When it comes to banking, the members of Gen- eration Y—those aged 18–34, by PNC

Question

When it comes to banking, the members of Gen- eration Y—those aged 18–34, by PNC Financial Services’ definition, including many of the readers of this book—have different needs from their parents’ generation. The most important of these differences, banking-wise, is that they tend to be clueless about how to manage their money. Some, in this debit card day and age, don’t even know how to balance a checkbook because they rarely write checks. As Michael Ley, the PNC exec- utive who led a project to target these customers says, “This group understands how to research online, but they said, ‘We need help helping ourselves.’” PNC decided that Gen Y was worth targeting, so they developed a new online product called the “Virtual Wal- let.” Virtual Wallet consists of three accounts: “Spend,” “Reserve,” and “Growth,” all linked together with a user- friendly interface. What sets Virtual Wallet apart from other banks’ products is features such as getting account balances by text message. Colleen Rohlf, a 24-year-old teacher from Pittsburgh, doesn’t have to worry any more about exactly how much money is in her account and doesn’t have to worry about going online to find out. “I always know how much money I have,” she says. PNC likes this target market because it tends to hold higher balances than others and because Virtual Wallet customers rarely call customer service or show up in a branch office, keeping handling costs down. By late 2008, PNC had signed up more than 20,000 Vir- tual Wallet customers, of which 70 percent fell into the Gen Y demographic. With an average of 130 new cus- tomers signing on daily, PNC expected to break even in about two years, a year less than a conventional brick-and-mortar branch would take. As Gen Y grows up, PNC plans to add additional user-friendly tools for loans, investments, and other financial services.

PNC bank decided to target Generation "Y" customers, which includes y'all. You have different needs that your parents, and tend to research more online than your folks would ever do.

Question 01

(a) What is the PNC "product"?

Question 02

What special products did PNC design for this group?

When you answer your questions please use different articel news, review or any soruce to support your answer and please put a link under (www.) so I can make sure it wasn't copied and paste. Will leave a thumbs up!!

Explanation / Answer

1. The PNC product here is the "virtual wallet" that works as a human less teller of a bank and does not take the need of visiting the bank or ATM at a place to know and work on your bank account but instead is present on the world wide Web where customers, targeted specially generation -Y can access it through a user friendly interface and get response as text message.

Hence, the virtual wallet is the PNC product.

2. For its targeted group that is gen-Y aging 18-34, PNC has designed the products according to the different needs of this generation, which is more towards the use of internet for their information and queries, hence PNC has focused on designing virtual products that assists the gen-Y in the way they want to.

The virtual wallet is one of them which consists of three accounts namely, "spend", " reserve" and "growth" which can be accessed with a user friendly interface and saves time it's customers.

Also the bank is coming up with new additions to it such as tools for loans, investment and other financial services.

Also, the different features that this includes are:

- calender

-money bar

-wishlist

- spending+ budget

- savings engine

- punch the pig

-mobile

- credit card

Moreover, to earn higher interest rates they have designed two schemes that are performance select and performance spend that gives you bigger network circles and premium features.

Source- https://www.pnc.com/en/personal-banking/virtual-wallet-overview.html

https://www.pnc.com/en/personal-banking/banking/checking/virtual-wallet.html

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