Experian Case Analysis

Experian Case Analysis

1. Executive Summary:

Experian is a Credit Reference Agency enabling lenders such as banks and credit card companies, to share information about their customers’ credit accounts. The lender can then use information to assess and decide on the credit worthiness of an individual.The case of Experian is typical of a flanking marketing strategy. Although there was no mention of a looming competitor, the company diversified into a service that exploits the Internet and its techno-savvy advocates – CreditExpert.

2. Company/Product Audit:

Experian operates in more than 60 countries with over 20 years experience in providing financial, statistical and marketing information to businesses and consumers. Building partnerships with other companies is Experian’s core business.

Experian holds details on consumers' credit histories. It provides these details to approved bodies that need to know them. These include banks and credit card issuers. Most of its customers are other businesses. They pay a fee each time they search Experian's records. Consumers can ask to see their own credit records. This costs £2. Experian has developed a new product for consumers. This is called CreditExpert.

CreditExpert is a new product. The new product allows consumers to check their credit records online. It helps to check that they have not been victims of identity fraud. This is a serious problem. It means that a thief has 'stolen' a person's identity. They can then apply for credit in that person's name. CreditExpert sends a text or email every time there is a significant change on a person's credit record. This lets people know if any crime is taking place. They can then get instant help from Experian's 'Victims of Fraud' team. Experian's target segment for CreditExpert was internet users keen to manage their credit themselves.

With the said target market, Experian has the following marketing mix:

* product. CreditExpert gives up-to-date credit records online. It alerts customers to changes in their information

* price. The price was set at £5.99. There is a 30-day free trial first.

* place. This means how the service is delivered. The growth in e-commerce means it is delivered over the net. This is a new channel of distribution

* promotion. Experian used its high profile to help promote the product. It also built on the dangers of identity fraud.

3. Environmental Analysis

In the UK, it is legal for an individual to see the information about them held by a CRA.