1. ECONOMIC UPDATE
Economic and
Market Overview
as at October 1st 2010
Gaining a 15%
Price Advantage
Customers buy when
the value of a
terms of supply and
product/service demand, real ‘uniqueness’
exceeds the price, but of product and industry staff about your products,
what creates that differentiators, it is hard to services, how well do they
value? argue that reputation, trust know your target market and
and the quality of people are how well are they
At a recent conference what really make the delivering?
research was presented difference and that most None of these are rocket
to reveal the top 3 value products/services can be science factors, but as we
creating factors in a substituted. In short, would move into what is
retailing arena: be customers have to know traditionally the key strategic
who you are and what you planning quarter perhaps its
1 Reputation of supplier
stand for and see this time to challenge your
86%
evidenced consistently. business once again you
2 Trust in the supplier could be moving to a
Success requires good
72% slippery slop of a price led
marketing and PR and high
3 Knowledgeable sales calibre training; above all it strategy and if you really
staff 70% requires strong and could be the best in your
Clearly price is also a key imaginative leadership to operating space this is
factor in any decision, and recognise that reputation simply margin being thrown
on the same speaking really matters and that away for no reason.
platform a web based reputation is a business
organisation stated that in wide issue to be supported If its time for an audit of
selling a used car they had by every person on every where you are versus where
established that a 15% price occasion, no exceptions and you want to be, or if you
advantage could overcome that the process never ends. would values some tools to
the value of a traditional car In an ever competitive help email me today at:
sales medium. market, where time and info@rocketperformance.co.uk
In essence without a well price pressures face
respected reputation, everyone, what is your Best Wishes
without real trust and in the business’ reputation and
absence of good sales staff, what do you want it to be?
it is all about price. Whilst Do your customers trust
accepting that there are you, would they advocate Graham Filmer
other factors in play in the for you and how Email:
price value equation - in knowledgeable are your graham@rocketperformance.co.uk

2. ECONOMIC UPDATE
Key Economic Data Summary
as at 01/10/10
CPI (May) 3.1% Unchanged this month.
RPI (May) 4.7% Down from 0.1% from July.
Employment Qtr to May 2010 70.7% Up 0.4 on the quarter
Unemployment Qtr to May 20107.8% Down 0.1 on the quarter UK Economy Growth But Road
GDP Growth/Shrinkage Qtr20 GDP increased by 1.2% in the 2nd
Ahead Looks Uncertain (28/09/10)
quarter of 2010, unrevised from previous
published. GDP in the 2nd quarter of Britain's economy expanded at its
2010 is now 1.7% higher than the 2nd
quarter of 2009 fastest pace in nine years in the second
quarter of 2010 and growth at the start
BoE Base Rate 0.5% As of 05/03/09 (no change this month).
of the year was slightly stronger than
LIBOR (GBP 3M BBA) 0.73719% Rate continues to rise. previously thought, but analysts predict
Crude Oil $76.96 a barrel Prices have risen this month. a tough road ahead.
Gold $1185.900 per oz. Prices down this month.
The robust expansion in the three
months to June was bolstered by
National House Price Index July 2010 consumers using up their savings and
(source Lloyds Banking Group as at 08/09/10) a big rise in government spending ahead
of a severe austerity drive which is likely
Average House Price £167,953 to hamper the economic recovery. The
Monthly Change (0.2%) Office for National Statistics said the
economy grew 1.2 percent in the second
Average Change 4.6%
quarter, confirming an earlier estimate
and in line with economists' forecasts.
Personal Loan Rates (as of 28/09/10) - Rates First quarter growth was revised up to
sourced from lenders websites on 28/09/10 - Based upon £5K (unless 0.4 percent from 0.3 percent.
noted) over 36 months ex insurance and subject to underwriting
Lender APR Notes
Sainsbury's Finance 8.7% The rate has been reduced until 07/10/10 IMF Backs UK Deficit Action Plan
Tesco Personal Finance 8.7%
New lower rate (27/09/10)
Santander UK Min advance £7.5k existing customers only
8.9% The International Monetary Fund (IMF)
Post Office 8.9%
No change this month has said the UK economy is "on the
Nat West/RBS No change NW & RBS customers only
12.9% mend" and has backed the coalition
M&S 12.9%
Borrowers have to be a UK resident aged 30 government's plans to cut spending.
or over or a house owner The IMF described the deficit reduction
Halifax 18.9% New lower rate halifax customers only plan as "essential" in supporting the
HSBC (Flexi loan) 17.9% HSBC Current account holders only UK's debt position, and said it
Lloyds TSB n/a All rates subject to underwiting no longer published "supported a balanced recovery".
Barclays Bank 10.9% Barclays customers only on line application
Clydesdale / Yorkshire Bank 13.9% No change this month The body also said that the UK economy
AA Personal Loans 8.9% to 15.3% Loans available from £7.5k to £14.95k
would continue to recover at a moderate
pace while the cuts were implemented.
Co-Op Bank 12.9% No change
The IMF predicted growth of 2% in 2011,
rising to 2.5% in the medium term. That
marks a small revision downwards from
Mortgage Costs - Standard Variable an earlier forecast of 2.1% growth in
Rates (SVR) (as of 28/09/10) 2011
Rates sourced from www.lovemoney and lenders websites on 28/09/10
- rates may be subject to value levels and underwriting.
Lender SVR Comments Retail sales surge at fastest pace
or equivalent in 6 years – CBI (28/09/10)
Halifax 3.5% Retail sales unexpectedly shot up in
Standard Mortgage Rate (SMR) is 3.99% however Nationwide customers with
Nationwide BS 3.99% (SMR) 2.5% (BMR) deals reserved on or before 29 April 2009 will revert to the variable Base Mortgage September at their fastest pace in six
Rate (BMR) which is currently 2.5%
years, a survey showed on Tuesday,
Santander UK 4.24% as consumers splashed out on new
Only applies to current customers at the natural end of mortgage applied for
Lloyds TSB/C&G 2.5% before 01/06/10 clothes, shoes and furniture.
3.99% For customers applying for a mortgage after 01/06/10
Northern Rock 4.79% The loyalty rate is 4.54% The CBI's monthly distributive trades
survey's reported sales balance jumped
Barclays (Woolwich) 2.49%
to +49 in September from +35 in August,
RBS 4.00% the highest reading since May 2004.
HSBC 3.94% Analysts had forecast +25.

3. ECONOMIC UPDATE
Property News
(source Lloyds Banking Group 08/08/10)
House prices increased by 0.2% in August. This was the second
successive monthly increase following a 0.7% rise in July.
House prices in August were 4.6% higher on an annual basis as
measured by the average for the latest three months against the
same period a year earlier. This was slightly below the 4.9% increase
in July, continuing the recent downward trend and compares with In Marketing, Public
a high of 6.9% in May. Relations, Training &
Development
Prices in July were marginally lower (-0.5%) than at the end of 2009. and Corporate
The current average house price of £167,953 is 9% above its April Development
2009 low, but remains 16% below its August 2007 peak. Our three distinct business
disciplines share one
Housing market activity broadly stable. Bank of England industry- common goal - to give our
wide figures show that the number of mortgages approved to finance clients a performance
house purchase in the three months to July – a leading indicator of edge
completed house sales – were slightly higher (1%) than in the After many years in
corporate business
previous quarter, on a seasonally adjusted basis. The number of leadership, we struggled to
approvals has been remarkably stable this year, keeping within a find the type of results
range of 46,000-50,000 per month. In total, the number of approvals focused, entrepreneurial
during January to July was 9% higher than in the same period last people who could make the
type of positive contributions
year. we were looking for to drive
The combination of lower house prices compared with mid 2007 our businesses forward.
People who were
and interest rate reductions has created a significant improvement knowledgeable, energetic,
in affordability for those buyers wanting to take their first steps onto results focused and fun to
the property ladder. Indeed, the proportion of a potential new first- work with, people we could
time buyer's disposable earnings devoted to mortgage payments trust as friends.
has almost halved from a peak of 50% in mid 2007 to 28% - below To create such a support
the 34% average over the past 25 years. Improving home affordability service was our goal and
now seven years on we
has helped to boost the number of first-time buyers, which was 28% continue to grow remaining
higher in the first half of 2010 compared with the same period last true to this original vision.
year – 94,600 against 74,000 - according to the latest CML figures. Across the UK, Europe and
beyond we are proud to be
making a valued
OFT Issues Damming Report on Debt Management Companies (28/09/10 contribution to the
businesses and above all
The Office of Fair Trading has ordered 129 debt management firms to clean up their people with whom we work.
act within three months or face losing their licences. From training and
An 11 month review of the sector resulted in a damning report highlighting widespread development, through public
problems including misleading advertising and poor advice to those in debt. relations and marketing and
Three-quarters of those firms checked by the OFT charged their fees at the start of the on to major corporate
process. This, the OFT said, would minimise the risks faced by the firms while not development we are
dealing immediately with consumers' difficulties. delighted to share our
Standards should be higher, the OFT said, and it highlighted issues including: expertise, energy and
results focus.
Misleading advertising by suggesting, wrongly, that services were free We love what we do and our
Frontline advisers offering poor advice passion comes through in
Little awareness among customers that they could take complaints about firms to everything we do.
an independent ombudsman "We Bring Focus to
In the worst cases, the use of lookalike names to appear to be charitable or Deliver Results"
government organisations
The Rocket Performance Group
Rocket Marketing Associates Rocket Training & Development Rocket Corporate Development
Lanark, Scotland Ross-on-Wye Beaconsfield
Email: info@rocketperformance.co.uk www.rocketperformance.co.uk
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