- Fintech Marketing – The End Goal
- Fintech Marketing – The Challenges
- Fintech Marketing – The Benefits
- Top Moves of Fintech Marketing Agencies in 2022
- What Makes A Fintech Marketing Strategy and Fintech Marketing Agencies Effective?
The Fintech industry is among the fastest-growing markets today. It’s no surprise that financial technology is thriving, growing, and is here to stay! Time has come to learn how to use effective fintech marketing strategy for optimum growth.
According to a recent report, until a few years ago the fintech industry was deemed to be worth more than $127 billion. By the end of 2022, this number is likely to go over $300 billion. The credit for this exponential growth goes to more startups and established finance companies jumping on the bandwagon and joining the fintech network.
In the current market situation, it is vital to discover ways to tackle the challenges of a competitive market and create an optimized marketing strategy for fintech startups to stay competitive, relevant and accomplish defined goals.
Fintech Marketing – The End Goal
The best fintech marketing campaigns use tools, tactics, and techniques that enable financial technology companies use to:
- Drive traffic
- Improve customer loyalty
- Expand business opportunities
The end goal of a fintech marketing strategy, even though it may be targeted towards growth of financial technology organizations, is to gain customer trust and loyalty – a prerequisite for every successful marketing campaign.
Fintech Marketing – The Challenges
The fintech app marketing industry is expected to invest $3 billion worldwide in new customer acquisition in the coming years.
For instance, digital payment startups are offering substantial discounts, offers, cashbacks, etc to attract more customers. The only challenge is that this segment is highly competitive with someone always providing a better offer, making customer retention extremely difficult.
Naturally, the two biggest points of focus for fintech marketers are customer acquisition and customer retention. With implementation of an effective fintech marketing strategy, fintech marketing agencies can significantly boost the Customer Lifetime Value (CLV) and bring down the customer acquisition costs.
Fintech Marketing – The Benefits
There are many benefits of a fintech marketing strategy.
Let’s consider this for a minute – It is estimated that about 6.378 billion people have smartphones, which amounts to 80% of the world’s population. The important question is do all these people know or use fintech platforms? The answer is most likely NO.
It is noteworthy that the total number of people using mobile payments in 2021 was just about 1.3 billion.
This is the reason why the fintech segment is a giant pool of tremendous marketing opportunities just waiting to be explored!
With the correct fintech marketing strategy you can –
1. Reach new audiences
Financial transactions are just as real as life itself! A marketing strategy for fintech startups and fintech enterprises allows them to explore many potential opportunities in the market. With the right marketing strategy, you can define a new customer base, your customer needs, and untapped potential of your services.
A good fintech marketing strategy enables people to manage their finances better. The best fintech marketing campaigns educate their existing and potential customers about the convenience and comfort their technology & tools can bring into their lives.
3. Build trust
Fintech marketing agencies should focus on building marketing plans and activities that encourage their audience to trust technology. Without trust in the technology, your audience will never ever take the risk of using that technology to manage their hard earned money.
4. Explore data
With fintech marketing, you will be able to analyze data, understand your buyers’ needs, and work in the right direction to meet their expectations. You can tailor your products, services, and content to meet the needs of your customers with the help of this information.
A fintech marketing strategy has to be unique, intelligent and sophisticated, just like its products and services, with an in-depth understanding of their target audience’s financial needs and financial challenges..
Top Moves of Fintech Marketing Agencies in 2022
1. Be a savvy marketer! Automate as much as you can
Execution is the key, of course, but how do you determine the success or failure of your campaigns? How do you tell if your fintech marketing strategy worked?
The first crucial step is to DEFINE YOUR GOALS! Here is a list of possible marketing goals for your campaigns –
- Improved brand recognition
- More sign ups or downloads
- Bring down the number of uninstalls
- Boost in social media engagement
- Increased website traffic
- Increase in revenue from existing customers
- Audience using your newly introduced features and services
It is very important to establish KPIs to help you gauge the success of your fintech marketing strategy. You can track email marketing KPIs, Sales KPIs, and so on.
What must be noted here is that you as a marketer should avoid the use of human resources where the given task can be automated. Track the metrics of your marketing campaigns, sales, and so on with marketing automation and sales execution CRM.
Automated reports can be generated as and when you need them for a time frame that you can easily define. This will ensure your team uses their team in a more productive and efficient manner.
2. Explore opportunities with existing customers
Despite the significant growth of fintech applications over the last few years, there has been only 70% adoption of these applications worldwide. Out of this 70%, only about 19% people use mobile payment apps regularly. It’s evident that the existing customers of fintech businesses are not using the products and services at all or to the optimum.
The new age features and capabilities of these apps are going to waste. The question is, why?
Are customers unaware of the feature or its use, or do they prefer a competitor’s app over yours?
An effective fintech marketing strategy in such cases would be –
- Email marketing with regular updates about your application’s features and benefits
- Tracking and using your most popular features as a pitch
Regular communication, that’s not always a sales pitch, helps with improved customer retention and customer loyalty.
3. Personalized communication
Traditional banking policies are not the way to go with the new generation. Despite high performance products and services, regulatory requirements and rigid policies often discourage them from adopting your platform.
As a fintech business, you should use technology and data to get a better understanding of your customers. Use your data to understand your customers’ financial situations, financial needs and financial challenges to formulate an effective and personalized fintech marketing strategy.
Personalize your marketing strategies with the help of parameters like location, industry, etc to segment your existing and potential customers. Use their first names, company information, products they are interested in, pages they visited, etc when establishing a communication with them for marketing purposes.
4. Use in-app marketing
Customer retention is a huge challenge for fintech companies. With In-app marketing, you can display marketing messages within your app while your customers are actively using it.
This method of engaging with your customers is a great way to increase up-sell and cross-sell opportunities. This is an especially effective marketing strategy for fintech startups through which they can introduce new products and features to their customers on a regular basis.
5. Incentivize your customers
Incentives are an innovative way to improve customer acquisition for fintech companies.
Here are some of the ways incentivizing can be used to motivate your clients to stay –
- Cashback promotions
- Welcome bonus
- Referral bonus
- Cash rewards for milestones
- Offers and discounts for partnering with specified brands
What Makes A Fintech Marketing Strategy and Fintech Marketing Agencies Effective?
Even after reaching their target audience successfully, fintech companies face the challenge of trust building, educating their audience and expanding their business.
A good fintech marketing strategy designed by experienced fintech marketing agencies can help to find effective, innovative and efficient solutions against these challenges.
Fintech marketing is not an easy feat. It’s highly intelligent and technical and needs a marketing team that has the expertise about the industry, and the experience to design futuristic marketing strategies that will be in line with the potential future changes within the industry.