iMarket Adds 401(K) Data Provider
PDR, Tampa, FL, is a contributor to iMarket's Open Data Architecture, which integrates specialized business data sources with its comprehensive Dun & Bradstreet business database on a user's desktop with a CD-ROM. PDR compiles its data from tax forms that each plan must file with the IRS.
As the extended bull market for stocks increases interest in investing, the competition among 401(K) plan providers has become fierce, said PDR president Sam Sarcone. Since most larger companies -- defined as those with assets of $10 million or more -- select plans through third-party consultants, providers are facing downward pressure to target smaller and smaller companies and turning to targeted lists to do so.
"Smaller plans are a market being missed," Sarcone said. "It is easier [for direct marketers] to locate smaller plans and easier to convert a smaller plan."
Larger plan providers like mutual fund company T. Rowe Price, Baltimore, use targeted lists in direct mail and telemarketing campaigns to that smaller market that serve as lead generators for its sales force.