This target market only represented about 17% of the potential customer population, but it generates a profit of about DM2,400 per customer for the bank. The universal customers represent about 80% of the potential customers, but it only generates a profit of about DM650 annually for the bank. The private investors represent only about 2% of the potential customers, but it generates a profit of about DM5,000 annually for the bank. Not only did Advance Bank want to attract a younger customer source and a differentiated appearance, but they also wanted to expand branch network to the central part of Germany. In order to do this, they offered universal access to the bank directly throughout Germany through the use of the telephone, fax, and the Internet.
Considering the target customer group, advertisements and campaigns were needed to promote the "Advance Bank" brand name to the public. A total of DM44 million were spent on marketing to do this. Advance Bank sponsored the weather forecast on one of the most popular news broadcasts in Germany and also advertised a short cartoon, which focused mainly on the Advance Bank brand name. In order to compensate for high advertising costs, the bank applies 3.3% interest on deposits and 8.75% interest on loans to a cash management account. A cash management account is an account that provides features for a checking, savings, and an interest-bearing account. Along with that, the bank charges its customers a flat monthly fee of DM16 if they hold a cash management account and DM28 if they hold a cash management plus account. Although Advance Bank charges more, they offer more service than any other direct bank. .
Some of the services that Advance Bank offers include availability, personalized service, assured security, and interconnected call centers. In order to reach this high level of service quality, well-trained call center agents are needed to make the customer's banking experience more pleasant, comfortable, convenient, and efficient as possible.
