Strengthening Your Marketing Tactics to Find Areas of Improvement
The end of the year is quickly approaching – did your financial institution successfully use its customer data to the fullest this year? If not, now is the time to assess your institution’s current data analytics and marketing strategy to determine which areas are lacking support and which areas need extra attention in order to drive revenue growth in 2019 and beyond.
According to Capgemini, banks that apply analytics to customer data have a four-percentage point lead in market share over banks that do not, meaning data analytics is key for executing efficient and effective marketing campaigns. Financial institutions must utilize systems that constantly collect data across product lines, channels and business departments to ensure an accurate and comprehensive view of the customer and their financial needs. Combining data analytics with marketing automation tools can help financial institutions identify opportunities for growth and areas for improvement, as well as highlight successful elements within their marketing strategy.
Taking the time to review your institution’s use of data alongside its marketing campaign results now will empower your institution to achieve profitable growth in the future. By evaluating your strategies, banks and credit unions can confidently answer the following questions and adjust their strategies as needed.
Which Products Are Most Profitable?
Using analytics, institutions can evaluate the historical success of each product, determining which ones are driving revenue growth. The insight gathered from data analytics allows the marketing team to make more accurate decisions in terms of next-best offers for cross-selling and up-selling.
Likewise, data analytics can identify where marketing efforts have been successful and areas that need additional marketing support to drive growth. Using predictive insights collected from large data sets, institutions can tweak and sharpen their overall marketing strategies to support and guide future decisions. After evaluating current programs, banks and credit unions can devote time generating campaigns to increase awareness for less-used products, whether that is a niche credit product or certain types of investment accounts.
How Can We Better Personalize Outreach to Account Holders?
By evaluating and examining data sets of similar customers, institutions can better identify each customer’s individual needs and deliver tailored marketing offers. Personalized product and service offerings enable institutions to send customers the most appropriate content based on data and predictive analytics. Rather than sending a generic email blast to every contact promoting a bank’s least-used features, the bank can send the campaign only to the contacts that have not yet purchased the product and will likely gain the most value from said product.
Outbound Account Targeting
By coupling marketing automation with data analytics, financial institutions can even identify which consumers or businesses are potential targets for the marketing and sales team. Most marketing automation platforms have a database of contacts that provides institutions with contact information to engage them in outbound marketing programs. But, in order to reach these potential customers, the platform must leverage data analytics to identify the characteristics of an ideal, profitable customer.
Financial institutions can accomplish this by cross-analyzing multiple sets of data and comparing that profile with an entire database of contacts through the marketing automation platform before adding these new contacts into their CRM system. From there, banks and credit unions can use the appropriate means to target each prospective customer or member with outbound marketing messages.
A successful, customer-centric marketing strategy is built on a foundation of data analytics as consumer data is an institution’s most valuable asset. Banks and credit unions that invest in tools that support the creation and management of marketing campaigns and provide real-time results to monitor and adjust strategies as needed are invaluable resources in today’s competitive market.
For other best practices, download Baker Hill’s whitepaper, “A Successful Marketing Strategy is Built on a Foundation of Data Analytics,” here.
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Posted on Thursday, November 29, 2018 at 1:30 PM
by Baker Hill
Baker Hill empowers progressive financial institutions to increase revenue, reduce risk, and drive more profitable relationships.
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