Banks sell Special Products Aimed at Super Riches Only

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Summary
Recentrly, banks are competitively launching investment products which target to super rich competitorly by product named PB-private banking. For example, Deutshce Investment Trust Management succeed to draw attention of wine dilettanate people who lived in Seoul through selling the premium wines produced in France’s Bordeaux.Banks sell these fund to only PB customer because it is too complicated for ordinary coustomer to understand. They also require subscrivers to invest at least 10 million won.Moreover some overseas equity funds are initially designed for PB customers. For example, there was KB Vietnam Focus fund. PB centers introduce super rich customers to private equity funds which composed of small sized investors.

Opinion
In korea, there are so many products which target to only super rich customers in various areas from orninary products to finance service. It is getting bigger and more competitively. And it’s not critical matter any more. Markets for super rich weren’t damaged even during the ecomomic slump and it was certain attractive factor. Most of all, there are differences about purchase power between ordinary and super rich customers, and it's difficult factor to ingnore. In addition, it can make high level image. We can see those around us in common.

However it has negative image about Pb marketing because people feel relatively deprivation and it is deficit in present marktet situation. In bank there is VIP room and it is compared with general customer who wait a long time.It is not sufficient only interest rate competition among bank competitions, so it is expanding its competition to culture marketing.So it has to strenghten their brand image and offer product differentiation to maintain its customer in long-term point of view. And it needs to develop special products and provide service through keeping quality talet and pursuit customer satisfacton.

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(Reference: The Korea Times / by Yoon Ja-young, staff Reporter / 05-19-2008 19: 13)