Online Brokerages Need Segmentation Plans Financial Service Online (10/00) Vol. 5, No. 10 p.12; Makos, Jeffrey J.
A recent study by IDC, an information technology
research company, shows that the U.S. online brokerage customer
base will nearly double to 20 million households by 2004.
Additionally, the report shows that the demographics of online
brokerage customers are beginning to shift. Recent shifts in
online demographics include an increase in female representation,
an increase in Americans over age 55, and the creation of
portfolios by 18- to 34-year-olds. IDC analysts believe that
brokerage firms that adopt segmentation strategies will be more
prepared to profit from this changing customer base.