It has been clear that the traditional, product focus is no longer the ideal formula for banks and other businesses that are in the financial services marketing sector. These industries have key stakeholders who are realizing their potential. The customer experience is as important as the institution’s offerings. This is evidently true even in the digital age. Consumers are growing increasingly skeptical about the ability of the financial industry to protect their accounts.
Many CMOs and CFOs have shifted away from a product-focused approach and are now using customer-centric marketing strategies. Marketing can be made more customer-centric by using the right technology. Financial institutions have a significant competitive advantage in operations and finance. It is the customer’s trust that gives them an edge.
What is Financial Services Marketing?
Financial services marketing involves the use of many strategies Processes and tools that are designed to increase brand awareness and drive conversions in the financial and banking industry. You can make sure your business is successful by using a variety of marketing tools, such as SEO and PPC. Your company will receive the most leads for the lowest price. Digital marketing is rapidly growing. Online marketing is a must-have for financial institutions.
What are the Benefits of Financial Services Marketing?
Extending your marketing efforts in financial services can have many benefits. Consumers will have greater access to your company if you increase your online presence which will increase brand awareness and brand equity. You can also build relationships with your customers by adopting new marketing strategies. Your consumers and increase trust between brand and consumer Another benefit is the ability to control your online image. Brands can counter negative press by being involved in social media and advertising campaigns. Consumers can also leave reviews.
Also read: What is Banking-as-a-Service and It’s Market
7 Trends For Financial Services Marketing
Let’s look closer at seven marketing trends. These are the trends in financial services, so you need to know what marketing technology is needed to stand out in this highly competitive market.
1. Increasing Demand for Cross-Departmental Integration
Financial services companies often have limited visibility due to data silos. This can be attributed to many factors including increased mergers and acquisitions, different levels of a data authority, and a fundamentally decentralized approach to collecting data. Financial institutions have a difficult time accurately analyzing all their data. But, it is crucial to have a centralized, accurate data analysis in order to create seamless, integrated systems. Data-driven Marketing Campaigns that Create Positive Customer Experiences
CMOS need to build cross-departmental bridges within the company and link all disciplines of their marketing team together in order to unify information. Each team can store marketing data in one place with a central data analytics platform. This will allow data to be linked across all business lines, breaking down silos and enabling advanced decision-making that will impact the success of the entire organization.
2. Digital Efforts
Financial services must market to build trust with potential clients. Financial institutions can use social media to connect with potential customers and answer their questions online. In fact, 42 percent of consumers can expect an answer within an hour. It will allow the company to exercise greater control over its image.
You can create a digital environment that engages customers and adds value to their content by creating a digital ecosystem. You can make sure that your customers will seek out your company instead of other competing brands.
3. Measuring Campaigns & Marketing ROI
Digital marketing campaigns generate a lot of performance-related data. CMOS and chief financial officers have come to expect more accountability from their marketing teams. Marketers must link data from multiple campaigns to determine which marketing messages are effective and which don’t. This is often done by combining sales data with campaign data using methods such as unified marketing measurement.
To ensure that their performance is accurately measured, marketers need to look for several capabilities in a Marketing Analytics platform.
- Analyzing and reporting ROI — Integrating your analytics platform with financial reporting systems will allow you to determine the marketing ROI. This will show the finance team the true value of your marketing investments.
- Online and Offline Optimization — Marketers must optimize all media placements and messages, online or offline. While many marketing analytics platforms can track digital campaigns’ performance, make sure your chosen platform optimizes offline media.
- Brand Tracking – By tracking key categories such as brand awareness and purchase intent, you can track the progression of your brand’s image. A marketing analytics platform that supports brand tracking is able to track your customers through continuous surveys. This will help you optimize ROI over the long term.
- Brand and Behavior Linkage – The best marketing analytics platform will link brand investments with sales data to show which branding strategies are performing well.
4. Answering Consumer Micro-Moments
Micro-moments are when a consumer uses their device to solve an immediate problem. If a customer decides to learn something by searching the internet, it is possible for them to pick up their phone. They’re engaged in micro-moments, whether they’re doing something, watching something, or purchasing something. 96 percent of people reach for their smartphones when they require information on the spot which is an important segment for marketers to target. These people must be able to anticipate and create content with the intent of addressing micro-moments.
Stakeholders need to look for a platform that predicts which messages people are most likely to search in these micro-moments, and allows them to adjust campaigns as they fly. This will enable you to monitor fluctuations in customer inquiries so that your team can tell customers exactly what they need on any given day with a reasonable budget.
5. Create valuable content for customers
Marketing strategies are increasingly incorporating content creation. With 61 percent of financial services, marketers reporting Content strategies are a great way to drive traffic and establish relationships with customers. However, Marketers shouldn’t make a lot of content based only on what consumers want. They must support their content strategies using data.
Financial service companies should be focusing on content that provides true value to their customers. This will increase awareness and help users move down the funnel. You can identify which type of content resonates best with customers by using the right marketing performance instrument that is done by linking attitudinal data with person-level sales behavior data. Marketers can identify the content types that need to be created by analyzing these correlations.
6. Leveraging Predictive Analytics & Machine Learning
The power of predictive analytics as well as machine learning is being recognized by major players in the financial service industry. Machine learning (ML), and Artificial Intelligence (AI) are used a lot in security, automated processes, and algorithmic trading, but less often in marketing. Marketers can use predictive analytics and machine learning to intelligently communicate the right messages to the right customers by leveraging machine learning and predictive analytics.
Marketers should search for advanced analytics platforms that accurately predict which messages are most successful. Tools that use intelligent learning frameworks like Bayesian Learning and Forgetting to enable marketers to make better data-driven decisions about market shifts. These tools will help you identify the best opportunities and eliminate wasteful ad spending.
7. The Rise of Personalization
Financial services is a highly competitive industry. personalization allows organizations to stand out and shift the focus from the product to the customer. Marketers can create customer experiences that cater to each individual’s needs and wants by having a better understanding of their target audience. Tools that take both emotional and logical factors into account should be considered by teams to help them determine which messages are working and why. This will allow you to build personal relationships with customers and increase customer loyalty. It also helps reduce long-term marketing costs.
Banking and financial institutions are shifting from a product-centric mindset to one that is customer-centric. It’s crucial to make sure that they are aware of the latest trends among their customer-centric contemporaries. Marketing teams need to ensure they are keeping up with industry changes by acquiring the right marketing technologies to help them create new marketing initiatives.
Financial institutions can use these tools to improve customer experiences and gain trust by using perfect messaging. This will enable your company to stand out from the crowd of financial institutions and banks, creating a competitive advantage that will lead to long-term positive outcomes.