Strategic product and service differentiation

A part of the investment management industry chooses to build their businesses by seeking out clients that value innovation and service levels over and above the norm. This group of clients tend to be far less price sensitive, and therefore willing to pay a premium for the unique financial products or customised service offerings. Investment management organisations that choose what Michael Porter calls a “differentiation” strategy tend to enjoy higher levels of client satisfaction, loyalty and revenue, which can be somewhat offset by higher investments in order to promote their differentiated offerings as well as the cost of constant product innovation and higher cost of providing value-added services.

SimCorp Dimension supports these organisations with a wide range of capabilities that convey adaptability and agility to the product development process as well as elevated levels of service to their clients while still keeping costs at a minimum.

To learn more about the ways in which SimCorp Dimension is able to support investment management organisations that choose a strategic product and service differentiation strategy, download the publication ‘Enabling growth with SimCorp Dimension’. 

In recent years, the markets for structured products and exotic derivatives have experienced tremendous growth in both size and variety. Traditional and new asset classes are used in innovative ways to create instruments tailored for specific investment objectives. While this represents new investment opportunities, it also poses new operational challenges and risks.

Download fact sheet on XpressInstruments to learn more about support for continual product innovation