Using World Café and drama to explore older people's experience of financial products and services

This paper examines a novel strategy to get older people talking about their financial needs and equity release. A questionnaire was used to identify issues which were then written into a drama on equity release products and bank accounts. This dramatic representation of the issues preceded discussion among older people at a World Café event – a format that involves a series of circulating focus groups where concepts can be discussed in depth and recorded. The drama offered an initial stimulus of alternative and opposing opinions and facilitated conversation about financial products and services which are often considered uninteresting and private. The aim was to record ideas in the discussions that would benefit the production and design of innovative financial products that would meet the needs of people over 50 years. Further, as a technique, the combination of drama, used to stimulate discussion, and the World Café format, to obtain and record consumer opinions, arguably offers innovative options to researchers in other sectors of product or service consumption.     

Retailing to the “grey pound”: Understanding the food shopping habits and preferences of consumers over 50 in Scotland

The number of older people is growing globally and therefore there is an implication for providing products and services to facilitate access to nutritious food, considered fundamental for maintaining health and independence. Historically, older consumers have been unattractive to marketers, however improved finances and lifestyles indicate the “grey pound” has the potential to become lucrative. This exploratory research seeks to identify the current expectation of Scottish older consumers in relation to the products and services available in the supermarket and food retailers. A questionnaire was distributed to participants aged over 50 years in Scotland to voice the opinion of the older consumer in relation to shopping experience and availability of product. The results support previous research indicating the improved lifestyles of older consumers, demonstrating that previous perceptions of older people as impoverished and immobile are not representative of this group. This study contributes to the demand for more information on older consumers׳ food shopping habits and preference in Scotland. It attempts to provide useful recommendations for supermarkets and food retailers in fulfilling the needs of this rising consumer segment. This research concludes that supermarkets could improve access to both products and services to meet the demand from this growing segment of society, through better understanding of their requirements in terms of customer service, shopping experience, product size, price, access and mobility.     

The behavioural sequence of the financial services industry in Taiwan: Service quality,relationship quality and behavioural loyalty

This study develops and empirically tests a model for examination of the relations among service quality scales, relationship bonding tactics, customer satisfaction, trust and commitment, and customer behavioural loyalty in a relationship marketing system. This paper aims to test the relationship between perceived service quality satisfaction and relationship intentions, or, in other words, whether or not consumers will consider building long-term relationships with service providers on the basis of a single instance of perceived service quality. Based on three groups of samples from XYZ bank, one of the most famous banks providing merchant banking services in Taiwan, the findings suggest that financial products with different product attributes need different kinds and levels of service and relationship investment. The findings also suggest that there does exist a positive relationship between service quality satisfaction and perceived relationship investment.     

Key influencers and inhibitors on adoption of the Internet for banking

The focus on new technologies in service situations is growing and is of particular importance in financial services contexts. It is argued that there is mutuality of benefit for both bank and customer through the adoption of self-service technologies (SSTs), of which e-banking is but one example. While the economic imperative for banks’ adoption of e-banking solutions is clear, the value proposition for the customer can be less evident. It is proposed that the value proposition on offer through e-banking could be better conveyed to customers were banks to have a greater understanding of the appropriateness of the on-line medium for products as they varied according to complexity level. This paper reports on a study which examined customer-stated propensity to purchase financial products on-line at varying levels of complexity. Findings underline the importance for banks to achieve a customer-oriented balance between face-to-face relationship-managed activity and online enablement and to understand now this balance varies according to customer and complexity of product. Strategic marketing implications for the case bank are discussed.     

Elderly consumers and their food store experiences

The population of the world is ageing and the number of people aged 60+years in the United Kingdom (UK) and Ireland is increasing. Advancing age brings about changes in consumers needs, wants and ability. One need which is continuous, regardless of age is the need for food. For some consumers age-associated changes can limit their access to food, thus compromising their nutrition and health. As a consequence there is a real need to provide older consumers with a more supportive environment by providing adequate opportunities to access a range of affordable food products. Access to food involves a process which includes the provision of adequate retail facilities within easy access to home, the selection and opportunity to purchase products, having the financial means to cover all the costs incurred and be able to prepare and consume the food. It is when access is restricted or limited that food provision becomes an issue of consumer disadvantage and warrants investigation. This is not the case for all consumer segments of the population, but one group proven to be affected are older consumers. The aim of this research was to determine the behaviour and experience of older consumers in Northern Ireland (aged 60+) during the food procurement process and to make some recommendations to minimise older consumer detriment.Data collection involved four focus groups with older consumers aged over 60. Each focus group consisted of eight to ten adults and was carried out in a familiar social setting. The qualitative findings are supported by preliminary results from a consumer questionnaire (n=791), which documents and explores quantitatively the experiences described in the focus groups. The consumer questionnaire was analysed using the Statistical Package for Social Science (SPSS) version 15.Both the qualitative and quantitative results have identified shopping patterns and motivations fuelling purchase decisions among this age group, and show that older people face a range of positive and negative experiences when accessing food. The majority of older consumers in Northern Ireland shop on a weekly basis in one of the UK multiple food retailers. Negative factors identified by this age group include a dependence on others in order to physically access food shops (35%) and also 35% face in-store difficulties such as store size and changing layout. Positive factors associated with food shopping include friendly and helpful staff and the provision of additional facilities; e.g. a post office or chemist. Whilst it is recognised that older consumers are not a homogeneous grouping, for the purpose of this paper they are considered as one group and recommendations are made to improve the food shopping experience of older consumers. Practical guidance has been proposed for food retailers and Government policy makers in an attempt to overcome the problems and limitations that restrict food access for this consumer group, e.g. by proving additional in-store assistance, minimising multi-purchase promotions and improving product labelling.     

Banks’ unfairness and the vulnerability of low-income unbanked consumers

This paper’s objective was to explore low-income unbanked consumers’ perceptions of bank fairness and the way these perceptions were linked to consumer experiences of vulnerability. Qualitative data were used to analyse low-income consumers’ perceptions about banks’ services and communications. The study finds that although consumers’ financial inclusion is partially hindered by their personal circumstances, the perceived unfair treatment by banks has an even more negative impact on their financial inclusion. Low-income unbanked individuals report banks avoiding them, discriminating against them and impeding their financial inclusion. Banks’ perceived unfairness towards low-income consumers leads those consumers to experience vulnerability in numerous ways. Finally, we provide public policy implications for low-income consumers’ well-being and financial inclusion and to assist them in mitigating their vulnerability.     

Inclusive apparel shopping experiences for older consumers in China: product attributes and retail environment

ABSTRACT

The study explored apparel shopping experiences of older Chinese consumers, which integrate apparel product and retail environment aspects from an inclusive strategy perspective. Research questions include: What factors contribute to older Chinese consumers’ satisfaction and dissatisfaction? What are the major implications of older consumers’ (dis)satisfying shopping experience? What role can fashion practitioners play to make the retail environment and apparel products more accessible to the aging segment? Critical Incident techniques were used for data collection at a community park in Beijing. A total of 151 usable critical incidents from 84 older Chinese informants (55 years and older) were included in the data analysis. Content analysis with deductive qualitative data analysis method was used. Findings suggest that the older Chinese consumers assess their shopping experiences largely based on shopping outcome achieved (product purchased). This is in contrast to the movement toward more experiential focus in the developed markets in the recent decades. A significant number of tangible product attributes (including design/styling, comfortability/fit, and material) and intangible attributes (such as price and product assortment) contributed to the older Chinese informants’ satisfying or dissatisfying shopping experience. Aspects related to retail environment, including retail atmospherics and service quality were also important, but to a lesser extent than product attributes. This study represents an early attempt to explore how the tangible and intangible aspects of product attributes and retail environment contribute to the aging Chinese consumer’s shopping experience. Findings of the Chinese older consumers’ utilitarian, rather than experiential focus in their shopping experience evaluation provide insights on this market segment and valuable implications are developed.     

Competing Online: Studying Consumer Choice Drivers for Online Financial Services

ABSTRACT

Given the rapid increase in the consumer use of online services and the increase in competition between firms that compete online, firms are faced with a crucial challenge. Having invested significant resources in transitioning consumers from using offline services to using online services, they now need to understand what drives consumers to choose between competing online services. Our study seeks an exploratory answer to the above challenge. Specifically, we consider, “what role do factors that drive consumers into using online services play in assisting firms better compete in the online space?” This paper explores the above question by quantifying the value that consumers of an online financial service place on having access to in-depth product information, an affordable online service, an easy to use online service, access to offline capabilities, and available marketing promotions. The results reported in this paper are based on a web-based discrete choice experiment in which 2,209 consumers were asked to compare various online financial service offerings, differing from each other in terms of the relative availability of our critical factors. The results demonstrate that consumer preferences (relative utilities) for various factors of an online financial service are different. Our results enable practicing managers to understand the factors that drive consumer choice when faced with competing online services. We believe that these results have both managerial and research implications for design, management and operations strategy formulation for online services.     

Stakeholder Conceptions of Later-Life Consumer Vulnerability in the Financial Services Industry: Beyond Financial Capability?

When the newly re-constituted UK financial services regulator–the Financial Conduct Authority–was launched in 2013, it promised to adopt a new approach to its “consumer protection” objectives. This shift included articulating a new conception of consumer vulnerability, beyond narrow, individualistic, conceptions of vulnerability based on (limited) financial capability, towards a broader conception which takes account of the connection between individual circumstances, situations, and market factors in causing or exacerbating manifestations of consumer vulnerability. Drawing on new empirical research with later-life financial services stakeholders and consumers, this article examines the extent to which equity release stakeholder perceptions of consumer vulnerability align to this new regulatory philosophy, and to the realities of consumer experiences. Our findings indicate that, in contrast to the FCA’s new, broader understanding of consumer vulnerability, the stakeholders in our study tended to understand vulnerability through a narrower lens, focusing predominantly on “information vulnerability,” or on whether or not the consumer “knows what they are doing.” This conception supports the assumption that providing financial advice is sufficient intervention to ensure good consumer outcomes. This assumption is also at odds with our earlier consumer study findings, which revealed a much wider set of vulnerabilities amongst equity release consumers. We reflect on the implications of these findings for the development of the later-life financial services industry, in ways that can more appropriately serve the needs of this consumer population.     

Consumer overindebtedness: a review of the quality of money advice services in Scotland

Levels of consumer borrowing and debt in the UK and globally continue to rise. Credit makes a vital contribution to the success of the UK economy by driving economic activity and allowing consumers flexibility in how they choose to access the marketplace and manage their finances. Although most consumers manage their borrowing effectively, for a minority, the ease of access to credit results in overindebtedness. As a consequence, the need for money advice is prevalent. In the UK in recent years, services have been developed to assist consumers in financial difficulty. In Scotland, additional funding has been made available to enable further service developments in local government or voluntary sector provision. This paper reviews the literature on consumer overindebtedness, the development of money advice services and discusses the quality of these services in Scotland. It is likely to be of interest in other countries where consumer overindebtedness is rising and where money advice services are being developed to assist those experiencing problems. The review found that the rising levels of overindebtedness justify the case for developing money advice services but that there are many quality issues which require to be managed. Implications for the money advice profession were identified together with suggestions for the development of services in other countries.     

Vulnerability of the unbanked: evidence from a developing country

Financial exclusion is an apparent phenomenon globally, the majority of people without bank accounts living in the developing countries. Those who lack access to financial services could experience vulnerability. Therefore, the purpose of this study was to unfold the vulnerability of the low‐income unbanked consumers in a Pakistani context. Qualitative data were gathered from low‐income unbanked consumers through in‐depth interviews. The findings suggest that unbanked consumers are vulnerable in many ways. The participants faced several negative consequences due to their financial exclusion, which resulted into their personal, economic and social detriment. Based on our study findings, we provide managerial and public policy implications for the well‐being of the low‐income unbanked consumers. Lastly, study limitations and future study guidelines are discussed.     

Financial literacy education and behaviour unhinged: combating bias and poor product design

The growth of products available in the consumer financial market has provided more choice and formal control over household financial decisions than ever before. Financial literacy education programs are generally assumed to improve consumer behaviour in relation to financial products and services. However, there is scant evidence that demonstrates the causal link between education, literacy and behaviour. Through the use of a sample study, we show that the actions of individuals who are financially literate do not necessarily mean they will demonstrate good financial behaviour. We propose that in order to improve the financial behaviour of consumers, two critical areas need to be addressed. Firstly, the objectives of financial literacy programs should be not only to educate consumers about financial markets and products but highlight to individuals the psychological biases and limitations that they as humans cannot easily avoid. Secondly, the regulation of financial products sold to consumers needs alteration to meet the aim of protecting retail consumers from complex financial products that are confusing, ambiguous and inappropriate. We propose regulation and redesign of product information offerings using techniques employed in ecological interface design models to derive a suitability test for consumer financial products.     

品牌资产视角下的银行创新型服务产品策略研究

面对复杂多变的市场竞争环境,银行业需要持续创新服务产品来满足消费需求。然而,品牌资产管理瓶颈会极大地削弱银行创新型产品的市场竞争力。本文基于品牌资产理论,对银行创新型服务产品的市场竞争优势进行分析,归纳银行创新型服务产品在品牌资产管理中存在的问题,并提出品牌资产视角下的提升银行创新型服务产品竞争力的对策,旨在为银行业推进金融产品创新和品牌资产管理以提升品牌竞争优势提供研究借鉴。     

Experience,change and vulnerability: consumer education for older people revisited

Everyday consumer transactions have the same potential for unexpected consequence whatever the age of the consumers involved. Young and old alike can find that products and services fail to live up to performance claims and that they are left with problems not easily resolved, or costs that are difficult to recover. While not overlooking consumer heterogeneity – especially on the basis of age – older consumers are arguably distinguishable in terms of the social and financial context in which they make decisions and attempt to redress problems. In 1988, attention was drawn to the need for consumer education to look beyond generic objectives to the specific situation of older people and their transactions. More than a decade later, in an allegedly consumer‐oriented society, the issue is revisited here to assess the argument's current relevance. Despite the increased availability of information for decisions and consumer protection, difficulties persist in the way information is presented or accessed. Chameleon‐like, old problems become manifest in new unfamiliar ways and invalidate experience. Consumer education today is as important as it was in 1988. Arguably, technological change means that the need for a better understanding of dangers, rights and redress procedures is greater than ever and the needs of older people in increasingly complex private and public sector transaction environments are all the more pressing. However, a fundamental revision of the way we approach the design of products, services and environments is needed to improve prospects for older consumers.     

Towards Shared Social Responsibility: A Study of Consumers’ Willingness to Donate Micro-Insurances when Taking Out Their Own Insurance

In recent years, the concepts of charity and development aid have changed significantly. Present concepts combine direct money transfer with co-production, knowledge sharing and the development of products and services designed for the need of developing and transition economies. The concept of micro-financing is a financial service which has proven to allow for entrepreneurs in the respective countries to start up their businesses. A relatively new financial product for these countries is micro-insurance. This article deals with the question whether consumers in the Netherlands are willing to donate micro-insurances and which factors influence this willingness to contribute to the non-profit micro-insurance approach of an insurance company. The data were collected with questionnaires among a sample of the Dutch population (N = 504). The data have been processed in a one-way between-groups ANOVA, a paired sample t test and an ordinal regression analysis. The results show that approximately half of the Dutch consumers are willing to pay an additional amount on their insurance premium for the donation of micro-insurances. The amount of the insurance premium did, however, not affect the willingness to donate (WTD). If consumers could choose the beneficiary less people are willing to donate, yet those people are willing to donate more money. In conclusion, there is readiness among consumers to contribute to micro-insurance via an insurance company that assists in setting up micro-insurance projects. This indicates a possible role for companies to act as an intermediary between philanthropic acts and consumers.     

The stakeholder product brand and decision making in retail financial services

Stakeholder products were introduced by the UK Government to help assist decision making in retail financial services. Such products are targeted particularly at low- to middle-income consumers and those in a position of vulnerability/weakness in personal finance markets due to low expertise and familiarity and a lack of interest and involvement. The current study offers a detailed investigation into whether the stakeholder policy initiative is likely to appeal to the specified target market and, hence, help the Government fulfil its objectives. A sample of 1002 consumers is employed in a quantitative study. Findings show that the stakeholder product brand (SPB) enjoys a relatively high level of general acceptance, but that it does not resonate particularly with the target market. The SPB is likely to be recognized as useful in aiding decision making by high-involvement consumers, as well as those consumers who are more familiar with financial services. Those who suffer from the illusion of expertise have marginally less positive attitudes towards the stakeholder brand when compared with other expertise groups. The data are indicative of few meaningful relationships between demographic variables and attitudes towards stakeholder products. Policy implications are highlighted.     

Effects of service setting and other consumers’ age on the service perceptions of young consumers

Services are often delivered in settings where many consumers are present at the same time, yet the issue of how other consumers affect service perceptions has received little attention. We study young adults’ response to fellow consumers who are middle-aged and old, testing predictions based on recent research suggesting that stereotypes are context dependent, and that stereotypes of older adults vary depending on the person attributes considered. Varying the age of the other consumers and service settings we find that the presence of older consumers affects young adults’ attitude to the service as well as their patronage intentions. Young consumers’ attitude to the service deteriorated in the presence of older consumers for services requiring physical attributes, but this was less so for services requiring personal expressive attributes.     

Neue Finanztechnologien — Bankenmarkt in Bewegung

Digitalisation opens new channels for financial transactions. Crowdlending and Digital Advice offer additional opportunities for customers to manage their assets. In the banking market, “FinTechs” are the most notable example of what Schumpeter described as “creative destruction”. They could threaten the existence of established banks. Therefore the banks should use the FinTechs as a testing laboratory for customer behavior and testing ground for a more modern marketing policy. This environment gives rise to concerns that there may develop an unregulated area of shadow banks. But it should be considered that a level playing field has to be ensured and that innovative processes and products are not stalled. A potential advantage of Digital Advice is that consumers can have the possibility to access the relevant information they need to make their financial decisions. Consumers, in turn, are only able to benefit from this advantage if competition between financial service providers leads to a supply of clear and comprehensible information about financial products and an appropriate degree of data security. The rise of Big Data analyses in retail banking allows a more precise estimation of creditworthiness risk as well as a consumer’s willingness-to-pay, propensity to switch and responsiveness to marketing offers. This not only impacts on competition, it represents major challenges for policymakers, authorities and consumers alike.     

泉州地区商业银行养老金融服务创新途径——基于服务创新四维度的视角分析

近年来,我国市场经济的发展与人口老龄化的问题之间的矛盾愈发明显,未富先老甚至已经成为当前我国老龄化问题的特征。因此,从市场经济发展的趋势来看,由金融机构主导来推出适合老年人养老的金融服务和产品不仅是市场发展的需要,也是金融机构未来发展的重要机遇。本文以泉州地区商业银行的养老金融服务为例,结合其发展现状和存在的问题,尝试从养老服务需求的视角,利用服务创新四维度模型的方法探讨泉州地区商业银行的老年金融服务创新的路径是:以需求作为动力,转变经营理念;加强客户关系管理,提升客户参与度“客户界面”;完善组织架构的设计,以匹配产品和服务的创新;强化信息技术的运用,实现供求的有效衔接。     

Marketing of specialised products and services to consumers with disabilities: exploring the role of advertising,country-of-origin,and e-commerce

This article contains an exploration of the needs, preferences and concerns of consumers with disabilities (CwD) considering their acquisition of specialised products and services. An exploratory survey among 215 Italian citizens was carried out, all of whom are dealing with some type of disability. Quantitative and qualitative data were used to generate insight into CwD buying preferences and the difficulties associated with finding what they want/need. The results are presented under four main research issues: the consumers’ difficulty in finding the right product/service provider, the perceived degree of advertisement for products/services, the importance of the origin of the product/service provider, and finally, CwD willingness to buy products online. A number of practical implications and suggestions to improve marketing of specialised products and services to this target group are provided, which may help businesses to improve their economic success. The findings of this research may also help the CwD to improve their quality of life.