit card, home equity and mortgage, and additional categories will be available in 2007. Financial Personality-enabled prospect acquisition, cross-sell or retention programs can be executed through a variety of channels including branch, direct mail, and telephone.

"Financial Personalities were developed to address the absence of category-specific market segment scoring systems that could meaningfully inform initiatives ranging from line of business strategies to direct marketing campaigns," said David Tetenbaum, managing vice president, FMCG. "Each Financial Personality framework is built at the category level because consumers' needs, attitudes and behaviors vary across categories."

"Faced with ever-increasing competition, financial services companies need to market smartly and make sure every offer sent is targeted to that consumer's needs," said Kerry Williams, president, Experian Information Solutions Group. "Financial Personalities are a great combination of consumer-driven insights, technology and data that help both identify the best prospects and align the products and messages that resonate with those prospects."