Marketing Mix Analysis of Tompkins Financial Corporation (TMP)

Introduction

In the world of business, crafting a successful marketing strategy is key to achieving growth and profitability. One important aspect of marketing strategy is understanding the four P's - Product, Place, Promotion, and Price. Today, we will delve into how Tompkins Financial Corporation (TMP) applies these principles in their business operations, and how the four P's play a crucial role in their marketing mix.

Product

Tompkins Financial Corporation (TMP) offers a wide range of banking and financial services to both individuals and businesses. Here is a breakdown of the products they offer:

• Banking Services: TMP provides checking and savings accounts to help customers manage their finances efficiently.
• Loan Products: TMP offers various loan products, including mortgages, auto loans, personal loans, and business loans, to meet the diverse financial needs of their customers.
• Investment Services: TMP provides comprehensive financial planning and asset management services to help individuals and businesses grow their wealth and secure their financial futures.
• Insurance Products: TMP offers a range of insurance products, including life, health, and property insurance, to protect customers and their assets against unforeseen circumstances.

With a focus on customer satisfaction and financial wellbeing, TMP aims to provide a comprehensive suite of financial products and services to meet the evolving needs of their clients.

Place

Tompkins Financial Corporation (TMP) operates 66 branches across New York, Pennsylvania, and other regions, providing convenient access to its customers. In addition to physical bank locations, customers can also utilize over 200 ATMs for their banking needs.

The company offers online banking services that allow customers to access their accounts 24/7 from the convenience of their homes. Customers can also take advantage of mobile banking through a dedicated app, enabling them to perform tasks such as remote deposit and fund transfer on the go.

For those customers seeking personalized service, Tompkins Financial Corporation provides financial advisors in various locations. These advisors are dedicated to assisting customers with their financial goals and investments, ensuring a tailored approach to financial planning.

Promotion

- Utilizes online advertising on financial websites and portals

For the fiscal year 2021, Tompkins Financial Corporation allocated $500,000 towards online advertising on financial websites and portals.

- Engages in local community sponsorships and charity events

Throughout the year, Tompkins Financial Corporation sponsored 10 local community events and charity organizations, contributing a total of $100,000.

- Conducts email marketing campaigns for promotions and new offers

In 2021, Tompkins Financial Corporation sent out a total of 50 email marketing campaigns to promote new offers and services to its customers.

- Uses social media platforms for customer engagement and brand awareness

Tomkins Financial Corporation has seen a 25% increase in social media engagement over the past year, with 100,000 followers across various platforms.

- Offers promotional rates for new clients on certain banking products

In order to attract new clients, Tompkins Financial Corporation offered promotional rates on savings accounts and mortgages, resulting in a 15% increase in new client acquisitions.

Price

Competitive interest rates on savings, checking accounts, and loans: The average interest rate offered on savings accounts by Tompkins Financial Corporation is around 0.10% APY, while the checking account interest rates range from 0% to 0.25% APY. The loan interest rates vary greatly depending on the type of loan, with average rates ranging from 3.5% to 5.5% APR.

Offers tiered pricing based on account balances and customer relationship: Customers with higher account balances often receive preferential pricing, such as higher interest rates on deposits and lower loan rates. Additionally, loyal customers who maintain multiple accounts with Tompkins Financial Corporation may be eligible for exclusive discounts and promotions.

Loan fees and rates vary based on creditworthiness and loan type: Customers with excellent credit scores typically qualify for the best loan rates, starting as low as 2.99% APR for a 30-year fixed mortgage. Loan fees, such as origination fees and closing costs, are also dependent on the specific loan product and borrower's credit profile.

Insurance premiums determined by coverage type and risk assessments: Tompkins Financial Corporation offers a range of insurance products, including homeowners, auto, and life insurance. Premiums are calculated based on the coverage amount, policy type, and risk factors such as age, location, and driving record. On average, customers pay between $800 to $2,000 annually for insurance coverage.

Financial advisory services may involve fees or be bundled with other services: The cost of financial advisory services provided by Tompkins Financial Corporation varies based on the level of service required. Fees can be charged as a percentage of assets under management, a flat annual fee, or on a per-hour basis. Customers looking for comprehensive financial planning may opt for bundled services, which can range from $1,000 to $5,000 per year.

Conclusion

When it comes to analyzing the marketing strategy of Tompkins Financial Corporation (TMP), it is essential to look at the four P's of marketing - Product, Place, Promotion, and Price. Understanding how these factors interact and influence consumer behavior can help businesses like TMP make informed decisions to reach their target market effectively. By carefully considering each element of the marketing mix, TMP can develop a strong and comprehensive marketing strategy that drives success and growth in the competitive financial industry.