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Remarketing. If at first you don't succeed...

As a community bank in what is at the moment, challenging times, you’re no doubt getting the “marketing word” out there via social media, right? Good. Social media marketing has been proven to be pretty effective and easy to both implement and gauge effectiveness.

I’m guessing that much of your social media marketing is designed to yield site visits. After all, social media marketing is a great way to drive traffic to your website and take that potential customer further along your “buyer journey”, that is, from “awareness” to “consideration” to “decision making.”

I’m guessing, too, that you’re watching your site traffic, as well, watching your number of visits, pages visited, length of stay, etc. These KPIs (key performance indicators) are hugely helpful in understanding not only what a visitor does during their site visit, but also in providing insights into WHY they do what they do once there.

Of course, as you know, unfortunately, you’ll have quite a few visitors who stop by and then simply leave; no additional pages visited, no actions whatsoever taken. These are individuals who have, let’s face it, shown some interest in your products and services. After all, they wouldn’t have taken the time to visit your site if they weren’t, right? So, what do you do with this knowledge?

To use the retail store analogy, a potential customer enters your shop. They do a bit of browsing, then start heading for the door?  What do you do? Simply let them walk out?  No, you attempt to engage them before they leave, perhaps with a question like “can I help you?” or “are you looking for something in particular?”

Approaching that potential customer “as they head for the door,” and attempting to engage them is what is known in the digital marketing world as “remarketing.”  Think of it as getting a second chance to win that customer.

Remarketing is a tactic that involves showing ads to people who have visited your website or used your mobile app. This strategy is a particularly cost-effective way to increase your sales conversions because you’re reaching out to individuals who have already expressed interest in your products or services.

How does digital remarketing work?  It starts with “pixels” or “tags,” which are basically pieces of code. To target previous website visitors with remarketing ads, you need to insert that code in the back end of your website.

When someone visits your site, that pixel is placed on their browser, attaching a “cookie” to it. When the visitor leaves your site to surf the web and visit other sites, that cookie notifies retargeting platforms to serve specific ads based on the specific pages they visited on your website. Say, the visitor perused your page that spoke to the benefits of opening a HELOC. That visitor leaves your site and visits a site that sells, say, home improvement products. Thanks to the cookie, you can now place an ad on that home improvement site that encourages that visitor to learn more about your HELOC, with a link that will take them directly back to that page on your site.

You have other options, too. If a visitor does get a HELOC, and you’re interested in perhaps cross-promoting another product, such as a credit card, you could create an ad that targets them. Start by configuring your remarketing campaigns across various social networks as that’s where your possible target audience would be. Through remarketing, combined with customer purchase behavior data, you can re-engage a purchaser while they’re surfing the web. And, with an ad that targets that individual specifically; an ad, for example, that focuses on the benefits of your credit card. It’s all possible due to the magic of pixels!

Is remarketing effective? The numbers tell the story. Statistics show that people are 10 times more likely to click on a remarketing ad than a standard display ad, while some campaigns have reported a 128% increase in conversion rates through remarketing.  Who says there’s no such thing as a second chance at winning over a customer?  Remarketing is a relatively simple and cost-effective way to get that second chance. 

About Bank Marketing Center 

Here at bankmarketingcenter.com, our goal is to help you with that topical, compelling communication with customers; the messaging — developed by banking industry marketing professionals, well trained in the thinking behind effective marketing communication — that will help you build trust, relationships, and revenue. In short, build your brand. 

To view our marketing creative, both print and digital – ranging from product and brand ads to social media and in branch signage – visit bankmarketingcenter.com.  You can also contact me directly by phone at 678-528-6688 or via email at nreynolds@bankmarketingcenter.com.  As always, I welcome your thoughts on the subject.

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If ever there was a need for crisis management marketing, this is it.

 

The second-biggest bank failure in U.S. history is raising concerns about whether other banks are inadequately managing interest rate risks, overexposed on uninsured deposits, or — as in the case of Silicon Valley Bank — both.  As of the fourth quarter of 2022, deposits that were under the $250,000 insurance limit accounted for just 2.7% of the bank's total deposits.

Ironically, only two months earlier, American Banker ran an article entitled, “Some banks will go to any lengths for deposits, even opening branches.” The “any lengths,” according to the article, “included building more branches in a bid to attract depositors.”

Banks, of course, need depositors, and opening branches is a way to attract them… especially in a down economy and an environment where loan-to-deposit ratios are pushing 120%. (PS: Back in 2017, the ideal loan-to-deposit ratio for the industry was 60.2%.) They do need to be wary, it appears, of uninsured deposit overexposure. In the case of SVB, many of those deposits were far in excess of the $250,000 insured by the Federal Deposit Insurance Corp.

Even more ironic, one of the banks mentioned in the article was Signature Bank of Arkansas. “That's been the case at White River Bancshares in Fayetteville, Arkansas,” says the article. “The $983 million-asset holding company for Signature Bank of Arkansas, White River has opened three locations since December 2021, and White River bankers are not shy about asking prospective clients to move all their cash into Signature Bank of Arkansas.” 

Understandably, Signature Bank of Arkansas, immediately went into crisis management mode, declaring that it is in no way associated with Signature Bank of NY. A banner of the bank’s website makes this very clear:

“We are not affiliated, associated, authorized, endorsed by, or in any way officially connected with the various “Signature Bank” brands independently headquartered in Chicago, Florida, Kansas, Michigan, Minnesota, New York, and Texas, the Signature Bank National Associations of both Ohio and Texas, Signature Bank of Georgia, or any of their subsidiaries or their affiliates. You may rest assured that your community bank, Signature Bank of Arkansas, is not associated or affiliated with a similarly named organization that you may see mentioned in the news.”

Instead of taking the issue head-on, it has been suggested by some that community banks simply put their heads in the sand and, well, pretend that nothing happened. Robert Bolton, president of bank investor Iron Bay Capital is one of them. “Small banks don't really know anything more about all of this than the rest of us — other than it's not a problem of their making," he said. "So while they are scratching their heads, wondering what to do next, it makes sense for most of them to stay out of the spotlight."

In my opinion, the smart banks are the ones that have taken action, instead of “staying out of the spotlight.” If, as a community bank, you have a story to tell, especially in the wake of a crisis of confidence in the banking system, tell it. I’m with Signature Bank of Arkansas and those small banks that are taking action, distancing themselves from the failures and marketing their trustworthiness. It’s called risk management and sometimes, unfortunately, it simply can’t be avoided. And this is one of those times.

About Bank Marketing Center 

Here at bankmarketingcenter.com, our goal is to help you with that topical, compelling communication with customers; the messaging — developed by banking industry marketing professionals, well trained in the thinking behind effective marketing communication — that will help you build trust, relationships, and revenue. In short, build your brand. Like these campaigns designed to assure your customers that their funds are “safe and sound.”

To view our marketing creative, both print and digital – ranging from product and brand ads to social media and in branch signage – visit bankmarketingcenter.com.  You can also contact me directly by phone at 678-528-6688 or via email at nreynolds@bankmarketingcenter.comAs always, I welcome your thoughts on the subject.

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Are you marketing your sustainability? You need to.

Sustainability. To most, the word connotes “going green” by choosing paper over plastic, recycling rather than committing trash to a landfill, or driving fewer miles. In other words, modifying consumption behaviors in order to reduce the human carbon footprint on Mother Earth. For community banks, that notion of sustainability barely scratches the surface. Granted, sustainable business practices have always played a role in banking operations and profitability but, today, those practices play an even greater role. Why?  With growing pressure from customers, employees, the federal government, and a wide range of both state and federal regulatory agencies, it has become more critical than ever for banks to have a performance-based strategy in place for addressing what is known as the “Triple Bottom Line” (TBL) – people, planet, and profit.

What is sustainability in banking?

So, if not a commitment to moving from paper-based processes to digital information management, or keeping the thermostat set to 67 degrees in the winter months, what does sustainability mean in banking? Sustainable banking practices center on the strategic planning and execution of banking operations and business activities – with a goal, of course, of optimizing profitability – while taking into account their environmental, social and governance (ESG) impact.

It is widely believed that banks are poised to play a major role in achieving the United Nations’ Sustainable Development Goals (SDGs). The SDGs, also known as the Global Goals, were adopted by the United Nations in 2015 as “a universal call to action to end poverty, protect the planet, and ensure that by 2030 all people enjoy peace and prosperity. These goals suggest a comprehensive strategy for sustainability, which includes all aspects - the biosphere, the society, and the economy.”1 It is also widely believed that through setting net-zero goals via finance offers, loans and investment schemes for green projects, and subsequently, supporting those individuals and companies that are taking the path toward sustainability, financial institutions can “lead the charge” in achieving SDG goals.

Going green is on the rise

Despite the headwinds, top banks have begun to commit to sustainability. For example, investments in sectors that are harmful to the environment, such as mining, are being reduced while the commitment to sectors producing or consuming alternative energy are increasing. In addition, green finance is on a high-growth trajectory and includes investments in renewable energy and sustainable infrastructure finance. Banks are offering, and taking advantage of, a growing menu of sustainable financing opportunities that include green bonds, sustainability bonds, transition bonds, and social bonds, as well as green loans and clean-energy project financing.

Banking consumers want green banks

Regulations are not the only motivators in banking’s move to sustainability. Banking leaders understand that customers are vocal about ESG and that they must address the expectations of those consumers, and employees, who prefer to do business with institutions that commit to sustainable practices. According to McKinsey, “one analysis found that social-related shareholder proposals rose 37 percent in the 2021 proxy season compared with the previous year.”Bankers understand that, in the long-term, sustainable banking will help create the perception of a responsible business and create new business opportunities. 

It’s not easy being green, but it’s a competitive advantage

Policies and procedures for risk management and regulatory reporting will become necessities. More importantly, for community banks, sustainability can enhance a brand’s marketability. Yes, regulators take a great interest in a bank’s sustainability mission and achievements.  But, so do employees and banking services consumers, as they become increasingly mindful of the social responsibility that institutions take on. If you’re not doing so already, get involved in “green” community activities, and get the message out that sustainability is important to your institution… and your employees.

About Bank Marketing Center 

Here at BankMarketingCenter.com, our goal is to help you with that topical, compelling communication with customers; the messaging — developed by banking industry marketing professionals, well trained in the thinking behind effective marketing communication — that will help you build trust, relationships, and revenue. In short, build your brand. Like these campaigns designed to tell your “green” story to your customers.

To view our marketing creative, both print and digital – ranging from product and brand ads to social media and in branch signage – visit bankmarketingcenter.com.  You can also contact me directly by phone at 678-528-6688 or via email at nreynolds@bankmarketingcenter.com.  As always, I welcome your thoughts on the subject.

 

Sources

1United Nations Department of Economic and Social Affairs, Sustainable Development. “The 17 Goals.” https://sdgs.un.org/goals

2McKinsey & Company, August 2022. “Does ESG really matter and why.” https://www.mckinsey.com/capabilities/sustainability/our-insights/does-esg-really-matter-and-why

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To be successful in bank marketing, you need triangles.

Triangles are the building blocks on which solid marketing is founded. Why are triangles important to bank marketers?  First, triangles help marketers develop the emotion-based messaging that resonates most with consumers. Then, triangles help bank marketers determine at what point in the buyer journey it makes the most sense to get that message out into the marketplace.

Triangle #1. Maslow’s hierarchy of needs.

Who was Maslow?  Maslow was a 20th Century psychologist who figured out that each person has five levels of needs. He called this his “hierarchy of needs.” To illustrate this, he built a triangle. At the bottom of the triangle was the need for basics such as food and clothing. In the middle were safety and friendship. At the top was self-actualization. Why is this important to marketers?

Laddering up the Needs.

Marketers in every industry use Maslow's triangle because it helps us remember that when we're talking to potential customers about products and services, we have to talk to them not about how our product meets a basic need, but how it meets a need that's very important to them; an emotional need. What are some of those needs when we’re talking about banking products and potential banking customers?  You could say that a checking account meets the need of having to pay bills from a distance.  Or, that a savings account is a way to put money where you won’t be tempted to spend it. Instead, we want to talk about how these products meet those “higher” needs, such as comfort, security, and peace of mind. This is also what marketers call taking a “user focused” approach to messaging, instead of a “product focused” approach.  In other words, you’re focusing on how your product meets a consumer’s emotional need, as opposed to how it works and what it does.

Triangle #2. Meeting the prospect where they are

Now we take you on a little journey…the buyer journey. The buyer journey is basically the path that a consumer, (who we have now identified through research and persona mapping), takes when making a purchase and importantly the mindset that accompanies each step they take on that path.  It’s often expressed visually as an upside-down triangle (often referred to as the “marketing funnel”) and as a three-step journey:  Awareness is at the top, Consideration in the middle, and Decision/Consideration at the bottom.

If the consumer is at the start of that journey and knows nothing about your products, they’re at the top of the funnel.  Here’s where you give the consumer more information than they need… blog posts, social media, direct mail, for example, are good for the Awareness stage.  These are thought leadership pieces, focusing on industry trends and needs and, in general, how your products/services meet those needs. An article on why now is a good time to buy a CD, for instance, or an article on the importance of money management. Post them on your website and use social posts to guide readers to them. Selling product is not the goal here; that comes further down the funnel. Showing potential customers that you know the industry… that is your top-of-the-funnel goal.

As our consumer moves down into the Consideration stage, (mid-funnel) our messaging gets more product focused, with emails, case studies, and newsletters. When our prospect reaches the bottom of the funnel, (now at its narrowest point) we’re ready to start talking product details and benefits with highly targeted tactics, such as webinars, product demos, and product brochures.

Using triangles, right-side up and upside-down, can guide you in developing your marketing messaging. Not just messaging that may, perhaps, fall on deaf ears, but strategic, emotional messaging that will resonate with your target reader at just the right moment, move that reader to act and, with that, grow your share of wallet.

About Bank Marketing Center 

Here at bankmarketingcenter.com, our goal is to help you with that topical, compelling communication with customers; the messaging — developed by banking industry marketing professionals, well trained in the thinking behind effective marketing communication — that will help you build trust, relationships, and revenue. In short, build your brand. 

To view our marketing creative, both print and digital – ranging from product and brand ads to social media and in branch signage – visit bankmarketingcenter.com.  You can also contact me directly by phone at 678-528-6688 or via email at nreynolds@bankmarketingcenter.com.  As always, I welcome your thoughts on the subject.