A Leading Multi-Line Financial Services Firm Asked Stax To Examine Competitor Cross-Selling and Up-Selling Strategies

The Situation
  • Large multi-line financial services firm looking to grow revenues, lower acquisition costs, and strengthen customer relationships through better cross-selling and up-selling.

  • Stax assignment: Determine how competitors have been successful in cross-selling financial products and services, especially full-service advisory / wealth management.

The Assignment
  • We conducted in-depth interviews with 45 marketing, sales, and operational executives at nine multi-line financial services firms, and examined strategies for cross-selling and up-selling financial products and services.

The Benefits
  • Based on our analysis and presentation to the Senior Leadership Team, management determined that because they did not have a suite of strong “gateway products,” it made sense to reduce emphasis on their full-service advisory business.

The Finding
  • Gateway/intermediary products provide legitimacy to ask asset-related questions, make suggestions, and direct customers to solutions. Key gateway products include:

    -Mortgage: Access to customers’ financial information and needs.

    -Life Insurance: “Emotionally tied” to mortgage and advisory products.

    -Depository: Provide a view of assets and can be tied to more complex asset and credit products

  • Several characteristics that help enable cross-selling and up-selling:

    -View of banking assets — ability to team bankers with advisors

    -Retail branch network — face-to-face customer interaction when thinking about financial services

    -Significant workplace presence — 401K plan administration

    -Captive advisor model — greater ability to share customer data and coordinate marketing efforts