Strategy
Growth in three areas
Strategy in the Netherlands - market
leader in the all-finance market
Leverage distribution strength as
a 'near-you bank'
International strategy
Besides organic growth, Rabobank's Strategic Framework
for 2005 - 2010 is founded on the following principles:
- Rabobank is and remains Dutch, with its dominant
market position in food agri, among private individuals
and in small and medium-sized enterprises;
- Rabobank is and remains a cooperative; exceptions may
be made for Group subsidiaries;
- Rabobank remains Triple A worthy;
- Rabobank remains independent.
Continuity through sustained organic growth.
Rabobank positions itself as 'the global food agri bank
with its roots in the Netherlands'.
The Strategic Framework profiles Rabobank as 'the global
food agri bank with its roots in the Netherlands' and in
doing so distinguishes three areas in which growth must
be realised:
- growth in the Dutch all-finance market, in particular
through further collaboration with Eureko/Achmea and
through further strengthening of Rabobank's position in
the top end of the private and corporate markets;
- continued expansion abroad as a leading international
food agri bank;
- further growth of and synergy between the Group
subsidiaries.
Market leadership in all-finance in the Netherlands remains
the chief goal. In addition to the mass market for banking
services to private individuals, small and medium-sized
enterprises and the agricultural sector, there are attractive
opportunities for growth in the top end of the private and
corporate markets, where Rabobank is currently in second
place. Equally rich in perspective are the 'segments of the
future' - young people and starting entrepreneurs.
Traditionally, Rabobank has a strong presence in the rural
areas, with less prominence of the local Rabobanks in the
large cities. It is the bank's ambition to expand its positions
in the urban areas further. In the year under review, the
bank's market share in the urban small and medium-sized
enterprises sector grew by 1 percentage point to 29% (28%).
The market share in the mortgage market increased in
2006. With a market share of 25.5% (23.0%), Rabobank is
the biggest mortgage lender in the Netherlands. Its leading
positions in the savings market and the small and medium-
sized enterprises sector were virtually unchanged.
The acquisition of Athlon has made De Lage Landen the
number two in the Dutch car lease market and the
acquisition of parts of Bouwfonds gave Rabobank Group
the market leadership in owner-occupied housing projects.
In addition, this acquisition gave the Real Estate division a
prominent position in real estate asset management.
In addition, a number of product markets offer opportunities
for further growth, with insurance, investment, consumer
credits and real estate as the spearheads.
Rabobank leverages its distribution strength as the 'near-
you bank' of the Netherlands, not just physically but also
- and increasingly - virtually. Using differentiated market
strategies, it responds to differences in client segments,
geographical differences and distinct labels and distribution
channels. The bank's answer to the growing competition
on the 'near-you' aspect lies in expansion of the number of
client interface points. By expanding its virtual bank further,
clients' experience of Rabobank as 'near-you' and personal
must likewise be maintained. In the year under review, the
number of client interface points was expanded further
and investments included Rabo Mobiel, the new member
magazine 'Dichterbij' and the renewal of the website.
Rabobank International aims to be the world's leading food
agri bank. This ambition dovetails seamlessly with
Rabobank's cooperative origins as the pre-eminent financier
of the Dutch agricultural sector and the enormous amount
of expertise it has developed. Rabobank's international
operations can be divided into four categories:
- International retail banking
Here, Rabobank focuses on three growth markets. At the top
of the priority list are traditionally agricultural countries with
a stable political climate and a structurally attractive agri
cultural sector, such as the United States and Australia.
Rabobank also focuses on countries in Central and Eastern
Strategy: Plotting a course into the future 15
