As Digital Banking takes off, Personalized Marketing will become more important for the Banking Industry
A recent Bain & Company article mentions that financial institutions should be concerned that “many consumers look outside their primary bank for high-margin products”. However, the article also contains recent survey results that note “most customers who received direct offers would be willing to buy more from their primary bank if it made a personalized offer”.
The article discusses how the rise of digital banking, in part caused by the global pandemic, has led to the hidden defection of bank customers. As more consumers turn to digital banking it will be imperative for banks to personalize their messaging to customers to compete more effectively in today’s challenging environment.
What is Personalized Marketing?
The term personalization means reaching consumers with messages, pricing, and offers tailored specifically for them. This form of one-to-one marketing uses sophisticated analytic tools to analyze customer data to determine customer needs.
Banks are moving rapidly to leverage personalized messaging by using machine learning and data science tools to process a vast amount of customer data. Insight Financial Marketing is a leading innovator in this segment of the industry. IFM’s service enables banks to analyze the patterns in their transaction data to anticipate specific customer needs. A customer is more likely to purchase a bank product or service if the right offer is presented to them at the right time. This creates a win-win situation where the customer gets the service or product they need, and the bank generates revenue.
The Future of Bank Marketing
By leveraging IFM’s technology, financial service firms will be able to utilize customer intelligence to structure their products, services, and pricing based on customer needs.
For instance, combining artificial intelligence and machine learning with customer insights via IFM’s service has the potential to be a real game-changer. By leveraging IFM’s technology, financial institutions have greater precision in assessing risks, predicting life events, and lifestyle changes.
Personalization has made it possible for customers to save money by presenting the right products and services that meet their current and future needs, while also allowing financial institutions to prosper by developing deeper relationships with their customers. The future of marketing in the financial services industry is being shaped by a rapid shift to the personalization of communications brought on by modern data analysis tools provided by IFM.
With IFM’s industry-leading customer intelligence solution, financial institutions will have the technology and experience to leverage personalized marketing that will drive revenue growth and enable your firm to compete more effectively in today’s challenging environment. To discover how your firm can engage IFM’s solution please contact me via our website, Infimark.com, or via my LinkedIn page.
Rob Reale is an Associate Partner and National Sales Manager responsible for business development and sales at Insight Financial Marketing. Rob began working in the Mortgage Banking industry in 1990 and currently helps the financial service industry leverage unique and innovative solutions.