The Study On Profit Model Of Private Banking Business Of China Construction Bank Wuxi Sub-branch

With the rapid growth of China's economy,social wealth continues to increase,and the number of wealthy people in our country also increases rapidly,thus this situation derives the growing demand for wealth management and also indicates that the wealth management market contains great potential.On the other hand,with the comprehensive deepening of the financial system reform,the marketization of financial interest rates continues to move forward.The private banking business,with high-end customers as the service object and wealth management as the core,has ushered in valuable development opportunities.However,the domestic commercial banks is still unclear to the private banking business profit model that private banking financial services are still based on product sales,which is a great gap to private banking customers' wealth management.In Europe and America,the profit model of private bank is clear and perfect,the profit of private bank is about 10 times of the average level of retail business,and can effectively meet the wealth management needs of private bank customers.Therefore,the study of the profit model of private banking in China urgently needs a set of effective methods,tools and strategic guidance,which is conducive to the business transformation of commercial banks,the improvement of profits and the promotion of market competitiveness.Based on the development of private banking business in Wuxi Branch of China Construction Bank in recent years,this paper begins with the four elements of the enterprise profit model that the selection of customer group,the acquisition of value,the control of strategy and the scope of business and also carries on the thorough analysis to its private banking business profit pattern,founding that there are some problems: the company line revenue accounts for half of the company,the source of customers is relatively narrow,value access channels are lack,strategic control needs to be improved,the scope of business needs to be expanded ect.In order to solve the problems above,the paper puts forward the profit model of private bank in Wuxi branch of CCB: on the basis of integrating the value network of private banking business,a panoramic service platform is built,taking the private banking business value chain as the index,providing personalized services to private bank customers.At the same time,the related strategies are put forward: parent and subsidiary companies sharing the resources and cooperating development,combining tradition with innovation and obtaining excess profit,establishing brand characteristic and being specialized and exclusive,providing comprehensive service scheme and cooperating with the third party;Establishing a reasonable evaluation system and making scientific and sustainable development.Through the analysis and research above,it has important theoretical and practical significance for the development of private banking business.