Citigold: Growing the Gold Conversation

This case is focused on the ongoing rejuvenation of Citibank's cornerstone product in Hong Kong, Citigold, first launched in 1982. Citibank strived to be the market leader in priority banking products offered to high net worth individuals (HNWIs). For HNWIs, Citibank followed a segment-led strategy based on the customer's account balance around which Citi Priority, Citigold and Citigold Private Client products were formulated. Out of the three, Citigold focused on the emerging-affluent segments and offered them exclusive services that were based on three tenets of the product: sophisticated financial planning products, dedicated relationship managers and unparalleled privilege that allowed a Citigold customer to enjoy elevated banking status with Citibank. As Citigold was one of the first products of its kind in the market, it contributed to the premium image of Citibank over other banks in Hong Kong. However, over the years competition had caught up and offered products very similar to Citigold, eroding their once unique value proposition. Combining the commoditization of their product and changing consumer preferences in Hong Kong, the market share of Citibank in Hong Kong was threatened. Citigold customers, which made up 30% of the entire Citibank consumer base, contributed to 80% of the bank's revenue. In 2017, the bank looked to protect its position in the market and to craft a strategy that would address the current challenging environment in priority banking products.

• Consumer behavior
• Product positioning
• Banks and banking