CDG Consulting Group
Insight and Innovation Through Information
Our Services -- A Sampling
Who We Are
What We Do
CDG stands for Customer Driven Growth. Our goal is to combine what you know about your customers with what we've learned that works to build portfolio profitability.
We bring our years of experience to the table to help you leverage client information to find and keep your best customers.
More About Us
A large bankcard issuer wanted to understand better how credit losses would develop as it grew its portfolio aggressively. We identified major differences in performance by vintage and channel to build a layered loss forecast that they could maintain on their own and factor into future acquisisiton decisions. The new CECL standard will make accurate loss forecasting more important than ever for financial and strategic planning.
Several major banks needed help creating customer profit models. We reviewed each product to calculate monthly profit for each customer. Our clients were able to roll up the results to determine each customer’s incremental and total profit. This information can be used to assess returns on each acquisition and on-going marketing investment.
Working with a retailer that generates a large volume of leads with a low conversion rate we helped them rank order leads based on likelihood to convert to a sale. Dealing with messy and inconsistent data learnings also focused on scripting and system changes to improve data capture.
Assess the Business
We reviewed and analyzed how a large UK card issuer was acquiring, on-boarding, and managing its customers. We identified a wide range of changes from the number of steps in a web application to existing customer communications and promotions all designed to boost acquisitions and CRM efficiency.
Thoughts From Our Blog
International Banks May Avoid CECL
New rules to account for loan loss reserves will come into effect in the coming years. Unfortunately there's a difference between US and international rules. This may lead to some 'creative' bookkeeping.
Debt Levels Continue Increase
NerdWallet's Household Credit survey offers some interesting insights into how people build their levels of debt. It also offers insights into how many households are saddled with different types of debt.
Financial Services Disruption Is The Future
China is on the front lines of financial services disruption. Ant Financial (Alibaba) and WeChat (Tencent Holdings) have changed the game there and they -- or other new entrants -- have an opportunity to do the same in more traditional banking markets.
A.I. In The Workplace
There's been lots of hype about how A.I. -- artificial intelligence -- will change the workplace, largely by doing many jobs and putting people out of work. Some firms are starting with baby steps focused on the most mundane tasks. Where does it go from here?
The Next Mortgage Crisis
Are we destined to repeat past mistakes? For mortgages it seems we can't resist. Some research into the development of the mortgage backed securities market helps provide insight into past mistakes and whether we will repeat them again.
Chase Shutting Down Cards
Chase has been aggressively luring new, high spending customers to its credit card products, particularly the Sapphire Reserve Card. While bonuses have been shrinking there are also stories about Chase closing existing accounts. Why?
New Payday Loan Alternative
Payday lending comes at a high cost to borrowers but it may be the only option available to some. Now US Bank is offering a small dollar loan product that may offer relief to some borrowers but at still a high cost.
CECL Delay For Smaller Financial Institutions
The FASB is proposing to delay the implementation date for the new CECL accounting standard. While practical early adoption may be best for most lenders.
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