It should come as no surprise that cautious, conservative banks and financial services institutions are generally late adopters to “trends.” Marketing is no exception.
Digital technologies have been a part (possibly too big a part?!) of our personal and business lives for quite some time. Now we’re beginning to see them become an integral component of marketing campaigns in the financial services arena.
Mobile banking – Bank wherever you are
Mobile banking has become a differentiator in client satisfaction. Banking on the go is becoming a requirement for more consumers. Many studies have shown that clients using mobile banking apps are significantly more satisfied with their financial institutions. Adoption of this technology, so long as it is used in a secure manner, is the wave of the future.
Social media – Please “like” me!
This is a trend that can’t be ignored. Realizing that “posts,” positive or negative, can “go viral” in a matter of minutes, financial service companies have begun to have a social media presence the last few years. Companies have started to enhance existing campaigns by encouraging clients to share socially. Whether part of an existing campaign or stand-alone, social media promotions are the most efficient way to engage with the company.
Email – You’ve got mail
As banking customers continue to move to online as their preferred method of managing accounts, email has become a key channel for communication. Historically, the industry mainly used it for operational alerts rather than marketing, partly due to poor “click-through rates,” possibly due to poor segmentation. Now firms can leverage the data they collect from marketing analytics to better segment, target and personalize emails, making them more relevant to their clients. Using marketing automation can create a two-way conversation, and listening to the customer’s online behavior can increase engagement rates significantly.
Marketing analytics – I know what you want
Clients want their financial institutions to be proactive and provide personalized attention. The financial services industry was an early adopter of technology that brought customer data together, but it’s struggled to cope with the recent explosion of data available from website behavior, social media interactions and other digital channels in order to be able to use it to deliver the right offering to the right customer at the right time.
Firms are now combining customer relationship management data with marketing analytics to systematically up-sell, cross-sell and nurture, based on the insights gathered. Also, firms can use their analytics to refine targeting for online advertising to increase the related ROI. This has been shown to increase engagement rates significantly.
Marketing automation – The right information at the right time
Marketing automation is technology designed to enable more effective marketing through multiple channels online (email, social media, websites) and automate repetitive tasks. It’s becoming more common in the financial services industry. Marketing automation enables clients to opt in to marketing early in the buying cycle, and then delivers the right content at the right time. Additionally, use of online ‘subscription centers’ allows clients to choose the content they wish to receive and specify their preferred delivery mechanism.
The financial services industry might be slow… but it eventually catches up!
SKM has been using all of these marketing tactics for our clients in other industries, making it easy for our long time banking clients to lean on us for assistance.
Account Director, Direct Marketing