Demographic product segmentation in financial services products in Australia and New Zealand

Segmentation and targeting are cited as being a core part of marketing strategy for any organisation. While there has been much written on brand segmentation, product segmentation research has not been common. This paper examines whether different types of customers buy different banking products. A sample of 52,000 Australian households and 12,000 in New Zealand from the Roy Morgan Single Source Survey was utilised to profile users of different banking products on offer. The results indicated that there is some segmentation or partitions evident in a limited number of banking products; for the most part there was little difference in customer profile across comparable products offered by Australian and New Zealand banks.