Hold On To Depositors and Capture More

Recent news has many consumers wondering how protected their money is, leading some to seek a safe haven for deposits. That’s where you come in. Even though bank failures are extremely rare, the 2008 financial crisis and March’s news about Silicon Valley Bank and Signature Bank might have your customers or members worried about the stability of their deposits. What can you do to ease their concerns?

Step one is to communicate.

Let them know what measures you have in place to keep their money safe. The average consumer might not understand what is happening, so having their bank or credit union speak plainly and clearly with them may allay unnecessary fears and prevent them from making quick decisions about their finances that could potentially hurt your numbers.

For example, a CEO of a bank in Texas gave his personal cell phone number to 70,000 of their customers so they could call or text him directly to talk about the current banking atmosphere. That’s in addition to a notice on their website that explains how and why their bank is different than others when it comes to keeping their customers’ money safe.

A wealth management firm in Massachusetts decided to put out a 3-minute video update on their website that reassured its clients that not only do they have a safe and secure business model, but they also have $2.5B liquidity available to them, should they need it.

Those are just two examples of action steps taken, but others have sent letters, and some have utilized social media to reach consumers. If your financial institution has yet to communicate with your customers or members, it’s not too late, but be warned that silence is not golden in this case.

Step two is to grow your deposit base.

Claritas can partner with you to identify consumers with a high potential for interest-bearing deposits that are likely to switch financial institutions – whether they exist in your own CRM, or bank elsewhere and seek the safe haven that you can provide. We do this by combining your data and expertise with our suite of solutions, including our powerful financial segmentation model, precise measures of income, and our multichannel campaign execution services.

Here’s an example of what that might look like in a real-world setting:

• We append our financial segmentation, Claritas P$YCLE® Premier, to your customer or member files. This buckets them into one of 60 segments, based on similar behaviors and attributes.

• We then look at the segments that pop most frequently to know who your “best” customers and members are and note who we need to prioritize communicating to due to a high likelihood to switch financial institutions or a strong likelihood to have a diverse investment portfolio that might help offset any unavoidable customer attrition.

• On top of understanding your existing customer and members’ behaviors, including the right channels to reach them through, we also identify lookalike audiences – those future potential customers and members not currently banking with you, but who might offer future opportunity, should they receive the right message at the right time via the right channels.

• From there, we take your creative and deploy it across the previously identified channels to those target audiences. This may include direct mail, email, social, display, podcasts, or more.

• Should you have your own agency of service, we can deliver those audiences to them for execution. If we’re handling your multichannel execution, we monitor campaign performance, adjusting and optimizing in-flight, to ensure the best possible performance, and ultimately a favorable ROI.

• Finally, our measurement solutions like campaign tracking, attribution analysis, and lift analysis provide in-depth reporting of your marketing efforts so you understand KPIs like reach, frequency, engagement, how and if channels are moving your audiences to conversion, and how individual audiences or channels impact your ROI.

The above is just a high level example of how we can work with you, but don’t take our word for it. Read our case study with Lake Michigan Credit Union (LMCU), who we went through a similar exercise with.

LMCU was targeting audiences of potential switchers from banks and credit unions going through mergers and acquisitions. While they have an in-house agency to help keep costs down on things like creative development, their campaigns measured an amazing 8%+ conversion rate.

Let’s discuss how Claritas can help your financial institution achieve success similar to that of LMCU. Head to our ‘Contact Us’ form and one of our dedicated experts will get in touch with you to discuss a strategy.