8 KPIs Your Financial Institution Should Be Using To Track Marketing Efforts
PPC | SEO | Strategy
Numbers are the driving force in the financial industry, but one area most banks and credit unions find tough to draw numbers from is their marketing. It’s an all too common question: “How do I know if my marketing is working?” If you tackle your bank marketing plan with a strategic and outlined approach, you’ll get a better understanding of what is working and what isn’t. Begin by defining your goal or desired outcome, and selecting the right Key Performance Indicators (KPIs) to measure those goals. Here are three common goals your financial marketing strategy should include and correlating digital marketing metrics you should be tracking.
Building Brand Awareness For Financial Services
One of the toughest hurdles financial marketers face is attracting new customers. The “sticky” products can retain customers for years at a time, resulting in high steak competition for acquiring new customers in a crowded market. Customers ordinarily only leave after a bad customer service experience, leaving a pathway for your financial institution to be open for consideration. What’s more, brands that are included in the initial search and review process are more than twice as likely to ultimately be purchased. That’s why building brand awareness for your bank or financial institution and remaining top of mind is key to getting in front of any new customer.
So, after you’ve launched your kick-ass bank marketing strategy to build awareness around your brand, how do you know if it’s working?
Ad Reach- Your reach (different from impressions) tracks the number of people who saw your ad at least once. Utilize the tools offered in Google Ads and Facebook Ads to determine how often they are being shown to your target audience.
New Users and Sessions– You can use Google Analytics to track new users (people who have never visited your site before). Monitor your average percentage of new users to begin as a baseline, and track changes in the percentage of new sessions after you’ve launched your bank marketing campaign. Keep in mind that this does come with the downside of skewed data if a user clears their cookies, or visits your site on their mobile device.
Google My Business Performance- After launching the branding campaign for your bank or financial institution, monitor for a spike in your Google My Business listing. Whether you have one location or twelve, you’ll be able to track any change in your listing views, website clicks, phone calls made, and requests for driving directions.
Keyword Trends- By utilizing Google’s Keyword planner, you are able to see how many searches are performed for your brand each month. You can use this as a benchmark of where your brand loyalty lives. You’ll also want to make sure to benchmark your competitors to show where you are seeing increases and decreases. You won’t likely see trends move much on a month to month basis, but if pulled quarterly you should be able to spot some changes. Expert tip: You can also break this down by looking at brand searches by region.
Finding Prospects and Turning Them Into Customers
Your financial branding strategy will certainly put your name out there and contribute to your top-of-mind awareness, but remember that searching for new customers is just as important as selling to existing ones. The process of actively seeking out new customers for your bank is called lead generation, and there are a few ways you can begin tracking your efforts:
Click-Through-Rate (CTR)- Your CTR measures the percentage of clicks your paid ads or landing pages receive compared to your total impressions or views. Set a benchmark for your bank’s marketing campaign to begin, then modify your message to gauge the impact. While the definition of “good” is going to be open to interpretation, the average CTR on a paid search ad in the financial and insurance industry is 2.91%, a solid baseline to start from.
Cost Per Lead (CPL)- If your financial digital marketing campaign does include ad spend, you’ll want to track how much you are paying per lead or prospective customer. To understand your CPL, divide the total cost of your campaign efforts by the number of leads you’ve generated. For example, if you spend $100 on an ad campaign and 5 prospective customers came in through that campaign, your CPL would come to $20. You want to determine what a new lead is worth to you before beginning your campaign, to adjust your ad spend as needed.
Funneling leads into your pipeline does not mean you’ve reached the finish line quite yet, there is more work to be done to convert those prospects into new account holders. Here is where your content marketing for financial services strategy comes into play! Offer engaging content your prospects will find valuable. Maybe it’s a to-do list before taking out a mortgage, or a video on how to teach your kids about money, or even a stock market newsletter with the latest changes and trends. Nurturing those prospects and continuing engagement until they turn into customers can often be a long-term task that requires close attention to the details in the numbers, but these key metrics have the potential to be the driving data that leads your financial marketing:
Contact Forms or Subscription- One of the easiest ways to discover opportunities for new customers is by letting them come directly to you through contact forms on your bank’s website. These might include free rate quotes, quick answers, loan applications, or even subscriptions to your financial blog or newsletter that we just talked about. Then, take a look at where that form submission traffic is coming from.
Conversion Rate (CRV)- And finally, the number that matters most to every bank marketing plan! The percentage of visitors that take a specified action is your conversion rate. This should be a goal that’s important to your financial institution, such as filling out a contact form or opening a new account online. Keep in mind, if you are tracking CRVs on your website, it’s important to understand your historical website performance as a baseline to measure against.
Putting it all together
There are a vast number of metrics out there that can be used to track your bank marketing strategies, and at times it can feel overwhelming. The key is to take it one step at a time, make sure the KPIs your measuring align with your marketing goals, and most importantly to make adjustments as needed.
Not sure where your financial firm’s current KPIs sit? Drop us a line, we’d love to work with you to conduct your current digital marketing audit and point you in the right direction and equip you with powerful reporting tools that clearly indicate the effectiveness of your marketing.
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