Fintech Marketing Strategies for Banks and Card Marketers to Borrow (2023)

Fintech Marketing Strategies for Banks and Card Marketers to Borrow (1)

As they develop, launch and market products and services, fintech and traditional financial services companies continue to look over their shoulders to see what the other is up to.

It makes sense: Banks and fintechs compete for the same users while working with different strengths. If, instead, they were to work together as partners as BAI suggests, they could tap into the “potential to create significant, positive change in the financial services industry. The only way to realize that full potential will be to partner strategically and rely on each other’s strengths.”

In the meantime, BAI Global gets to the heart of this fintech-vs.-bank/bank-vs.-fintech dynamic when observing, Each has what the other needs.” We agree with BAI’s point of view and, as result, are aiming our lens at fintech marketing to identify strategies and tactics banks may want to emulate.

6 Marketing Lessons Banks Can Learn From Fintech in 2022

As one observer noted, fintechs “have made traditional financial institutions seem rigid and clunky, forcing them to digitize their services or risk not keeping up.” Here are six fintech practices for banks to consider, including best-in-class examples from unconventional marketing of retail bank, payment products and B2B services.

1. Go on the offensive

Branding and positioning may be easier for fintechs since, as “challengers,” they sit outside the norm. This may help bolster emotional connections to consumers and businesses seeking new and innovative solutions. Being disruptive, as in the examples below, takes not only “chutzpa” but also a cooperative legal department with an open mind and appetite for pushing marketing. More conservative bank infrastructures and strict regulations are barriers to assertive, ownable and provocative marketing. The result: traditional players are often reluctant to make competitive claims that may stir the pot. Working with cross-functional teams to understand and mitigate barriers is a first step for traditional players.

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A good example of marketing by an outlier – Current Bank – uses an anti-bank position that is more charming than it is ugly. Current Bank’s above-the-line advertising campaign – “What do you think we are, a bank?” — is a great example of how to go on the offensive without being offensive. Traditionalists can find ways to capture the spirit of the outlier approach by infusing their marketing with a bit of attitude, too.

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2. Take your cue from the customer

No doubt, you are familiar with Chime Bank, thanks to its heavy, on-repeat ad campaigns including the “Two Days Early” spot focusing on access to paychecks. (Eligible Chime DDA customers get paid up to two days early when their employer uses accelerated direct deposit.) In the spot, featured Chime customer “Dulce” declares that now, thanks to Chime, she gets paid two days before her co-workers.

We appreciate how Chime manages to take ownership of a product feature that is not at all unique to Chime. Its messaging leverages a consumer insight specific to Dulce’s age cohort, which likely manages paycheck to paycheck. The take-away: Chime’s marketing centers on an envy-provoking product feature and narrowly focuses on a very specific target with a singular, relevant message.

Chime’s strategy is successful as the challenger bank secured additional funding in 2021 and is seeing healthy growth.

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3. Make beautiful connections between positioning and marketing

Petal – the fintech issuer of credit cards targeting the new-to-credit consumer – breaks out of the expected through online marketing that skillfully echoes the Visa card positioning – simple and spare – to engage new-to-credit prospects.

Petal is knowledgeable about its prospects and addresses the inexperienced card applicant with clear, concise marketing that showcases two Visa card options with different value propositions. The website is content “light,” providing relevant and essential information in a streamlined, highly visual way, while allowing for an optional, deeper content dive. (With a click, the visual content can be shifted to a comparative product “grid” view.)

The site layout draws attention to two key messages: There will be no hit to your credit score (applicants are likely sensitive to hard hits) and — for those who received a direct mail offer – it is super easy to bypass the page and apply for the card. We appreciate the visual, side-by-side presentation of the two physical cards – Petal 1 and Petal 2. As visitors scroll, each dynamically rotates to showcase the cards’ vertical card designs. Well done.

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4. Add music to your words…or words to your music

Great partnerships make beautiful music together: Oscar and Hammerstein, Lennon and McCartney, Simon and Garfunkel. The same can be said about well established banks and sexy fintech providers who are finding ways to work together. Case in point: Amex acquired Kabbage to fill critical gaps and better serve small business customers (its key segment).

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As it brings Kabbage and the entire Kabbage enterprise onboard (technology, people and products), Amex immediately benefits from the fintech’s digital banking platform. Amex can now offer “a broader set of cash flow management tools and working capital products to its millions of small business customers in theU.S.”

Amex is not unique in acquiring or partnering with a fintech to keep pace with more innovative and digitally delivered products. Banks, payment issuers and payment networks are beginning to think differently and embrace fintechs because immediate benefits are apparent. As noted in a recent Forbes column, “The contrast between perspectives is what makes partnerships so worthwhile. On the one hand, we have the dependability of established banking infrastructure, credibility with regulators and a customer base that still trusts banks; on the other, there’s the freedom to innovate and the agility to build tailored solutions for niche customer segments.”

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5. Use traditional channels in nontraditional ways

Jasper defines itself as a fintech credit company innovating to give customers what they actually want: more cash back and tools to maintain a financially healthy lifestyle. (Sidebar: We encourage you to read Jasper’s rebranding story, a detailed, authentic – warts and all – recap about how and why it rebranded and the circuitous route it took in transforming CreditStacks to Jasper.)

We noticed Jasper’s use of direct mail, a foundational acquisition channel for FIs but not one all fintechs utilize. As noted below, Jasper’s direct mail approach does not follow convention:

  • The acquisition “letter” is not a letter. There is the requisite address block but no expected letter components (salutation, body copy, signature, postscript, etc.).
  • The letter resembles an infographic and uses a “module-like” layout to cover key product attributes in an organized but non-linear way.
  • There’s a large amount of space dedicated to cash back earned from friend referrals, which is clearly a lever to drive card acceptance. (Traditionalists leave the friend-get-friend efforts to later in cardmember lifecycle.) This makes sense as Jasper’s bonusing of referrals is an intrinsic part of the card value prop. Each approved referral contributes an additional 1% in cash back for 12 months on top of the standard 1% cash back earned for card spend. So, cash back from referrals is an essential component of the value proposition touted as “up to 6%” cash back.
  • App screen shots, a strong CTA driving to web to accept the offer and cardmember testimonials (important to their targeted cohort) are some of the best practices, Jasper manages to pack into this DM piece.
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6. Make ownable content a mission

Wealthsimple is an investment management service targeting next generation investors. The brand describes itself as a resource that gives everyone access to the tools they need to make smart financial choices. Services Wealthsimple provides include investing, high interest savings accounts, commission-free trading via a stable of financial advisors and tax filing.

Our focus here is on the brand’s best-in-class commitment to content, which is fresh, relevant to their audience, comprehensive and delivered in multiple ways through its branded magazine, podcasts and tutorials (including video bootcamps that breakdown big topics into digestible lessons.)

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What is distinctive is that Wealthsimple Magazine is an “independent publication created by award-winning writers and artists with experience from places like the New York Times Magazine, Slate and GQ.” As a result, the end product is superior to some of the best-in-category FS category blogs, which are not as creative in their approach, struggle to be engaging and have less-ambitious publishing schedules. Scanning recent issues proves just how far ranging the content is, while showcasing an ownable Look, Tone, Feel and demonstrating how in touch (very!) it is with its readership.

Fintech Marketing Strategies for Banks and Card Marketers to Borrow (8)

There are many other ways fintechs put a fresh spin on marketing strategies and tactics including personalization, viral marketing, unique branded language, use of influencers and affiliate marketing. Many of these are also used by traditional players, but we’ll be taking a look at how fintech put a spin on these marketing tactics in a future post.

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Tags: bank marketing, challenger bank, Chime Bank, content marketing, credit card marketing, direct mail, fintech, retail banking

FAQs

How do you create a Fintech marketing strategy? ›

4 Steps to creating a great fintech marketing strategy process
  1. Get your branding & messaging right. Standing out from the fintech crowd is difficult but important. ...
  2. Create a core content plan. ...
  3. Integrate inbound marketing channels. ...
  4. Review, update, repeat.
29 Jul 2022

What are Fintech strategies? ›

In fintech, affiliate programmes are a common growth tactic usually used at launch as part of a go-to-market strategy and are one of the best ways to get quick and direct access to your target market and earn consumers' trust.

What are the marketing strategies used in banks? ›

Bank Digital Marketing
  • Online banking experience.
  • Digital media and content (everything from YouTube videos to Facebook Posts)
  • Advertising online through SEM or Social Media.
  • Online communication like chatbots, email, and SMS marketing.
  • Apps.
  • And, of course, your website.

What are marketing strategies for financial services? ›

  • These 5 financial services marketing strategies are a good place to start for many marketing strategies for banks and financial institutions.
  • Customer Outreach. ...
  • Self-Service and Digitization. ...
  • Social Media. ...
  • Automation and Big Data. ...
  • Digital Storytelling.

How do you attract customers to fintech? ›

Social media — both paid and organic — is one of the most effective channels for fintech customer acquisition. You can speak to buyers at any stage of the marketing funnel. More than 75% of users turn to social media for brand research. So creating posts that build brand awareness is an excellent place to start.

How do fintech companies market their products? ›

B2B Marketing

Creating valuable content for Millennials and making it accessible in a way that they can find the information is the key to positioning your fintech company for success. Valuable content builds trust and trust is vital for selling anything, especially a financial product!

How can fintech market increase sales? ›

Educate your customers

Financial literacy is the key to building a loyal consumer base. More than 5 out of 10 millennials use mobile payment apps, but less than 20% are financially literate. Millennials are the biggest target market for fintech apps, and there's a huge opportunity to educate them about their finances.

How can fintech companies increase sales? ›

What is Fintech marketing?
  1. Driving higher traffic towards the app or website.
  2. Encouraging customer loyalty and building a powerful community.
  3. Expanding your existing line of financial service offerings.
  4. Strengthening customer acquisition process, leading to more sales and revenue growth.
20 Oct 2022

How do I sell to fintech? ›

If you're selling to FinTech, cut them into stone.
...
10 Tips for Selling to FinTech
  1. Learn about what we do before reaching out.
  2. Don't get deleted right away.
  3. Don't try to guilt me.
  4. Do the work to sell me.
  5. Make it a good fit.
  6. Make the business case.
  7. Timing is everything.
  8. Offer white-glove service.
10 May 2019

What are the 7 P's in banking services? ›

The seven 'Ps' are: product, price, promotion, place, people, processes and physical evidence.

How do you promote a loan? ›

Here are eight personal loan marketing ideas you can put into action today.
  1. Be Sure to Optimize Your Website for Mobile. ...
  2. Use Content Marketing to Provide Helpful Information. ...
  3. Monitor Your Online Reviews. ...
  4. Get Creative with Social Media Posts. ...
  5. Update Your Mailing Lists to Support Your Loan Advertisement Ideas. ...
  6. Email Marketing.
17 Dec 2018

How do banks attract customers? ›

Engagement: they opened and engaged the email. Balances: they actively use their checking, savings, and credit card accounts. Customer Satisfaction: positive reviews based on recent surveys and net promoter scores, no open complaints or cases.

How do you develop marketing for banks and financial institutions? ›

Here are 9 bank marketing ideas to help you attract and retain customers and establish a unique position in the marketplace in 2020.
  1. Blogging. ...
  2. Social Media Content. ...
  3. Customer Service. ...
  4. Video Content Campaigns. ...
  5. Digital Signage. ...
  6. Non-Traditional Rewards Programs. ...
  7. Strategic Partnerships. ...
  8. Customer Data.
19 Jan 2021

What are the main objectives of Bank Marketing? ›

Objectives: profit; growth; market share; spreading risk; diversification of services.

What are the types of financial strategies? ›

Financial Strategy – Types: Capital Structure Strategy, Dividend Strategy, Capital Budgeting Strategy and Working Capital Strategies. Finance is the fundamental resource for starting and conducting of a business.

Where can I advertise fintech? ›

One trend in fintech marketing is the use of social media. Social media platforms are perfect for reaching out to potential customers and building relationships with them. Fintech companies can use social media to share news about their products and services, answer customer questions, and build brand awareness.

How do I create fintech content? ›

How to Create Effective Fintech Content Marketing
  1. Identify your target personas and create content specifically for them. ...
  2. Provide specific, actionable advice. ...
  3. Do keyword research. ...
  4. Provide a personalized interactive experience. ...
  5. Talk like a human. ...
  6. Include legal and compliance in the content creation process.

How do you build trust with fintech? ›

How to build trust in your fintech app
  1. Increase trust signals on your website.
  2. Show off your compliance and security efforts.
  3. Be transparent about the information you ask for.
  4. Create a seamless app experience for users.
  5. Send trustworthy notifications to users.
  6. Provide great customer service.
  7. Trust is a continuous process.
9 Feb 2022

What is the size of the fintech market? ›

The global fintech technologies market size was valued at $110.57 billion in 2020, and is projected to reach $698.48 billion by 2030, growing at a CAGR of 20.3% from 2021 to 2030.
...
U.S.-Canada Toll-free: +1-800-792-5285
Int'l :+1-503-894-6022
Email :help@alliedmarketresearch.com
1 more row

What do you know about the fintech market? ›

Fintech Market Definition

The FinTech (Financial Technologies) market consists of sales of technology and platform based financial services and related goods. FinTech is the use of technology and innovation to provide financial services through internet-based platforms.

What is marketing mix in marketing management? ›

The 7 elements of the marketing mix include the following:
  • Product (or Service) Your customer only cares about one thing: what your product or service can do for them. ...
  • Price. Many factors go into a pricing model. ...
  • Promotion. ...
  • Place. ...
  • People. ...
  • Packaging. ...
  • Process.

How do I create fintech content? ›

How to Create Effective Fintech Content Marketing
  1. Identify your target personas and create content specifically for them. ...
  2. Provide specific, actionable advice. ...
  3. Do keyword research. ...
  4. Provide a personalized interactive experience. ...
  5. Talk like a human. ...
  6. Include legal and compliance in the content creation process.

How do you grow a fintech company? ›

5 Ways to Make Your Fintech Business Stand Out
  1. Identify Your Unique Selling Proposition. First and foremost, you need to identify your Unique Selling Proposition (USP). ...
  2. Plan Your Content Strategy. ...
  3. Leverage Social Media. ...
  4. Connect to Your Target Consumers. ...
  5. Address Internal Gaps.
30 Sept 2021

What is the size of the fintech market? ›

The global fintech technologies market size was valued at $110.57 billion in 2020, and is projected to reach $698.48 billion by 2030, growing at a CAGR of 20.3% from 2021 to 2030.
...
U.S.-Canada Toll-free: +1-800-792-5285
Int'l :+1-503-894-6022
Email :help@alliedmarketresearch.com
1 more row

What is go to market strategy example? ›

A demand generation go-to-market strategy includes all sales-centric tactics and marketing activities such as cold calling, sponsored webinars, buying lists, email blasts, and television commercials. It focuses on creating audience demand by generating brand awareness and an immediate buzz around the product launch.

What is Fintech content? ›

What exactly is a Fintech Content Marketing Strategy? Content marketing combines sales and marketing by engaging potential consumers and moving them down the sales funnel with attractive content techniques. Your fintech content marketing strategy highlights your main audience segments' unique selling points.

How do you write a Fintech article? ›

There are two great ways to do so:
  1. Write about topics that address your potential users' pain points head-on. Get to the root of what they're struggling with, and answer their questions with empathy.
  2. Make your brand voice different. Most fintech apps aim to sound trustworthy, straightforward, and credible.
15 Jan 2021

How can fintech market increase sales? ›

Educate your customers

Financial literacy is the key to building a loyal consumer base. More than 5 out of 10 millennials use mobile payment apps, but less than 20% are financially literate. Millennials are the biggest target market for fintech apps, and there's a huge opportunity to educate them about their finances.

What are the three development stages of fintech? ›

The five phases of FinTech are (dates are rough guide): Disruption (2005-2014) Discussion (2014-2017) Partnership (2017-2022)

What makes a good fintech? ›

From the banks perspective, a successful fintech solution must produce a quick return on investment, be low risk and easy to deploy.

What is the largest fintech company in the world? ›

In 2021, the largest two were the payment companies Visa and Mastercard, both headquartered in the United States, with a market capitalization of almost 478 billion and 368 billion U.S. dollars, respectively.

What are the main areas of fintech? ›

The Indian Fintech industry ecosystem sees a wide range of subsegments, including Payments, Lending, Wealth Technology (WealthTech), Personal Finance Management, Insurance Technology (InsurTech), Regulation Technology (RegTech), etc. The Fintech sector in India has seen a funding of $8.53 Bn (in 278 deals) in FY22.

How fast is the fintech market growing? ›

Dallas, Texas, Sept. 20, 2022 (GLOBE NEWSWIRE) -- The size of the global fintech (financial technology) market was estimated at $110.59 billion in 2020 and is expected to increase at a CAGR of 20.5% to reach $699.50 billion by 2030.

What are the four basic marketing strategies? ›

What are the 4Ps of marketing? (Marketing mix explained) The four Ps are product, price, place, and promotion. They are an example of a “marketing mix,” or the combined tools and methodologies used by marketers to achieve their marketing objectives. The 4 Ps were first formally conceptualized in 1960 by E.

What are the 3 main parts of GTM? ›

The components of a go-to-market strategy are simple: market intelligence, market segmentation and product messaging.

What is RTM strategy? ›

A route-to-market strategy is a commercially incentivized method of reaching, selling and transacting to drive revenue and profit within an identified target market or segment.

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