I am doing a case study on Capital One.
The CEO saw three types of opportunities on the internet. First the company discovered that many of its customers were already visiting the website, capitalone.com, to see if transactions had cleared, to check balances, and tp pay bill. On average, online users visted the site once a week. With 24 milliomn acconts, Capital One was well poised to offer a variety of online services and producs and to create portals that offered financial-based shopping. The CEO's goal for Capital One was to make it the number one credit card company online. To this end, he planned to originate one million new customers online and to have two million active users online by year-end 2000. He planned to develop an Internet brand to comparable to Dell and Schwab and to remain profitable while pursuing these goals.
A second opporunity was to help internet and techonlogy companies develop their information based strategies.
Finally, Capital One was getting into the venture capital business, seeking out startups that were doing the "things at the edges that Capital One would Normally do."
Question: Any recommendations in order to pursue the CEO's goals to be the number credit card company online? Recommendations to help expand, utilize and publicize Capital One through the Internet? Basically, I need recommendations for the CEO's vision on how the internet can help Capital One succeed in the future.
Recommendations for Capital one to expand, utilize and publicize Capital one through the internet and become number one online credit card company are:
Capital one already enjoys a very large customer base for its credit card. Further, most of these clients already visit the company's website for one purpose or the other. Therefore, we can say that company already enjoys a decent web presence and awareness among its consumers. In order to take advantage of this fact and take leverage of its existing client base, company should consider adding multiple financial products and services for its already existing customers as well as new customers. By properly targeting its existing customers, Capital one can achieve a significant conversion ratio among the existing clients with respect to using other new products ...
Capital One Case Study