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De-commoditizing Small Business Lending: Product and Pricing Psychology for SME Lending

 

Watch this One-Minute Session Preview

Speakers: Wei Ke, PhD, Partner, Simon-Kucher & Partners
Banking Growth Forum 2016, San Francisco, CA

Regardless of the product, consumers have psychological biases when making a purchasing decision, and the vast majority of those decisions are not made logically. Wei explains how small business and retail lenders can apply concepts from behavioral economics and pricing psychology to:

  1. Combat the perception that loans are commodities by creating products and pricing models that evoke an emotional response in your customers
  2. Understand and recognize observed behavioral biases among your target customers and take steps to overcome them
  3. Promote cross-buying among your products by leveraging their synergies.