Financial Services for Small Businesses in the U.S.

Financial Services for Small Businesses in the U.S.

Small business is hot. There are nearly 26 million small businesses (companies with 500 employees or fewer) in the United States and more small business births every day. With over $9 trillion in revenues and over $2 trillion in assets, financial services for small businesses in the U.S. are rich in opportunities. Small businesses produce anywhere from $300 billion to over $350 billion in financial service and product revenues annually, including $120 billion to $200 billion in banking revenues and $137 billion in insurance premiums. Beyond credit, payments, cash management, payroll processing, treasury services and trade finance, small business owners have a wide variety of personal banking needs that represent a tremendous opportunity for financial services providers. Commercial banks, community banks, credit unions, credit card companies, insurance companies’ equipment leasing companies, brokerages and financial advisors all look to gain traction in this highly competitive market.

But the market is highly fragmented by size, type, ownership characteristics, industry and geography. It is a churning market where half the owners of established businesses may retire in the next decade, and where 10% of all small businesses close each year only to be replaced by a slightly bigger crop of new entrants. Moreover, the rising generations of Gen X and Gen Y entrepreneurs have different needs and expectations than their Boomer counterparts. It is also a highly personal market where 74% have no employees, 87% of employer firms have fewer than five employees and the owners’ personal finances are often aligned with the business’s finances.

Financial Services for Small Businesses in the U.S. focuses on the size and segmentation of those 26 million U.S. small businesses. It looks at the characteristics of small business owners examining segment by segment their use of financial products and services, attitudes and unmet needs. Competitive profiles of the major players -- card companies, banks and non-bank entities -- provide insight into their strategies, recent activity and future plans, while data from Simmons Market Research Bureau paints a picture of small business owner attitudes and use of financial products. The report also looks at products and services initiatives and examines advertising, marketing and channel strategies.

Report Methodology
The information in Financial Services for Small Businesses in the U.S. is based on both primary and secondary research. Primary research involved extensive in-depth interviews with industry, marketing and public relations executives within the banking, retail and credit card markets and consultants to the industry, including American Express, MasterCard, Visa, JPMorganChase, PNC Bank, Advanta, Commerce, and Wells Fargo. It also includes interviews with experts at Financial Institutions Consulting, OxxFord Information Technologies, ShareBuilder and Strategic Planning & Marketing (UK). Secondary research entailed data gathering from relevant trade, business, and government sources, including company literature, analyst presentations, annual reports and 10(k) filings, and white papers. Permission was also graciously granted to Packaged Facts to use data from BusinessWeek Research Services, Financial Institutions Consulting, MarketStance, Oxxford Information Technologies, Retail Bank International, ShareBuilder and Synovate. Consumer data was obtained from Simmons Market Research Bureau’s Fall 2006 National Consumer Study. Media spending data was obtained from TNS Media Intelligence.

About the Author
An expert in primary research, Té Revesz is the principal of Revesz International and Kentera Associates. She has conducted thousands of in-depth interviews with business, political and labor experts around the world. She was featured in Super Searchers Go to the Source as one of the U.S.’s top primary researchers. Prior to founding Kentera Associates, Té headed the Healthcare and Industrial Practices of FIND/SVP’s Strategic Consulting and Research Group and was its International Practice Coordinator. She was also a Director of FIND’s Signia Partners division. Before joining FIND, Té served at Business International as Director of North American Publications, Editor-In-Chief of its global newsletter, and helped create BI’s global risk assessment product. She also worked at Prudential-Bache’s financial planning group and at Citibank’s Washington Representative Office.

What You’ll Get in this Report
Financial Services for Small Businesses in the U.S. makes important predictions and recommendations regarding the future of this market, and pinpoints ways current and prospective players can capitalize on current trends and spearhead new ones. No other market research report provides both the comprehensive analysis and extensive data that The U.S. Small Business Market for Financial Services offers.

Plus, you’ll benefit from extensive data, presented in easy-to-read and practical charts, tables and graphs.  
 

Chapter 1: Introduction and Executive Summary

• Introduction and Definition of Small Business
  
  
• Definitions of Small Business
  
  
• Study Scope
  
  
• Report Methodology
  
  
• The Market
  
  
  
  
  
  • Twenty Six Million Small Businesses
    
    
  • Table 1-1 Small Businesses in the United States, 1992-2005 Assets and Revenues
    
    
  • Table 1-2 U.S. Small Business Receipts, 1997 and 2002 ($ billion)
    
    
  • Segmenting Small Businesses: Ownership Characteristics
    
    
  • Women-owned Businesses
    
    
  • Minority- and Immigrant-Owned Businesses
    
    
  • Small Business by Vertical
    
    
  • Small Business Buying Power: $5 Trillion and Growing
    
    
  • Financial Products and Services: a $270-to-$350 Billion Plus Market
    
    
  • $601 billion in Small Business Loans
    
    
  • Big Banks versus Small
    
    
  • Sizing the Market for Financial Services
    
    
  • Card Payment Industry Eyes Vast Market Opportunity: Plasticizing Small Business Spending
    
    
  • Over 70% of Small Businesses Using Credit Cards Carry a Balance
    
    
  • Financial Management Services Used by Small Businesses
    
    
  • Pension and Profit Sharing
    
    
  • International Small Business Market for Financial Services
  
  
  
  
• The Small Business Owner: Demographics, Viewpoints and Buying Habits
  
  
  
  
  
  • Small Business Owners: Involvement, Function and Work Habits
    
    
  • Table 1-3 Is the Business the Owner’s Primary Source of Income?
    
    
  • The Many Hats of Small Business Owners
    
    
  • Small Business Owners’ Concerns
    
    
  • The Struggle for Adequate Financing Getting Tougher for Small Business Owners
    
    
  • Buying and Selecting Financial Services
    
    
  • Small Business Owners are Deeply Involved in Purchasing Decisions
    
    
  • Small Business Use of Financial Products and Services
    
    
  • Figure 1-1 Financial Products Used by Small Businesses, 1998 vs. 2003
    
    
  • Small Business Owners Flock to Online Banking
    
    
  • Segmenting Small Business Owners
    
    
  • Minority Business Owners and Financial Services
    
    
  • Women-Owned Businesses: Numbers Proliferate, but Firms Get Smaller
    
    
  • The Looming Boomer Churn
    
    
  • Table 1-4 Business Ownership, by Age, 2002
    
    
  • Gen Y Entrepreneurs: Different Motivations, [Somewhat] Different Needs
    
    
  • What the Simmons Data Reveal About Card Companies and Big
    
    
  • Banks Success with Small Business Owners and Execs
    
    
  • Small Business Most Likely to Use an AmEx Card
    
    
  • Table 1-5 Credit Cards Owned or Used by SBOEs
  
  
  
  
• Government and Small Business Finance
  
  
  
  
  
  • Small Business Administration Loan Guarantees and Other SBA
    
    
  • Financial Products and Service.
    
    
  • SBA Loan Programs
    
    
  • SBA Rating Lender Risk
    
    
  • Export Import Bank Small Business Programs
  
  
  
  
• The Competitive Arena
  
  
  
  
  
  • Credit Card Companies
    
    
  • American Express OPEN® for Small Business for Two Decades
    
    
  • Product Set: Multiple Choices for Varied Small Business Needs
    
    
  • AmEx’s Bank Channel Strategy: Picky Picking Partners
    
    
  • MasterCard Worldwide: Data Mining for Areas of Opportunity
    
    
  • A Robust Energetic Market
    
    
  • Working with Bank Customers to Target Small Business
    
    
  • Visa: Meeting the Small Business Owner’s Rational and Emotional Needs
    
    
  • Three Pillars Driving Penetration into the Check Space
    
    
  • Program for Small Issuers, and Big Ones
    
    
  • Visa’s Signature Business
    
    
  • The Darwinian World of Small Business Banking
    
    
  • JP Morgan Chase
    
    
  • Defining and Segmenting Small Business
    
    
  • Chase’s Branch-based Strategy
    
    
  • Wells Fargo: Small Business is Big Business
    
    
  • Targeting Industry Verticals
    
    
  • Outreach Programs for Women- and Minority-owned Business
    
    
  • Advanta: Small Business All the Time
    
    
  • Commerce Bank Woos Small Business with a WOW Service Strategy
    
    
  • PNC
    
    
  • Community Banks: We Run Circles Around the Biggies
    
    
  • Credit Unions
  
  
  
  
• Overview of Other Financial Services Players
  
  
  
  
  
  • Marketing Initiatives and Emerging Products and Services
    
    
  • Products and Services Approaches and Initiatives
    
    
  • Small Business, Computers and Financial Services
    
    
  • Helping Small Businesses Manage Their Time and Finances
    
    
  • Remote Deposit
    
    
  • Managing Payroll from the Desktop
    
    
  • Small Business Credit Cards
    
    
  • Stretching the Small Business Owner’s Dollar
    
    
  • Wealth Management
  
  
  
  
• Advertising, Marketing and Channels
  
  
  
  
  
  • Direct Mail
    
    
  • Media Spending
    
    
  • Credit Card Companies Target Small Businesses Through a Wide Variety of Media
    
    
  • Event Marketing and Networking: Real and Virtual
    
    
  • Marketing via Small Business Research
    
    
  • Alternate Channels -- Experiential and Grass Roots Marketing
  
  
  
  
• Going Forward: Challenges and Opportunities
  
  
  
  
  
  • Challenges for Financial Institutions
    
    
  • Tectonic Shifts
    
    
  • Will the Credit Crunch Hit Small Business?
    
    
  • Wealth Management and Succession Planning: a Huge Opportunity
    
    
  • Succession Planning: A Big Change Coming
    
    
  • Who Gets to Help
    
    
  • Don’t Forget About Gen Y—They’re Different
    
    
  • The Fastest Growing Segment

Chapter 2-The Market

• About the Survey of Small Business Finances
  
  
• Table 2-1 Breakout of 2003 SSBF Sample by Size of Firm, 2003
  
  
• The U.S. Small Business Universe
  
  
• Twenty Six Million Small Businesses
  
  
• Table 2-2 Small Businesses in the United States, 1992-2005
  
  
• Firms versus Establishments; Employer versus Non-employer Firms
  
  
• Assets and Revenues
  
  
• Table 2-3 U.S. Small Business Receipts, 1997 and 2002 ($ billion)
  
  
• Employment
  
  
• Table 2-4 U.S. Small Business Employment and Payrolls, 2004
  
  
• Life Cycles
  
  
• Table 2-5 Births, Deaths and Bankruptcies of Employer Firms, 1992-2005
  
  
• Bankruptcies on the Rise Again: Sub-Prime Fall Out?
  
  
• Figure 2-1 Quarterly Business Bankruptcy Filings, Q1 and Q2, 2005-2007
  
  
• Segmenting Small Businesses: Ownership Characteristics
  
  
• Women-owned Businesses
  
  
• Figure 2-2 Business Ownership by Gender, 2002
  
  
• Minority- and Immigrant-Owned Businesses
  
  
• Table 2-6 Business Ownership by Hispanic or Latino Origin, and Race, 2002
  
  
• Small Business by Vertical
  
  
• Table 2-7 Employer Firm Establishments in the U.S., by Industry, 2002
  
  
• Table 2-8 Non-Employer Establishments in the U.S., by Industry, 2005
  
  
• Sizing the Market for Financial Services
  
  
• Small Business Buying Power: $5 Trillion and Growing
  
  
• Financial Products and Services: a $270-to-$350 Billion Plus Market
  
  
• Table 2-9 All Lines Commercial/Property Premiums for Enterprises with Fewer than 500 Employees, 2006
  
  
• Table 2-9[Cont.] All Lines Commercial/Property Premiums for Enterprises with Fewer than 500 Employees, 2006
  
  
• Figure 2-3 Small Business Banking Market Segments
  
  
• Figure 2-4 U.S. Small Business Financial Services, a $270 Billion Market, 2005
  
  
• Financial Services Used by Small Business
  
  
• Table 2-10 Financial Services Used by Small Businesses, by Size of Firm, 1998 and 2003 (%)
  
  
• Table 2-11 Financial Services Used by Small Businesses, by Industry (%)
  
  
• Table 2-12 Financial Services Used by Small Businesses, by Organization Form and Years Under Current Ownership (%)
  
  
• $601 billion in Small Business Loans
  
  
• Table 2-13 Business Loans, June 2003-June 2005, by Loan Size
  
  
• Small Businesses: Profitable Customers
  
  
• Big Banks versus Small
  
  
• Table 2-14 Share of Small Business Loans, Total Business Loans and Total Assets, by Asset Size of Lending Institution, 2003-2005 (%)
  
  
• Card Payment Industry Eyes Vast Market Opportunity: Plasticizing Small Business Spending
  
  
• Figure 2-5 Small Business Debit and Credit Card Spending vs. Total Small Business Spending on Goods and Services, 2006
  
  
• Over 70% of Small Businesses Using Credit Cards Carry a Balance
  
  
• Financial Management Services Used by Small Businesses
  
  
• Table 2-15 Financial Management Services Used by Small Businesses, by Size of Firm
  
  
• Table 2-15[Cont.] Financial Management Services Used by Small Businesses, by Size of Firm
  
  
• Table 2-16 Financial Management Services Used by Small Businesses, by Industry
  
  
• Pension and Profit Sharing
  
  
• Figure 2-6 Small Business Pension, Profit Sharing and Stock-ownership, 1997-2007
  
  
• Table 2-17 Small Business Contributions to Retirement Plans, 1998
  
  
• $27.4 billion in Small Business Contributions to Company-Sponsored Retirement Plans
  
  
• Figure 2-7 Small Business Contributions to Company-Sponsored Retirement Plans, 2002-2006
  
  
• Smallest Business: Highest Per Employee Contributions and Expenses
  
  
• Table 2-18 Per Company and Per Employee Cost of All Company-Sponsored, Retirement Plans, 1998
  
  
• Table 2-19 Per Company and Per Employee Cost of Company-Sponsored Defined Benefit Retirement Plans, 1998
  
  
• Table 2-20 Per Company and Per Employee Cost of Company-Sponsored,
  
  
• Defined Contribution Retirement Plans, 1998
  
  
• The Huge Potential of the Small Business 401(k) Market
  
  
• Table 2-21 Market Size Estimate of 401(k) Plan Potential
  
  
• Choosing Financial Services Suppliers
  
  
• Table 2-22 Types of Depository and Non-depository Institutions Supplying
  
  
• Financial Services and Financial Management Services to Small Businesses
  
  
• Depository Financial Institutions
  
  
• Table 2-23 Small Business Depository Institutions, 2003
  
  
• Non-depository Institutions
  
  
• Table 2-24 Small Businesses’ Use of Selected Non-depository Institutions, 2003
  
  
• Table 2-25 Small Business Use of Suppliers of Financial Services, by Selected Service, All Suppliers and Depository Institutions, 2003
  
  
• Table 2-26 Small Business Use of Selected Suppliers of Financial Services by Selected Service, Non- Depository Institutions, 2003
  
  
• International Small Business Market for Financial Services
  
  
• Table 2-27 Consumer, Small Business and Corporate Credit Card and Ticket Spending, 2006

Chapter 3-The Small Business Owner: Demographics, Viewpoints and Buying Habits

• About the Surveys of Small Business Finances and Small Business Owners
  
  
• Survey of Small Business Finances
  
  
• Table 3-1 Breakout of 2003 SSBF Sample, by Size of Firm (%)
  
  
• Economic Census, Survey of Small Business Owners
  
  
• About the Simmons Data
  
  
• One-fifth of Adults are either Self-employed or are Small Business Owners and Executives
  
  
• Table 3-2 Overview of Occupation Classifications: Self-employed or Management /Business & Financial Operations or Proprietor (SE-M/BFO/P)
  
  
• Index System
  
  
• Data Cover Decision Making, Providers, and Financial Products and Products Used by Proprietors or Executives of Small Businesses
  
  
• About the Kauffman Index: A Nation of Entrepreneurs
  
  
• Small Business Owners: Involvement, Function and Work Habits
  
  
• Table 3-3 Is the Business the Owner’s Primary Source of Income?
  
  
• 30 Percent of Small Business Owners work at Least 60 Hours Per Week
  
  
• Table 3-4 Average Number of Hours Spent Managing or Working in the Business and Business Interest, 2002
  
  
• Table 3-5 Hours Worked by Small Business Owners with Full-Time Businesses
  
  
• The Many Hats of Small Business Owners
  
  
• Table 3-6 Small Business Owners and Their Primary Function in the Business
  
  
• Small Business Owners’ Concerns
  
  
• Sources of Small Business Finance: 2002
  
  
• Figure 3-1 Sources of Small Business Finance, 1998 vs. 2003
  
  
• BusinessWeek Research Services and Capital One Survey Finds Savings Exceed Commercial Lending and Credit Cards as Source of Funds in 2007
  
  
• Figure 3-2 Typical Funding Sources, 2007
  
  
• The Struggle for Adequate Financing Getting Tougher for Small Business Owners
  
  
• Buying and Selecting Financial Services
  
  
• Small Business Owners are Deeply Involved in Purchasing Decisions
  
  
• Table 3-7 Personal Involvement in Business Purchasing Decisions during the Last 12 Months, by Amount
  
  
• Table 3-8 Business Owner or Executive Personally Involved in Business Purchase Decision, Last 12 Months
  
  
• Small Business Use of Financial Products and Services
  
  
• Figure 3-3 Financial Products Used by Small Businesses, 1998 vs. 2003
  
  
• Figure 3-4 Financial Management Services Used by Small Businesses, 1998 vs. 2003
  
  
• Small Business Owners’ and Executives’ Use of Bank Products and Services
  
  
• Table 3-9 Business Owners’ and Executives’ Use of Commercial Bank Services
  
  
• Table 3-10 Business Owners’ and Executives’ Use of Savings Bank and Credit Union Services
  
  
• How Small Business Proprietors and Executive Pay Their Bills
  
  
• Table 3-11 How Small Business Proprietors & Executives Pay Their Bills
  
  
• Small Business Owners Flock to Online Banking
  
  
• Figure 3-5 Small Business Owners’ Use of Computers and Financial Services, 1998 vs. 2003
  
  
• Segmenting Small Business Owners
  
  
• Minority and Immigrant Business Owners
  
  
• Figure 3-6 Racial and Ethnic Composition of the U.S. Population vs. Small
  
  
• Business, Ownership and Receipts (Excluding Publically Held Companies)
  
  
• Minority Business Owners and Financial Services
  
  
• Table 3-12 Financial Services Used by Small Businesses, by Race, Ethnicity or Gender, 2003
  
  
• Table 3-13 Financial Management Services Used by Small Businesses, by Race, Ethnicity or Gender, 2003
  
  
• Table 3-14 Non-Traditional Financial Management Services Used by Small Businesses, by Race or Ethnicity, 2003
  
  
• Immigrant Entrepreneurs
  
  
• Table 3-15 Immigrant Entrepreneurs: Foreign-born vs. Native-born Self-Employed Business Owners—Non Agricultural Industries1,2 (1994-2003)
  
  
• Women-Owned Businesses
  
  
• Numbers Proliferate, but Firms Get Smaller
  
  
• Figure 3-7 Women as Majority Owners, 1997 and 2006
  
  
• Figure 3-8 Sales of 51% Women-Owned Firms, 1997 and 2006
  
  
• Table 3-16 Top States for Women’s Majority-owned (51% or more) Businesses
  
  
• Relationships Important to Women when Selecting Financial Services
  
  
• Women Business Owners vs. Male Business Owners
  
  
• Gender and Use of Financial Services Table 3-17 Financial Services Used by Small Businesses, by Gender, 2003
  
  
• Table 3-18 Financial Management Services Used by Small Businesses, by Gender, 2003
  
  
• Table 3-19 Non-Traditional Financial Management Services Used by Small Businesses, by Gender, 2003
  
  
• Are Male and Female Entrepreneurs Really That Different?
  
  
• Educational Background
  
  
• Table 3-20 Business Ownership, by Educational Background, 2002
  
  
• Veteran Status
  
  
• Table 3-21 Veterans as Small Business Owners, 2002
  
  
• Age, Transition, Succession and Opportunity
  
  
• The Looming Boomer Churn
  
  
• Table 3-22 Business Ownership, by Age, 2002
  
  
• Gen Y Entrepreneurs: Different Motivations, [Somewhat] Different Needs
  
  
• What the Simmons Data Reveal About Card Companies and Big Banks Success with Small Business Owners and Execs
  
  
• Well Fargo Attracts SBOEs
  
  
• Table 3-23 Primary Bank Used by the Self-employed and by| Business Owners and Executives Use (12 Months Preceding October 2006)
  
  
• Small Business Most Likely to Use an AmEx Card
  
  
• Table 3-24 Credit Cards Owned or Used by SBOEs
  
  
• Table 3-25 American Express Owned or Used by SBOEs
  
  
• Table 3-26 MasterCards Owned or Used by SBOEs
  
  
• Table 3-27 Visa Credit Cards Owned or Used by SBOEs
  
  
• Table 3-28 Non-Bank Credit Cards Owned or Used by SBOEs
  
  
• SBOEs Make Some Use of Credit Monitoring Services
  
  
• Table 3-29 SBOEs’ Use of Credit Monitoring Services
  
  
• SEs and SBOEs Credit Card Payment Practices
  
  
• Table 3-30 The Portion of Credit Card Balance Small Business Proprietors Always Pay

Chapter 4- Government and Small Business Finance

• Small Business Administration Loan Guarantees and Other SBA Financial Products and Service.
  
  
• SBA Loan Programs
  
  
• ecent Performance—More Smaller Loans
  
  
• Figure 4-2 Value of SBA Loans (FY2002-2007)*
  
  
• Other SBA Programs
  
  
• Likely to Get More Expensive for Participating Banks
  
  
• SBA Rating Lender Risk
  
  
• Export Import Bank Small Business Programs
  
  
• The Internal Revenue Service Wants Small Businesses to Pay Taxes
  
  
• Electronically
  
  
• Legislation to Watch

Chapter 5: The Competitive Arena

• Credit Card Companies
  
  
• American Express OPEN® for Small Business for Two Decades
  
  
• Product Set: Multiple Choices for Varied Small Business Needs
  
  
• Expanding Beyond Cards
  
  
• Share of Wallet Tool
  
  
• AmEx’s Bank Channel Strategy: Picky Picking Partners
  
  
• AmEx Makes a Special Effort to Grow Women-owned Businesses
  
  
• Mentoring Small Business
  
  
• MasterCard Worldwide: Data Mining for Areas of Opportunity
  
  
• A Robust Energetic Market
  
  
• MasterCard Data Mining
  
  
• Working with Bank Customers to Target Small Business
  
  
• Small Business Debit Cards
  
  
• MasterCard’s Customizable Gift Card Initiative
  
  
• The PayPass Revelation
  
  
• MasterCard’s Small Business Center Strategy
  
  
• The MasterCard-Microsoft Connection and Other Partners
  
  
• MasterCard’s B-to-B Payment Processing Platform: Gateway to Plasticization
  
  
• MasterCard’s Differentiators: Data Warehouse and a Global Viewpoint
  
  
• Visa: Meeting the Small Business Owner’s Rational and Emotional Needs
  
  
• Three Pillars Driving Penetration into the Check Space
  
  
• Visa’s Core Strategy
  
  
• The small business owner has access to employee spending and can install employee limits
  
  
• Visa’s Small Business Team
  
  
• Program for Small Issuers, and Big Ones
  
  
• Visa’s Signature Business
  
  
• Merchant Partners for Small Business Savings
  
  
• Discover: Competing with Customer Service The Darwinian World of Small Business Banking
  
  
• Table 5-1 Small Business Lending (Originations), 1997-2006
  
  
• Table 5-2 Loans to Firms with Revenues of $1 Million or Less,1 1997-2006
  
  
• Table 5-3 Top 10 U.S. Bank Players by Small Business Loans
  
  
• It’s a Bank Eat Bank World
  
  
• Retail Banker International’s Segmentation Survey
  
  
• JP Morgan Chase
  
  
• Table 5-4 Chase Small Business Lending, 2004-2006
  
  
• Defining and Segmenting Small Business
  
  
• Chase’s Branch-based Strategy
  
  
• The Comp Plan Supports Business Development Goals
  
  
• Role of the Relationship Manager
  
  
• Coordination Comes from the Top
  
  
• Chase’s Small Business Card Differentiators
  
  
• Marketing Chase Small Business Cards
  
  
• Partner Criteria
  
  
• Wells Fargo: Small Business is Big Business
  
  
• Business Services Packages
  
  
• Targeting Industry Verticals
  
  
• Multi-Channel Distribution Strategy Makes a Cross Selling Champion
  
  
• Table 5-5 Avg. Daily Core Sales,1999-2006
  
  
• Decision Making
  
  
• Small Business Webcasts
  
  
• Outreach Programs for Women- and Minority-owned Business
  
  
• Table 5-6 Wells Fargo Diverse Business Services - Program to Date
  
  
• Advanta: Small Business All the Time
  
  
• Monoline Strategy
  
  
• Advanta’s Credit Card Formula: No Annual Fees + Low Interest + Rewards or Cash Back
  
  
• Direct Mail +Telemarketing + Internet
  
  
• Commerce Bank Woos Small Business with a “WOW” Service Strategy
  
  
• Table 5-7 Commerce’s Wow the Customer Model
  
  
• Developing a Small Business Lending Strategy
  
  
• Gaining Competitive Advantage through a Branch Strategy
  
  
• Figure 5-1 Commerce Store Growth
  
  
• SBA Loan Program
  
  
• PNC
  
  
• Small Business Strategies: Vertical, Multicultural and Holistic
  
  
• Cash Flow and Payments Strategy
  
  
• Customers Say No to a Health Insurance Product
  
  
• Trained to Serve the Small Business
  
  
• The Brand Supports Small Business
  
  
• Community Banks: We Run Circles Around the Biggies
  
  
• Wauchula State Bank: Building Long-Term Relationships
  
  
• Big Banks? We Just Kill Them With Service
  
  
• Segment or Niche Players
  
  
• Banking on Professionals
  
  
• Small Business Specialist
  
  
• Dogging Veterinarians’ Tracks
  
  
• Credit Unions
  
  
• Overview of Other Financial Services Players
  
  
  
  
  
  • GE Money-Small Business Solution
    
    
  • Table 5-8 GE Money’s Target Verticals
    
    
  • Fidelity Investments
    
    
  • Merrill Lynch to Team with Thrifts and Smaller Banks
    
    
  • ShareBuilder 401(k)
    
    
  • MetLife
    
    
  • AIG

Chapter 6: Marketing Initiatives and Emerging Products and Services

• Products and Services Approaches and Initiatives Small Business, Computers and Financial Services
  
  
• Figure 6-1 Use of Computers to Obtain Financial Services Among Small Businesses, 1998 vs. 2003
  
  
• Table 6-1 Use of Computers to Obtain Financial Services Among Small Business, By Size of Firm, 1998 vs. 2003
  
  
• A Raft of Services
  
  
• Table 6-2 Use of Computers to Obtain Financial Services Among Small Business, by Industry, 1998 vs. 2003
  
  
• Small Business Websites
  
  
• Intuit and Digital Insight
  
  
• Helping Small Businesses Manage Their Time and Finances
  
  
• Remote Deposit
  
  
• Card Processing Services
  
  
• Merchant Checking
  
  
• Managing Payroll from the Desktop
  
  
• Payments and Payrolls
  
  
• Is Chase Triple Pay a Triple Threat?
  
  
• Small Business Lending Approaches
  
  
• Community Development Small Business Loans
  
  
• Home Equity as Small Business Collateral
  
  
• Fees-Paid SBA Loans
  
  
• Small Business Credit Cards
  
  
• Chase-Visa Rebate Card, December 2007
  
  
• Chase, Office Depot and Visa Take a Worklife Twist
  
  
• CitiBusiness Cards Introduce a “Luxury” Feature: a Prescription Drug Discount Benefit
  
  
• New Discover Card for Small Business Makes Mileage Rewards More Accessible
  
  
• MasterCard’s New Payment Platform for High Spending Small Businesses
  
  
• TD Banknorth Says It’s “Flexible”
  
  
• Capturing Small Business’s B-to-B Spend
  
  
• Chase and Visa Aim at Construction Contractors with a New Card Construct
  
  
• AmEx OPEN Expects Plum Card to Produce Fruitful High Spend Accounts
  
  
• A Flight of New Small Business Airline Cards
  
  
• Barclays-Frontier Airlines Launch a B-card
  
  
• US Airways Launches Dividend Miles MasterCard
  
  
• Stretching the Small Business Owner’s Dollar
  
  
• AmEx OPEN Savings®
  
  
• MasterCard Tries to Make Savings “Easy”
  
  
• Loyalty Rewards and Discounts at an E-shopping Mall
  
  
• Focusing on Women
  
  
• AmEx Wants to Help Grow More Million Dollar Women-owned Businesses
  
  
• Key4Women Integrates Business Needs with Life Planning
  
  
• Retirement Products for Small Businesses
  
  
• ShareBuilder
  
  
• Scoring Small Business Risk
  
  
• Wealth Management
  
  
• Cross-industry Partners: Non-financial Service Companies Partner
  
  
• with Financial Services Companies
  
  
• Costco’s Partnerships with Small Business Financial Services Providers.
  
  
• Microsoft, FedEx, Bank of America and MasterCard Worldwide
  
  
• International Small Business Product Offerings
  
  
• United Kingdom: New Silverjet Loyalty Program for Businesses
  
  
• United Kingdom: B2B Platform Ltd., Launches Program for Independent Businesses
  
  
• Canada: Royal & SunAlliance offers AIR MILES to Small Business Customers
  
  
• Malaysia: CIMB Bank Offers Credit Card Designed for Accountants

Chapter 7-Advertising, Marketing and Channels

• Direct Mail
  
  
• Table 7-1 Small Business Credit Card Solicitations Mailed to US Households; 2003 vss 2007
  
  
• Acquisition the Major Thrust of Direct Mail Sent to Small Businesses
  
  
• Table 7-2 Direct Mail Trends in Credit Card Offers Sent to Small Businesses, by Purpose of Mailing, Q2-2006 to Q2-2007
  
  
• Table 7-3 Direct Mail Trends in Credit Card Offers Sent to Small Businesses, by Type of Card, Q2-2006 to Q2-2007
  
  
• Table 7-4 Direct Mail Trends in Insurance Offers Sent to Small Businesses, by Purpose of Mailing
  
  
• Insurance Companies Promote Health Insurance and P&C to Small Business
  
  
• Table 7-5 Direct Mail Trends in Insurance Offers Sent to Small Businesses, by Insurance Category
  
  
• Media Spending
  
  
• Credit Card Companies Target Small Businesses Through a Wide Variety of Media
  
  
• Table 7-6 Credit Card Company Media Spend on Cards Directed at Small Businesses (January-December 2006)
  
  
• Capital One the Top Bank Advertising Spender
  
  
• Table 7-7 Bank Media Spend on Small Businesses (January-December 2006)1
  
  
• More Banks Targeting Ads at Small Business.
  
  
• Table 7-8 Bank Media Spend on Small Businesses (2004- 2006) Chase, BofA Take to Radio
  
  
• New Media
  
  
• Direct Mail Still Works, But Internet Channel Gaining Ground
  
  
• Internet Advertising
  
  
• Event Marketing and Networking: Real and Virtual
  
  
• Live Networking Events Still Have Their Charms
  
  
• Sovereign Bank Teams with Women’s Business Organizations
  
  
• Visa and the NFIB
  
  
• Visa-Microsoft Small Business Summit Mixes Online and Live Event Networking
  
  
• Social Networking: From Portal to Resource Center to Network
  
  
• Visa’s Small Business Resource Center
  
  
• Wells Fargo’s Resource Center
  
  
• Bank of America Launches Small Business Networking Site
  
  
• Why do Small Business Owners Spend Time on Community Forums
  
  
• Marketing via Small Business Research
  
  
• Visa Insights into Small Business Spending and Payments Practices
  
  
• Capital One Tries a Triple Play: Small Business Confidence Index, plus
  
  
• Podcast, White Paper and “Forum”
  
  
• Alternate Channels -- Experiential and Grass Roots Marketing
  
  
• Camden National Bank Relies on Grass Roots Marketing, Referrals to Reach Small Businesses
  
  
• Individual Initiatives
  
  
• American Express Multipronged Plum Card Launch
  
  
• Capital One
  
  
• Chase: On Message Across Two Separate Business Lines
  
  
• MasterCard Catches Small Business Attention with Sweepstakes
  
  
• National City “Points” the Way to Small Business
  
  
• Nevada State’s Small Business Surprise
  
  
• PNC Bank: Leading the Way with a 2007 Advertising Blitz
  
  
• Table 7-9 Examples PNC’s TV and Radio Ads
  
  
• “Random Acts of Kindness” Help PNC Build Customer Loyalty
  
  
• Figure 7-1 Example of a PNC’ Print Ad
  
  
• Business Takes Visa
  
  
• Figure 7-2 Visa’s “Unbridled Optimism” Ad—the Kiosk
  
  
• Figure 7-3 Visa’s “Great Expectations”Ad—the Boutique
  
  
• Figure 7-4 Visa’s “Endless Possibilities” Ad—the Pool Man

Chapter 8: Going Forward: Challenges, Opportunities and Best Practices

• Challenges for Financial Institutions
  
  
• Tectonic Shifts
  
  
• Will the Credit Crunch Hit Small Business?
  
  
• The 504 Program
  
  
• Wealth Management and Succession Planning: a Huge Opportunity
  
  
• Table 8-1 Small Business Owners’ Wealth by Type (2008)
  
  
• Figure 8-1 Distribution of Small Business Owner Wealth by Range
  
  
• Succession Planning: A Big Change Coming
  
  
• Who Gets to Help
  
  
• Bank Opportunity
  
  
• Brokerage Opportunity
  
  
• Insurance Opportunity
  
  
• Don’t Forget About Gen Y—They’re Different
  
  
• The Fastest Growing Segment
  
  
• Best practices