The Financial Services Marketing Handbook E-Book

Evelyn Ehrlich

• Herausgeber: John Wiley & Sons
• Kategorie: Fachliteratur
• Serie: Bloomberg Professional
• Sprache: Englisch

Seitenzahl: 348

Veröffentlichungsjahr: 2012

Beschreibung

The roadmap to success for financial professionals using real-world examples, practical how-to's, and a structured approach to marketing strategy and tactics that covers the basics for beginners and inspires new ideas for marketing pros The Financial Marketing Services Handbook, Second Edition gives sales and marketing practitioners the practical tools and best practices they need both to improve their job performance and their retail and institutional marketing strategies. The FSM Handbook guides marketing and sales professionals working in an industry characterized by cut-throat competition, client mistrust, transformative technologies, and ever-changing regulation, to understand the practical steps they must take to turn these threats into opportunities. Providing invaluable information on how to target, win, and retain profitable customers, the book presents an overview of the basic marketing functions--segmentation, positioning, brand building, situational analyses, and tactical planning--as they relate specifically to the financial services industry. With up-to-date case studies, showing what has worked and, more tellingly, what hasn't, the book demonstrates how to effectively utilize the marketer's toolbox--from advertising and public relations to social media and mobile marketing. * Discusses how social media (Twitter, Facebook, blogs, review sites) impact branding and sales * Packed with new information on landing pages, email success factors, and smartphone apps * Demonstrates how behavioral economics affect marketing strategy * Case studies and charts are fully revised and updated The financial industry is under intense pressure to improve profits, retain high-value clients, and maintain brand equity without straining budgets. The first edition has become an industry-standard reference book and The Financial Services Marketing Handbook, Second Edition gives sales and marketing professionals even more of the information they need to stretch value from each marketing dollar.

Leseprobe

Contents

Preface

Acknowledgments

Introduction: The Unique Challenges of Marketing Financial Services

Products or Services?

Psychology of Money

Third-Party Relationships

How End Users Select a Financial Services Provider

Legal and Regulatory Constraints

Section One: Strategic Market Planning

Chapter 1: Segmentation

The End of Undifferentiated Markets

Methods of Segmentation

Finding Your Target Segments

Chapter 2: Positioning and Branding

Positioning Strategy and Differentiation

Creating a Distinctive Brand Identity

Chapter 3: The Market Plan

Researching Your Plan

The Elements of the Plan

Section Two: Marketing Tactics

Chapter 4: Advertising

Media Selection

The Role of Your Ad Agency

Creating Effective Creative

Measuring Advertising Effectiveness

Chapter 5: Public Relations

Third-Party Endorsement

The Tools of Public Relations

Media Relations

Public Relations for Every Budget

Measurement

Chapter 6: Sponsorship and Event Marketing

What Is the Value of Sponsorships?

Cause Marketing

Activating a Sponsorship Program

Measuring the Effectiveness of Sponsorship

Chapter 7: Interactive Marketing

Techniques and Goals of Direct Methods

E-mail Marketing Considerations

Improving Response Rates

Mobile Marketing

Chapter 8: Social Media Marketing

Social Media Concerns

Effective Social Media Engagement

Social Networks as Marketing Channels

Chapter 9: Personal Selling

Traditional Relationships between Sales and Marketing

Bottom-Up Marketing

Changes in the Sales Distribution Model

Marketing Support Across the Sales Cycle

Chapter 10: Trade Shows and Seminars

Trade Shows

Seminars

Chapter 11: Relationship Marketing

Why Customer Retention Matters

Methods of Relationship Building

Loyalty Programs

Conclusion

Appendix: Applying Marketing Principles to Sales Practice

Building Your Plan

Practice Examples

Conclusion

About the Authors

Index

Since 1996, Bloomberg Press has published books for financial professionals, as well as books of general interest in investing, economics, current affairs, and policy affecting investors and business people. Titles are written by well-known practitioners, BLOOMBERG NEWS® reporters and columnists, and other leading authorities and journalists. Bloomberg Press books have been translated into more than 20 languages.

For a list of available titles, please visit our web site at www.wiley.com/go/bloombergpress.

Copyright © 2012 by Evelyn Ehrlich and Duke Fanelli. All rights reserved.

Published by John Wiley & Sons, Inc., Hoboken, New Jersey.

Published simultaneously in Canada.

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Limit of Liability/Disclaimer of Warranty: While the publisher and author have used their best efforts in preparing this book, they make no representations or warranties with respect to the accuracy or completeness of the contents of this book and specifically disclaim any implied warranties of merchantability or fitness for a particular purpose. No warranty may be created or extended by sales representatives or written sales materials. The advice and strategies contained herein may not be suitable for your situation. You should consult with a professional where appropriate. Neither the publisher nor author shall be liable for any loss of profit or any other commercial damages, including but not limited to special, incidental, consequential, or other damages.

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Library of Congress Cataloging-in-Publication Data:

Ehrlich, Evelyn, 1950–

The financial services marketing handbook : tactics and techniques that produce results / Evelyn Ehrlich and Duke Fanelli. — 2nd ed.

p. cm.

Includes bibliographical references and index.

ISBN 978-1-118-06571-6 (cloth); ISBN 978-1-118-25570-4 (ebk); ISBN 978-1-118-23636-9 (ebk); ISBN 978-1-118-22240-9 (ebk)

1. Financial services industry—United States—Marketing. 2. Financial planners—Marketing. 3. Customer relations. 4. Financial services industry—Computer network resources. I. Fanelli, Duke, 1954– II. Title.

HG181.E38 2012

332.1068'8—dc23

2011041422

Preface

When we wrote the first edition of The Financial Services Marketing Handbook, our goal was to help codify financial marketing theory and practice as a training tool for both students and practitioners. We have been gratified by the response to the first edition, published in 2004 by Bloomberg Press: It has been adopted as a course text in undergraduate and graduate programs at major universities; distributed in bulk as a training tool for corporate programs; well-reviewed in the trade press; used for presentations at national and international financial conferences; and translated into various languages, including Chinese and Indonesian.

A lot has changed since the first edition was published in 2004. For one, many of the companies cited as examples in the earlier edition no longer exist. The names of the fallen are, in some respects, a history of the 2008 financial crisis: Bear Stearns, Lehman Brothers, Countrywide, Washington Mutual, Wachovia. Some of these firms (Washington Mutual, Wachovia among them) were marketing leaders whose marketing savvy couldn’t overcome bad business practices. It was not the lack of marketing awareness that caused the financial crash of 2008—if anything, some of these companies were too good at marketing bad securities. But the state of financial marketing has become more difficult with the crisis—there is less trust in financial institutions and more defections from long-standing relationships. Marketers cannot manufacture trust. It inheres to the product or service and grows from a company-wide commitment to serving customer needs.

In addition to the impact of the crisis on many financial brands, another major change has occurred in the last decade in the tools of marketing. When the first edition came out, the Internet was only a few years old and many practitioners viewed online marketing as an optional, rather than a core, practice. Today, online media are integral to any marketing campaign and are, therefore, integrated into the chapters on various tactical approaches—from public relations to face-to-face selling, from advertising to event sponsorship. We have added a sub-chapter on mobile and smartphone marketing and created a new chapter focusing specifically on the social media—blogging, social networks, and other modalities sometimes referred to as Web 2.0. This chapter may date just as rapidly as the earlier Internet chapter it replaced. Web 3.0 and 4.0 are in the wings and financial marketers will need to figure out how to harness these tools, while coming to grips with a new paradigm in which we no longer control the conversation but rather respond to what the market says.

In a way, though, the rise of the social web takes marketers back to first principles: Listen to customers, learn what their needs are, respond with products and services that meet those needs. The basic principles of marketing have not changed. Segmentation, positioning and strategic planning are more important than ever. Financial marketers have to do more with less and need more than ever to prioritize strategic and tactical goals and measure results. “Seat of the pants” marketing continues to be the default mode for many financial companies but if the last decade has taught us anything, it is that bad marketing decisions have serious consequences.

Our hope is that this new edition of The Financial Services Marketing Handbook will help financial marketers make better decisions by reviewing core principles and learning from the successes and failures of others.

Evelyn Ehrlich

Duke Fanelli

March 2012

Acknowledgments

Many people helped us by giving their time, knowledge, and support: We would especially like to thank Renee Harris of New York University’s Center for Marketing; Bill Wreaks; the editor of the first edition, Jared Kieling; Laura Walsh and Judy Howarth at Wiley; and all our colleagues and clients who have educated and supported us over the course of our (collective) 50 years in financial services marketing.

Duke Fanelli co-authored this book based on a desire to share, demystify, and make useful the many tools at the disposal of the financial services marketer and practitioner. His contributions to this book would not have been possible without his wife Donna’s unyielding support, enthusiasm, and encouragement for all his life’s endeavors, and his children Michael, Carina, and Alicia who provide daily inspiration. Special thanks go to the ANA (Association of National Advertisers), which made its collective marketing knowledge and deep insights available.

Evelyn Ehrlich would like to dedicate this book in loving memory of her parents, Liesel and Fritz Ehrlich.

INTRODUCTION

The Unique Challenges of Marketing Financial Services

Marketing financial services used to be easier. Banks gave a toaster to a new depositor and had a customer for life. Stockbrokers rarely left their parent company to go to a competitor. Institutional financial services was a clubby business in which multimillion-dollar deals were negotiated on the golf course. No more. Today, competition in financial services is fierce; sales and market-share growth can hinge on a few basis points, a friendlier voice on the phone, or an easier-to-navigate web site. Not only has competition become more intense, financial services have also changed structurally. Old customs and laws that isolated banks by geography and separated investment banks from commercial banks, and insurance companies from mutual fund companies, have disappeared.

Now, everyone is competing for hot business segments. Retirement services, for example, are offered by banks, brokerages, mutual funds, insurance companies, and independent advisers. And it’s not just customers they’re competing for. With mergers and acquisitions occurring all the time, financial companies are no longer lifelong employers to whom employees naturally feel loyalty. Today’s financial marketplace is a free for all, where top sales producers act like pro basketball players, demanding signing bonuses and salaries that can far exceed the CEO’s.

But even as the financial industry has undergone momentous structural change, financial services marketing has remained pretty much what it’s always been: passive, conservative, and relatively undisciplined. The words are different now; marketing managers talk about “brand management” and “customer value” and “share of wallet.” But with few exceptions, financial services marketers are using old and not always effective methods of acquiring and retaining customers and sales professionals. This is true both in consumer and institutional markets, in traditional brick-and-mortar businesses like banks, and in cutting-edge businesses like online brokerages.