英国の個人向けローン市場における競争の動向、2008年

Abstract

Overview

Introduction

The UK unsecured personal loan sector has continued to contract in 2007 and more lenders are now focusing on good quality customers rather than volume. Moreover, the advent of the credit crunch has led to fewer players in this sector and to significant increases in personal loan interest rates, as well as a marked change in customer acquisition strategies.

Scope

• Provides market shares in balances outstanding and gross advances for major unsecured loan providers.
• Provides advertising spend for top personal loan providers.
• Discusses the key competitive changes in the market over the last twelve months.

Report Highlights

Many lenders have intentionally been reducing their market share as they shift their focus to good quality lending and reject more customers, as opposed to losing share naturally.

From a total of 57 unsecured personal loan providers in May 2007, this number has fallen to just 46 in May 2008, representing a contraction of 19% in the number of unsecured personal loan providers.

While rising bad debts was the trigger for a shift away from mass customer acquisition, the credit crunch has further contributed to this trend.

Reasons to Purchase

• Gain insight into the performance of your competitors.
• Learn how the market is changing and evaluate any opportunities for your business arising from these changes.
• Learn how your competitors are adapting their strategies in a changing market.

Table of Contents

• DATAMONITOR VIEW
  • CATALYST
  • SUMMARY
• ANALYSIS
  • A contracting market in 2007 saw major personal loanproviders reach lower lending levels
    • Major lenders' new personal loan business levels in 2007were below 2006 levels
    • Many of the major personal loan providers also experienceda contraction in balances outstanding in 2007
  • Competitive intensity in the UK personal loan market haseased somewhat
    • There are significantly fewer players now operating inthis sector
    • Most lenders are focusing on their own customer databaseto sell personal loans
      • The credit crunch is forcing lenders to review theirlending strategies
    • Advertising spend has declined in 2007, as a result ofmore focus on cross-selling
    • The credit crunch is making the personal loan market lessprice sensitive
      • Personal loan providers have increased their ratesignificantly in the space of a year
  • Going forward, bad debt and PPI issues remain a threat tolenders' profitability
    • Bad debt still remains an issue for lenders, althoughlenders seem to have learnt from their recent experience
      • Nonetheless, overindebtedness continues to remain aconcern
    • The future of the PPI sector is still undecided
      • Personal loan providers' profitability will be adverselyaffected
• APPENDIX
  • Supplementary data
  • Definitions
    • Balances outstanding
    • Bank of England base rate
    • CAGR
    • Gross advances
    • PPI
  • Methodology
  • Further reading
  • Ask the analyst
  • Datamonitor consulting
  • Disclaimer
• List of Tables
  • Table 1: Unsecured personal loan gross lending for majorcompetitors, 2005-07
  • Table 2: Unsecured personal loan balances outstandingand market share for major competitors, 2006-07
  • Table 3: List of unsecured personal loan providers inthe UK as per Moneyfacts May 2008
  • Table 4: Typical interest rates of major providers on a£5,000 unsecured personal loan
  • Table 5: Pricing structure for a sample of personal loanproviders
  • Table 6: Gross lending market shares for major unsecuredpersonal loan providers, 2005-07
  • Table 7: Advertising spend on personal loans for majorproviders, 2006-07
  • Table 8: Monthly interest rates on unsecured personalloans
  • Table 9: UK banks' and building societies' write-offs onconsumer lending
  • Table 10: PPI gross written premium by product line,2006
• List of Figures
  • Figure 1: With the exception of Alliance &Leicester, all major lenders witnessed a fall in business level in 2007
  • Figure 2: All major providers witnessed a fall in marketshare of personal loan balances outstanding over 2007
  • Figure 3: All major personal loan providers have cutback on advertising spend over 2007
  • Figure 4: Interest rates on unsecured personal loanshave risen again in the last couple of months despite a cut in the baserate
  • Figure 5: Barclaycard and Alliance & Leicester arein Moneyfacts' Best Buys table, May 2008
  • Figure 6: Write-offs on unsecured lending other thancredit cards fell slightly in 2007
  • Figure 7: The average unsecured consumer debt per UKadult increased further in 2007
  • Figure 8: Lloyds TSB and RBS Group stand to lose themost with the CC' s investigation of the PPI sector