The Research Of Homogeneity Of China Commercial Bank’s Personal Financial Products

In recent years, China’s GDP has got sustained growth, with increasing disposable income. At the same time, the overall scale of China’s commercial banks continues to grow, and the financial environment is more and more open. The prosperity of the real economy promotes the development of the banking financial products. Commercial banks compete with each other in financial products issued by large-scale, in terms of both scale and quantity. China’s commercial financial products market shows strong vitality. However, due to lower product homogenization of the wealth management business, the development of commercial banks is not fully mature, and under the rapid pace of development of the business, the financial products show little differentiation.China’s commercial bank financial products were budding and experienced a period of rapid development, variety of asset pools pattern specification development. Since the development process is short, from the variety of financial products, marketing to development model, the products embody homogeneous character. Most financial products’ investment period is within six months, mostly floating-income types, which more than half of bond financing products. The marketing is mainly through bank outlets, customers are simply divided mostly based on the threshold. When there is a rise in the market for some new financial product, other banks imitate. The homogenization of competition means commercial banks have to compete the competition yield; unreasonably high yields will hurt the bank’s normal profitability, which is not conducive to the sustainable development of commercial banks, and the healthy development of financial products market.What has caused the financial product homogeneity problem has multiple aspects. Taking into account the stability of the financial environment, China’s financial industry adopts ‘separate management, separate supervision’ policy, the interest rate marketing has not yet fully open, and commercial banks cannot ease the financial product innovation and development. In addition, the lack of specialized financial services feature removes the financial value of the products. Commercial banks don’t have deep enough level of innovation, lack of product innovation and related talent pool, the ability to adjust to changes in the economic environment. There are some innovative ways to solve shortcomings. In its own management, strategic of positioning market doesn’t place financial pressures faced by the performance evaluation ignoring differentiated services to customers, the flow of talents makes it easier to copy a successful model, the high cost of innovation makes commercial banks more focus on short-term benefits of the upgrade. Homogenization of financial products may bring vicious competition, increases business risk, and it is not conducive to long-term stable development of commercial banks and branding.According to the theory of industrial organization, product differentiation can proceed from the quality performance, high value-added, market trends, the core competitiveness aspects. Based on the above analysis, commercial bank financial products can try on the financial products’ high value-added, market trends and core competencies. To do market segmentation and market positioning, which is the key to achieve financial product differentiation; customer segments should be done according to characteristics based on different levels of customer groups, so that the banks can design financial products targeted to customers’ needs. Wealth managers should pay attention to information feedback channel, the customer-focused marketing philosophy and the concept of the "marketing products" to "customer service" transition. The banks can also create excellent financial talents, formed the core competitiveness and create financial brand and enhance customer retention.The process of commercial banks getting rid of homogeneous competition is also the process of reform and innovation of China’s commercial banks reborn. Interest rates marketing is continued, and competitive business financial products are not essential elements rate of return, but should focus on customer demand-oriented to form a high value-added financial services, getting rid of homogenization predicament.