Rostislav_Sedlacek / objectsforall / Shutterstock.com What Do People Look For In A Bank? When choosing a bank, consumers look for: Customer service/friendliness Convenience Fewer fees or no fees Brick-and-mortar location ATM network Interest rates Brand reputation When it comes to online-only banks, there’s a trust problem. More than half of Americans say they have low trust in online banks compared to traditional banking institutions. To build trust and bring in new customers, banks should focus on authentic marketing. For example, financial institutions could engage in real conversations on social media and build further engagement with promo. Address Financial Uncertainties More than half of Americans (58%) felt confident about their financial position at the start of 2024. They have 10-15% more in their bank accounts now than in 2019, according to a JPMorgan Chase Institute analysis of the accounts of nearly 9 million Chase customers. However, some don’t feel so optimistic. A nationwide survey by insights and marketing company Sales Fuel found that 35% of respondents believe they’ll never make or save enough money to accomplish their goals. Banks and financial institutions can address these concerns through offerings like workshops at bank branches or tips and tutorials on banking apps. Another idea? Incentivize consistent saving with reward programs and celebrate savings milestones with promo giveaways. Bigger, national financial institutions offer their own set of perks, too, from a recognizable name to a long history. For many consumers, this amounts to safety and trust. Almost half of respondents in a Forbes Advisor survey said they would be willing to pay higher fees for accounts at more established banks. These banks might also offer relationship bonuses, like waived account fees or discounted loan rates. Promos can be another perk, with different branded items given to customers with various account types. Whether people are banking with small or large banks, most are happy with the services they receive. A poll from the American Bankers Association reveals that 84% of Americans are happy with their bank, and 94% say their bank provides “excellent,” “very good” or “good” customer service. However, just because bank customers are happy doesn’t mean they’ll necessarily stick around. Data from research firm Morning Consult shows that 8%-10% of customers open and close accounts every month. Promotional products can help banks delight their current customers while attracting new ones. When all else is equal – like lower lending rates or access to mobile apps – consumers tend to bank with brands they know over ones they don’t. In fact, there’s a 21% greater chance that a better brand will sway a consumer’s decision when choosing a bank, according to research from IBM. From brick-and-mortar banks to onlineonly banks, financial institutions of all kinds can capitalize on the power of promo to build visibility and fortify relationships. 54% 42% 51% 51% 32% 32% 28% | Must Read PPAI • MARCH 2024 • 37
RkJQdWJsaXNoZXIy NzU4OQ==