The Marketing Strategy Formation was one of the key topics discussed this semester. After learning about the Marketing Strategy Formation, specifically the 5 C’s Analysis and Segmentation and Targeting, I reflected on my time at Peachtree. Prior to coming to Temple University, I worked at Peachtree Financial Solutions. Peachtree Financial Solutions is the sister company to J.G. Wentworth, and offers several services to its customers. The services/products offered are Structured Settlements, Annuities, Lottery Winnings, and Pre-Settlement Funding. The goal of the company is to give money to get money, well at least that’s how I see it.
The typical customer is someone who obviously needs money at the moment, but not just anybody who needs money. These are people who need money, but are waiting for “big money” to come in, whether it be a lump sum or payments overtime. Some of the sources of this “big money” can include legal settlements/pending lawsuits, lottery winnings, retirement plans, etc. The company has a strong brand awareness, strong connections with law firms, and payback is not required if the customer does not win the case (pre-settlement Funding). Depending on the value of the lawsuit, more funding is possibly an option (pre-settlement funding), and a customer has the choice to sell either half or all of their structured settlement. The turnaround time on disbursing the funds is usually very fast. Sometimes the company can’t fund every case, so they would collaborate with other companies (brokers) to outsource the customer’s case to try and get them money elsewhere. Compared to its competition, Peachtree’s interest rates are more reasonable, and they seem to be more transparent with customers in regards to the rates and payback details. In regards to context, some state laws prohibit advance funding on certain types of lawsuits, or some states have rules in place that just won’t allow it across the board (at least when I was there), but Peachtree took this as an opportunity to try and serve these customers in other ways (i.e. starting a regular loan department).
Overall, I think Peachtree did a good job with segmenting the market (i.e. people in need of money, possibly unemployed, maybe low-income, price-sensitive, involved in lawsuit, etc.),then targeting the exact groups of people based on the services offered. For example, I worked in the Pre-Settlement Funding department, which was designated for pending lawsuits, personal injury cases, and would be receiving a lump sum. Just like any other company, Peachtree had its pros and cons, but overall, I think they are doing most things right.