The Research Of The Product Innovation Of Commercial Banks

Under the background of interest rate marketization and financial liberalization,the competition between commercial banks of China becomes more and more fierce. With foreign banks breaking into China’s financial markets aggressively,private banks and village banks rising rapidly and even the internet bank developing day by day, commercial banks gradually realize that the sellers’ market has transferred into the buyers’ market and their dominant position has gone with the wind.In the buyers’ market, the customers are limited but the needs is endless and ever-changing.The only way that commercial banks can maintain their advantages is to make product innovation.Product innovation is to invent or combine a new product in order to satisfy the needs of the customers, and it is based on market segmentation which is the best way to research the customers,to know what they need and what they want.By classifying the customers,the banks will be access to provide the right product to the right customers by product innovation,which is exactly the concept of differentiated marketing.By researching the present situation as well as achievement of the production innovation of commercial banks in Linyi wholesale market,this article provides some research and evidence to this process,and trying to advises to the development of commercial banks’ products innovation through this example, which is the research significance of this article.The whole article is divided into five parts. The fist part is introduction,which introduces the research background and significance, the research content, the method, the innovation and the insufficiency of the paper. The second part is literature review part,it overview the article of some noted scholar and their viewpoints which including the theory of market segmentation,differentiated marketing,and customer demand.The third part is case study. It analyzes the current situation of the commercial banks’ product innovation by two parts, the product needs of the customers and the product supply of the banks. The fourth part is an analysis based on SWOT analytic method. It introduce the influence and the future of the product innovation by its strength, weakness, opportunity,and threaten. The last but not the least part is the advising part. Though commercial banks’ product innovation makes an outstanding improvement,it still owes some delay and backwards. The last part makes some advise in the matter of sense of innovation, demand segmentation, team building,relation advancing,risk prevention and so on.By taking Linyi’ wholesale market as an example,the research is more lively, convincing,and specific, which is one of the innovation point of this paper. Besides,in order to add weight to the conclusion that production innovation is the best choice that helps commercial bank keep competitive,it use the analytic method of SWOT,which is creative relatively. It can be concluded that,in face to varieties of difficulties,commercial banks of China will finally create market success by making specific product innovation persistently, safely,successfully, by absorbing talented team and by develop the concept of the differentiated marketing.