Remember the days when one ad would send consumers flying into your branches ready to open an account? We don’t, either, because it doesn’t work that way. If anything, getting consumers’ attention is harder than it used to be because advertising is everywhere – online, offline, on our devices, on the side of the road, on grocery store receipts and even on gas pumps. That old rule of seven, which suggests consumers have to be exposed to a marketing message at least seven times before taking action, has easily increased to 777 exposures if not more.
Does that mean you shouldn’t advertise? Absolutely not. Even the most recognizable brands in the world advertise because they want to remain top-of-mind. Coca-Cola wants to be the first brand consumers think of when consumers get thirsty. But Coca-Cola doesn’t put all of its worth in one ad, and it relies on more than marketing to grow and succeed.
Here are some tips to help you succeed:
Understand why people switch financial institutions. Most studies point to life circumstances as the primary reason consumers switch financial institutions – marriage, divorce, new job, etc. The one they choose is either convenient, has been recommended by friends or family or is a financial institution with which they already have a relationship. That’s according to a study conducted recently by Bank Clarity, which also indicates that nearly 80% of consumers are unlikely to switch at all.
Spend more time focusing on existing customers or members. Consumers have to know you, trust you and actually need what you are selling before they respond to your marketing efforts. Every financial institution has a captive audience of people who already fit that description – existing customers or members. How much time and money do you actually spend marketing to them versus new consumers? MarketMetrics.com says selling to existing customers is 50% easier than selling to new ones. Existing clients convert at 60-70% compared to new prospects at 5-20%. Engage those people at every touch point.
Before social media, consumers would actually pick up a phone and call customer service to resolve an issue. Now, they would rather complain about it on social media to an people who can’t fix the problem.