Jyske Bank Case Answer
Question 1: What is Jyske Bank’s new positioning or competitive differentiation strategy?
Ans:
The Jyske Group is Danish bank that is owned and operated as a business. The company attaches great importance to treating their three groups of stakeholders- shareholders, customers and employees – with equal respect. If the balance shifts in favor of one or two of the groups, this will be to the long-term detriment of all groups (Zeithmal, Bitner and Gremler 1996).
The bank's core values are its fundamental cornerstone. In the eyes of both clients and employees, the following traits are what make Jyske bank unique:
• Common sense • Open and honest • Different and unpretentious • Genuine interest and equal respect • Efficient and persevering
These same core values led Jyske management to re-evaluate how the bank did business with its customers. The managers knew that if they were to stay true to these values that they would have to change their conservative position of the past and become a service driven and customer innovative bank within the competitive banking sector. The bank managed to achieve its new customer orientated position based on three fundamental areas:
Positioning
In a highly competitive banking sector, managers looked to the bank's core values and differences to establish its competitive position. The bank with the help of a consultant conducted market research into their primary target market. The research findings showed the target market consisting mainly of Dutch families (60% retail) and small Danish businesses (40% commercial), were favorable towards the idea of bank that had a persona and believed in what it stood for (Zeithmal, Bitner and Gremler 1996). Additional research was also conducted in more difficult areas concerning the banks 4P's- Product, Place, Price and Promotion from a customer orientated standpoint. In contrast, soft factors such as customer relationships with the bank, served as the bank's
Ans:
The Jyske Group is Danish bank that is owned and operated as a business. The company attaches great importance to treating their three groups of stakeholders- shareholders, customers and employees – with equal respect. If the balance shifts in favor of one or two of the groups, this will be to the long-term detriment of all groups (Zeithmal, Bitner and Gremler 1996).
The bank's core values are its fundamental cornerstone. In the eyes of both clients and employees, the following traits are what make Jyske bank unique:
• Common sense • Open and honest • Different and unpretentious • Genuine interest and equal respect • Efficient and persevering
These same core values led Jyske management to re-evaluate how the bank did business with its customers. The managers knew that if they were to stay true to these values that they would have to change their conservative position of the past and become a service driven and customer innovative bank within the competitive banking sector. The bank managed to achieve its new customer orientated position based on three fundamental areas:
Positioning
In a highly competitive banking sector, managers looked to the bank's core values and differences to establish its competitive position. The bank with the help of a consultant conducted market research into their primary target market. The research findings showed the target market consisting mainly of Dutch families (60% retail) and small Danish businesses (40% commercial), were favorable towards the idea of bank that had a persona and believed in what it stood for (Zeithmal, Bitner and Gremler 1996). Additional research was also conducted in more difficult areas concerning the banks 4P's- Product, Place, Price and Promotion from a customer orientated standpoint. In contrast, soft factors such as customer relationships with the bank, served as the bank's