Financial institution marketers do digital right with three ingredients
ROHNERT PARK, CA (June 30, 2016) — According to data analytics expert Rahul Nawab, more credit unions and community banks are capable of bringing digital marketing talent in-house. The founder of IQR Consulting explained why in front of an audience of Analytics and Financial Innovation (AXFI) Conference attendees this week.
“The way today’s marketers are educated — whether through university degree programs or corporate training schools — has created a new segment of individuals with highly valuable, blended skill sets,” said Nawab. “As they gain expertise in IT, analytics and creative strategies, contemporary marketing professionals have what it takes to lead the kind of data-driven digital campaigns that trigger positive behaviors from target consumers.”
Nawab went on to explain expertise alone does not drive success with digital marketing. In addition, he insisted, credit union and community banks must have three key ingredients before they can expect positive outcomes from their digital campaigns:
- Discipline to consistently define and measure return on spend within a channel
- Tools to track digital user experiences and activities
- Technology (either in-house or vendor-sourced) to quickly implement changes
For financial institutions new to digital marketing, Nawab advised they start somewhere easy. “In the beginning, it’s all about developing a culture of data-driven campaigns and analytical adaptations to make the next campaign better. Often, individuals will want to understand, for example, how their online activities translate into branch visits. That requires fairly advanced analytics that even larger institutions haven’t truly figured out. Start small by measuring things you can readily access, such as e-mail sign ups or online account openings. Once you get your hands around what it takes to measure and adapt a campaign to simple results, you can begin to increase the complexity of your analytics.”
According to Nawab, the ultimate goal is to get to the point marketing teams are performing both descriptive and prescriptive analytics on their digital marketing campaign results. Descriptive analytics, which answer questions like what happened and why, can be described as using hindsight to set strategy for upcoming campaigns. Predictive analytics, on the other hand, answer questions like what will happen and how can we either ensure or prevent it from happening.
This type of foresight-focused analysis is the sweet spot for credit unions and community banks, said Nawab. “Digital marketing campaigns provide a terrific opportunity to begin developing a data-centric culture. In fact, marketers can be the catalyst for helping to develop an enterprise-wide appreciation for the power of analytics. Before long, managers from sales to operations will be asking, ‘How can we use analytics to improve our performance, too?’”
About IQR Consulting
IQR Consulting is a leader in portfolio and financial analytics, reporting, statistical modeling and campaign management. The analysts at IQR are experts in the use of segmentation as a means for highly targeted marketing. With accurate and actionable insights and analysis, IQR helps banks, credit unions and casinos leverage data assets to increase profitability and to better compete against larger institutions. For more information, visit www.iqrdataanalytics.com.