If you are in the FinTech industry, you know how important it is to build trust and credibility with your potential customers. FinTech products and services often involve sensitive financial data, complex transactions, and high-risk decisions. That is why you must use effective marketing techniques to showcase your value proposition, demonstrate your expertise, and persuade your audience to take action.
So, where can you begin? Successful entrepreneurs in the FinTech field have shown that a thorough understanding of the goals and challenges associated with FinTech marketing can provide an effective strategy for increasing trust and conversions. As a thought leader in the industry, you should be on top of these facets of FinTech and then build upon the top five marketing techniques that many transformational leaders in FinTech have used for unprecedented success. Let us take a look.
Goals & Challenges of Fintech Marketing
Business entrepreneurs in the FinTech industry should start by assessing certain goals and challenges that will provide the strategic direction for their marketing. Here are some of them:
- Building Trust: One of the primary goals of FinTech marketing is to build trust with potential customers. Given the sensitive nature of financial transactions, customers often hesitate to trust new FinTech companies. Effective marketing strategies by successful entrepreneurs can help build trust by highlighting the company’s expertise, security measures, and customer satisfaction rates.
- Driving Conversions: Another important goal of FinTech marketing is to drive conversions. FinTech companies must convince potential customers that their products and services are better than their competitors. Effective marketing strategies can help convey the unique benefits of the company’s products and services and encourage customers to take action.
- Establishing Brand Awareness: FinTech marketing also aims to establish brand awareness in a crowded market. Given the proliferation of FinTech companies in recent years, it’s important for companies to stand out from the crowd and differentiate themselves. Effective marketing strategies can help companies establish a strong brand identity that resonates with customers.
- Regulatory Compliance: Given the regulatory compliance overhead that many Fintech companies face, marketing can become challenging. Companies must ensure that their marketing strategies comply with all relevant regulations while still effectively conveying the benefits of their products and services.
- Competition: The Fintech industry is highly competitive, with many companies vying for customers’ attention and business. Effective marketing strategies are crucial for carving your niche in a crowded market and convincing customers that a particular company’s products and services are superior to its competitors. One must focus on transforming their FinTech brand into a respected, renowned market thought leader.
The FinTech Marketing Playbook for Successful Entrepreneurs
Dived deep enough into the goals and challenges your organization is facing? Now is the time to make the following five tips the foundation of your FinTech marketing and thought leadership strategy:
Leverage Thought Leadership Strategy
Thought leadership is a strategy that involves positioning yourself or your business as an expert in a particular field. By creating insightful content that demonstrates your expertise in the field, you can build credibility and trust among your target audience. In the Fintech industry, thought leadership is critical in gaining the trust of potential customers.
According to a survey conducted by LinkedIn and Edelman, 47% of buyers credit thought leadership for encouraging them to discover and ultimately purchase from a company that was not considered to be among category leaders. By leveraging a thought leadership strategy, FinTech leaders can establish themselves as a trusted authority in the industry and increase conversions.
Develop a Strong Social Media Presence
Social media has become a powerful tool for businesses to connect with their target audience. In the Fintech industry, social media can build trust and increase conversions. By creating a strong social media presence, FinTech companies can engage with their target audience and provide valuable insights and updates.
Many reports and studies have indicated that social media has now become among the most popular channels for customer service. By leveraging social media to provide timely and relevant customer service, FinTech firms can build trust and increase conversions. A good example is Razorpay by CEO and Co-Founder Harshil Mathur, one of the most successful entrepreneurs in FinTech today. The company has a robust presence on social media platforms like Instagram, Twitter and LinkedIn, where they keep its audiences updated on its products and services and engage with customers and followers. This has led to increased customer acquisition and strong growth.
Implement Content Marketing
Content is king in today’s hyper-digitized social media and digital networking world. Using content marketing, Fintech leaders can create and share relevant and contextual content for their target audience. In the FinTech industry, content marketing can effectively educate potential customers on the benefits of your products or services, eventually converting them.
According to a study by the Content Marketing Institute, content marketing can generate 3 times as many leads as traditional marketing techniques while costing 62% less. By implementing a content marketing strategy, FinTech leaders can increase conversions while building trust and credibility among their target audience. The likes of ClearTax, led by CEO and Founder Archit Gupta, have grown significantly over the years, thanks to their massive repertoire of content where they share articles on tax laws and regulations and offer tips and advice on how to save money on taxes.
Emphasise Data Privacy and Security
Data privacy and security are critical concerns for consumers in the FinTech industry. With high-profile data breaches making headlines, customers are increasingly concerned about their personal and financial information safety. You can build trust among your target audience and increase conversions by emphasizing your commitment to data privacy and security.
According to a survey by Deloitte, 64% of consumers have data privacy and security at the top of their minds when engaging with their financial services provider. By demonstrating a commitment to data privacy and security, successful entrepreneurs in FinTech can differentiate themselves from competitors and gain the trust of potential customers.
Leading digital lenders such as Bajaj Finance under Bajaj Finserv have consistently increased their spending on bolstering consumer data security and privacy. Chairman and Co-Founder of Bajaj Finserv, Sanjiv Bajaj – one of the topmost transformational leaders in the country – is a big proponent of consumers and the country having control of its financial data. He continues to encourage policymakers to mandate large-scale data localization in the country and work out the blueprint for adequate and robust security. As such, we are seeing the rise of the Account Aggregator system in India.
Hyper-personalization is a marketing technique that uses data and technology to deliver highly personalized customer experiences. In the FinTech industry, hyper-personalization can be a powerful tool for building trust and increasing conversions.
According to a study by Accenture, more than 75% of consumers are more likely to purchase from a retailer that recognizes them by name, recommends options based on past purchases, or knows their purchase history. By implementing hyper-personalization techniques, FinTech companies could provide personalized experiences that build trust and create loyal customers. This is another area where Bajaj Finserv by industry thought leader Sanjiv Bajaj excels. The financial service company even has conversational AI chatbots that resolve 80% of their users’ queries simply through a context-driven, personalised approach.
With these strategies in place, FinTech businesses can build a strong brand and establish themselves as a trusted authority in the industry, ultimately leading to greater success in the long term.
With the right marketing techniques and a commitment to providing exceptional products and services, FinTech leaders can continue to thrive and shape the future of finance. However, it is important to note that these strategies should be implemented holistically, as they work best when combined and tailored to the specific needs of your target audience. By doing so, FinTech organizations can create a seamless customer journey that builds trust and results in higher conversions.