Conduct a Market Conditions Analysis
The analysis of market conditions should include geographic, demographic, employment, income, housing, and other economic data. At a minimum, the analysis should answer the following questions:
- What financial services and service providers are available to the membership? For example, identify the number of credit unions, banks, savings and loan institutions, check cashing facilities, pawn shops, and/or other alternative financial institutions available.
- What type of products do the financial providers offer or not offer?
- What is the economic condition of the membership? For example, is the sponsor company growing or downsizing, or is the community considered affluent or low income?
- What is the need for a credit union?
- Who will be the PFCU’s competitors, and how will the PFCU compete?
The data and analysis performed on the market generally helps the organizing group develop the PFCU’s business plan, marketing plan, projections, and assumptions.