If there’s one theme to this week’s BAI Retail Delivery Conference, it’s that digital is king. During this year’s conference taking place in Chicago, moderators encouraged session attendees to download the conference’s mobile application that is as real time and sociable as an Instagram or Facebook feed.
In a morning session, Winnifer Thomas-Cox, senior vice president and senior client partner at Moxie USA, presented best practices for selling in today’s digital environment. Here are three notable facts.
First, millennials do use more digital channels than their generational counterparts; however, the disparity is not actually that large. Internet usage is composed of 29% millennials, 27% Generation X, and 21% younger baby boomers, according to data presented by Cox. The millennial is adigital consumer but not thedigital consumer.
Second, digital consumers are highly informed and socially active. They spend 20% of their time on a personal computer and 30% on mobile devices. They trust social channels 72% trust social media versus 30% who trust an advertisement. They are time conscious and price sensitive 57% will abandon a slow-to-load app and 64% will travel 10 minutes to find a better price.
Third, these digital consumers might not be who you think they are.
The fastest growing segment of Internet users are senior surfers,says Jim Marous, publisher of the Financial Brand.
But their goal is still the same. So asks if your mobile applications can pass the toothbrush test, that is, is it something your members use more than once per day?
Digital Acquisition Versus Retention
It can be difficult to conduct a return on marketing investment in social channels. However, acquisition and retention rates are easier to quantify and can provide insight into the digital relationship.
According to data from MarketingCharts.com, mobile applications have a 30% acquisition rate and a 42% retention rate. Other notable rates include:
- Paid Search: 86% acquisition rate; 2% retention rate
- Online Display Advertisements: 85%; 4%
- Search Engine Optimization: 66%; 6%
- Web Retargeting: 61%; 22%
- Mobile Website Advertisements: 52%; 18%
- Mobile and Web Push Notifications: 34%; 39%
- Social Media Marketing: 31%; 28%
Although traditional marketing channels have larger acquisition rates than their mobile and social counterparts, mobile and social marketing have a better retention rate. As many a sales person can attest, the best relationships are the ones that still exist.
Content production is one area that conference presenters predict will have a large impact on the future of financial services marketing. Creating that content can be a daunting task, especially when approximately 639,000GB of information is transferred on the Internet every minute.
But content marketing doesn’t have to be difficult. In fact, it should be complementary to an institution’s marketing plan. Credit unions can create content in a variety of ways text, video, graphic, it doesn’t matter. Creativity is what counts. However, Glen Senior of the Small Business Company advises institutions to follow these objectives:
- Target a specific set of membership.
- Set well-defined goals.
- Influence the reader into a call-to-action.
- Don’t lop and leave.
FIs can produce great content, but what’s the benefit if no one consues it. Promote it in all available places, especially your digital channels. Or haven’t you heard? Digital is king.