DATA ANALYST: CROSS SELLING
RECOMMENDATION FINAL PROJECT
TEAM MEMBER’S DETAILS
Group Name: Individual
Name: Ian Kihara Wangui
Email: eandavid6@[Link]
Company: DataGlacier
Specialization: Data Analyst
PROBLEM DESCRIPTION
XYZ credit union in Latin America is performing very well in selling the Banking
products (eg: Credit card, deposit account, retirement account, safe deposit box etc) but
their existing customer is not buying more than 1 product which means bank is not
performing good in cross selling (Bank is not able to sell their other offerings to existing
customer). XYZ Credit Union decided to approach ABC analytics to solve their problem.
Can you tell us how this can be solved?
My role as a data analyst is to inspect the data and suggest what action bank can take
to increase cross selling (without using ML)
BUSINESS UNDERSTANDING
Cross-selling is a technique used by businesses to sell additional products or services to
an existing customer. The concept is based on the assumption that customers who have
already purchased from a company are more likely to buy again. Cross-selling is
common in the banking industry, where institutions offer multiple products such as
credit cards, deposit accounts, retirement accounts, and safe deposit boxes. However,
the problem arises when a bank is unable to sell additional products to its existing
customers, which is the case with XYZ credit union in Latin America.
Cross-selling is an important part of a bank's growth strategy. The concept involves
offering additional products or services to existing customers, which can increase
revenue and profitability. Cross-selling can also help banks build stronger relationships
with their customers, leading to increased loyalty and retention.
In the banking industry, cross-selling is primarily focused on selling additional products
or services to existing customers. For example, a customer who has a checking account
with a bank might be offered a credit card or a savings account. This approach is
beneficial to both the bank and the customer. The bank generates additional revenue,
while the customer enjoys the convenience of having multiple products with one
institution.
Cross-selling is not limited to just offering products or services to existing customers. It
can also involve upselling, which is the process of selling a higher-priced product or
service to a customer. For example, a bank might offer a premium checking account to a
customer who currently has a basic checking account.
There are several benefits of cross-selling in the banking industry. Some of the key
benefits include:
1. Increased Revenue
Cross-selling can increase a bank's revenue by selling additional products or services to
existing customers. Since existing customers are already familiar with the bank, it is
easier to sell them additional products. This can result in increased revenue for the bank
without incurring additional customer acquisition costs.
2. Improved Customer Retention
Cross-selling can improve customer retention by offering additional products and
services that customers need. Customers are more likely to remain loyal to a bank if they
have multiple products with that institution. This can result in increased customer
lifetime value and reduced customer churn.
3. Stronger Customer Relationships
Cross-selling can help build stronger relationships with customers by offering them
additional products and services that meet their needs. This can result in increased
customer satisfaction and loyalty. Customers who are satisfied with their banking
experience are more likely to refer friends and family to the bank.
4. Increased Efficiency
Cross-selling can increase efficiency by reducing customer acquisition costs. Since
existing customers are already familiar with the bank, it is easier to sell them additional
products. This can result in reduced marketing and advertising costs associated with
acquiring new customers.
5. Competitive Advantage
Cross-selling can provide a competitive advantage for a bank by offering a wider range
of products and services than its competitors. This can attract new customers and retain
existing customers who want a comprehensive banking experience.
Data Intake Report
Name: G2M insight for Cab Investment firm
Report date: 18/04/2023
Internship Batch:<Enter your batch code from Canvas course>
Version:<1.0>
Data intake by: Ian Kihara Wangui
Data intake reviewer: Ian Kihara Wangui
Data storage location: [Link]
Cross_Selling_Introduction
Tabular data details: [Link]
Total number of observations 13,647,309
Total number of files 2
Total number of features 48
Base format of the file .csv
Size of the data 2.29 GB
Tabular data details: [Link]
Total number of observations 929,615
Total number of files 2
Total number of features 24
Base format of the file .csv
Size of the data 110.29 MB
