According to research by Bain and Company, loyal customers are essential for profits. In fact, increasing retention by just 5% boosts profits by 25% to 95%. Content marketing is one of the top ways of fostering customer loyalty and improving retention rates. Producing value-driven content that directly addresses what consumers want is how your finance brand can build relationships and authentic connections. Here we explain how you can create content that builds loyalty.
Why loyalty is so important for finance brands
There are a number of reasons why loyalty should be a strategic priority for your finance brand’s content marketing goals. At the end of the day, loyal customers means greater retention and greater retention is important for your finance brand’s bottom line.
“ Increasing retention by just 5% boosts profits by 25% to 95%. ”
For finance brands, retention is not just about repeat sales. Instead, retention can help profits for a number of important reasons according to Bain and Company, including:
- Repeat customers refer more people
- Repeat customers spend more and make bigger purchases
- Loyal customers will purchase different products and services from you
Unfortunately, the finance industry has a high customer churn ratio of 25%, which is higher than the average of less than 20% for most industries. Improving this churn rate can be done through a strategically created content marketing program.
So, how can your finance brand foster loyalty and improve retention through content marketing?
Content marketing 101
Gaining customer loyalty is a long game. It’s more than just providing quality products and services but also fostering authentic connections. Content marketing can help form relationships with customers by delivering information that they want and need.
When it comes to content marketing and retention, the keyword financial marketers must keep in mind is ‘valuable’. All content you produce and share needs to offer value to consumers, whether that’s in the form of entertainment, education or personal financial development.
To create truly valuable content you need to understand your finance brand’s target audience. Consider what they want and the best way of sharing it whether that’s social media, email marketing or website traffic or a combination.
Here are three tips for creating engaging content that builds loyalty:
- Helpful and informative content is a must-have
- Send content directly to consumers
- Utilise personalisation to foster relationships
- Promote content on social media
- Create content in a variety of different mediums (video, blog, infographics) to ensure it remains fresh and engaging
Key lessons for financial marketers
At the end of the day, loyalty should be a priority for finance brands around the world. Customer retention is vital for profits but it’s not a given. While often financial content marketing is centred on nurturing leads and converting clients, this shouldn’t be the only area of focus.
Once your finance brand converts a customer, your content marketing strategy doesn’t end there. Creating a strategic content marketing strategy that places consumers at the forefront is critical to developing value-driven content that creates meaningful connections with consumers.