No matter the size of an organization, everyone is searching for the perfect formula: The one that will grow their customer base and their ROI. Honestly, a company that isn’t growing is dying. It’s a basic Business 101 concept.
There are plenty of formulas out there businesses like yours are using to achieve a great deal of success. Our goal is to help you capitalize on models that already exist — while not breaking the bank in the process.
That sounds great, what’s actually working?
Start with checking account acquisition. If it seems too easy, maybe that’s because it is. It’s the simplest way to attract and convert new people, create lasting relationships, and serve as a reason to contact them with cross-channel promotions.
Think about it. Everyone needs a checking account. No matter how digital things go and how much people hate to write checks, they still need to be able to write them. And every banking transaction typically goes through this account, whether by debit, EBT or a classic, old-school paper check.
How exactly does this work?
Start by understanding your market. Spend some time on the front-end doing analysis so that you fully understand the objectives to set. One way to do this is by using predictive analytics to target your future market as well as existing customers. Then commit to an offer and make it appealing.
Why would someone choose to go with you over another institution? Incentivize the heck out of whatever you offer. (Sorry if we used strong language there, but this is important!) Do this and you’ll see results.
Consider offering a set interest rate for opening a checking account with you or offer a pre-paid debit card as a thank-you for joining. Then blast this offer out wherever you can. That means maximizing the offer across channels. Promote it in branches, on the internet and anywhere else you get traffic.
Once you get new members, retain them with a set onboarding strategy. Gather their email address and send follow-up offers, news, and incentives. Thank them for trusting you as a financial partner. Sure it takes a little legwork upfront, but it pays dividends.
What does the research say?
Okay, checking account acquisition is a great place to start. Next let’s take a look at the mindset people are in when they’re making the decision to change and how that impacts what you should do.
Research finds that there are certain reasons consumers decide on a primary financial institution. Marketing, negative experiences and life events are drivers in the market for people to switch. Some shifts in consumer mindset show that organizations like yours need to be “always on” as this is a driver for people considering a switch. If your brand as seen as available and caring, it’s easier to secure a new customer. Especially when they are shopping different institutions at once.
It’s also important to remember that the financial services path to purchase is not as predictable as it was before. Take checking accounts for example. Most consumers visit at least one bank or credit union website prior to purchase, with a majority visiting multiple sites. For this reason, it’s challenging for financial marketers that want to be where the consumer is shopping for new checking accounts. Sure, digital retargeting is still a smart tactic, but it’s time to start thinking outside of that box, too.
One more thing before we go.
Okay, the fact times are changing is apparent, and that can be daunting based on your goals and needs. But don’t let that get you down. Here’s why: Our research shows that prescreen credit data can be your most powerful marketing tool.
Great news, right?
Make sure to use this data to its full potential; it can be segmented tons of ways to identify a large pool of qualified members. In acquisition speak, that means targeting specific messages and incentives to people based on their needs, needs identified before your second point of contact with them. And that is the first step to acquiring new members — and growing.