In the early 90s, there used to be very few financial institutions and people were more inclined to savings rather than investments. But the scenario has changed ever since.
India has seen a humongous growth in the financial sector in recent years. Now the younger generation is more aware and financially sound than ever before. They want to invest in different financial products and properties to make their future secure. To cater to the need of these people many small finance companies are emerging and making the market more competitive.
To survive in the competition finance companies must look beyond traditional marketing and opt for digital marketing. Everyone wants to be ahead and a good digital marketing agency can help you in this race.
Due to high competition in this sector, finance companies always strive to launch new products to attract and retain their customers. For this, the companies need to advertise their products regularly to create awareness. The biggest hurdle finance companies face is gaining the trust of their customers. Study shows 30% of millennials do not trust most financial service companies. That’s why finance companies must work to create and establish their brand name through different campaigns.
Recently, tremendous growth has been seen in the digital marketing sector. Especially in this pandemic when print and broadcast media failed to perform, digital marketing kept businesses afloat.
Finance companies must choose digital marketing over traditional marketing because of its numerous advantages. Now let’s discuss why digital marketing is a preferred choice for finance companies.
Sudden Digital Transformation
Now people spend most of their time on various digital platforms whether to connect with friends or to gain knowledge on something or advertise their skills. Digital platforms have changed the way people interact and communicate with each other.
Before buying any product and service people first search it online to find information, compare it with other products, and gain knowledge of the brand. They don’t trust the brand which has a very limited digital presence. Whereas in the finance sector trust is the main factor to do business. So finance company must broaden their digital presence through different campaigns to gain the trust of the consumer.
For financial needs, most people rely on digital services. Online transaction is now very common and most people prefer to buy financial products online. So a strong and secure website is needed to fulfill the needs of consumers and also to promote the website is also crucial.
Digital marketing is less expensive as compared to traditional marketing. In digital marketing, you can reach your potential customers with less budget. Creative and engaging content can reach thousands of customers without spending much.
The biggest advantage of digital marketing is one can measure the outcome. It can show you how many people bought your product or service, or visited your website, or engaged with your brand. So one can easily find the return on investment. This was not possible in traditional marketing.
Course Correction Is Easy
Companies can do digital marketing through different channels like Google Ads, Social media ads, inbound marketing, or email marketing. Either they can choose all the channels or can choose a few. They can always divert their fund to better performing channels from other not so doing well channels.
In one channel also they can increase or decrease their budget by evaluating the outcome. Digital marketing allows you to correct your course whenever you want so that you have better control over your marketing strategy.
Digital marketing provides the opportunity for two-way engagement. Both companies and customers can reach out to each other. Nowadays information is the key. Customers always need information before buying any product or service. The companies need to be prompt in this matter as so many choices available people can change their mind at any time.
By reaching out to their customers and addressing their needs and grievances companies can create a strong brand name in this highly competitive and ambitious market.
Reaching The Potential Customer
Digital marketing gives you the freedom to choose your target audience which was never possible in the case of traditional marketing. Companies can choose the gender, age group, the geography of their potential customers according to the product and service they are offering which results in better conversion and profit.
Less Media Spillage
In the case of print media and broadcast media, more media spillage happens because companies target a large segment of the population and most of them are not even the target audience. But in the case of digital marketing companies only target potential customers which result in fewer media spillage.
Consumer Behavior Insight
In digital marketing companies can analyze the data available and understand consumer behavior. They can analyze different sales funnels and improve the customer experience. Continuous effort to improve makes the brand stand out from its competitors.
In a competition competitor analysis is the key to win the race. Digital marketing allows you to do a thorough analysis of competitors. Lots of tools available in digital marketing to find out what strategy competitors are following and what are their strengths and weaknesses. It helps you to formulate better strategies.
A good marketing strategy helps you to gain new customers and retain existing ones. Existing customers are most important for any company as they are the building blocks. In digital marketing, data give you insight into new as well as existing customers. Data show you whether you are losing your regular customers. If so, then companies can work on strategies to retain their customers. With so many advantages finance companies must invest in digital marketing rather than digital marketing.