During a recent ProFundCom Breakfast Briefing at London’s RAC Club, Managing Director and Founder, Paul Das looked at how new trends in digital marketing can be used to raise assets.
Here’s a summary of the main points:
Gaining New Investors
What you should know about people you market to
When raising assets, you must establish two main things about any potential client – motivation and risk profile. Everything else – such as buying habits, position and objectives – revolves around these primary areas. And you can establish these things through analysing web and email interaction.
Where do you find new investment?
45% of respondents to a ProFundCom survey said that relationship managers were their main source for raising new investment. Surprisingly, very few cited CRM information, or analysis of digital behaviour. This is a missed opportunity, as so much valuable information can be captured this way, which can be used to attract new investment.
The fall of the relationship manager
In fact, the influence of relationship managers is waning as the millennial generation comes of age. Because they are so digitally connected, millennials have much more input into their buying decisions and thus rely much less on what a relationship manager may tell them. So, distributing thought leadership and trusted advice though the web – and connecting with potential investors via social media – is becoming much more important.
The rise of investor-centricity
Looking at things from your investor’s perspective – being investor-centric – allows you to effectively target and segment your potential customers, and thus make them easier to market to. This will become an increasingly common approach over the next few years.
How to reach your customer
Thanks to the explosion of different digital channels – blogs, investor portals, LinkedIn, YouTube, Twitter etc – it’s harder than ever to get through to your potential customer. One innovative way to cut through all the chatter is with a ‘proxy website’. This is where a big financial brand sets up a thought leadership site that is seemingly unconnected to them, but which funnels interested parties into their main site. Also, firms are increasingly turning to instant messaging services – such as WhatsApp and Facebook Messenger – to connect with the new breed of digital-savvy investors, allowing them to interact directly with their brand.
The problem with content
Content is most useful if you analyse how people interact with it, but – due to lots of content across multiple channels – that’s no easy task. The answer to this problem is to employ a data scientist – someone who analyses how people are interacting with a firm’s content to provide vital information, such as who is looking to invest, redeem, buy, or could act as a champion for your brand. This information can then be used to establish who you should contact, when, and what you should talk about.
Aligning Sales And Marketing Teams
Use your marketing to build trust
More than ever, trust is key to successful asset raising – and marketing teams are instrumental in generating trust. It’s the responsibility of marketers to build trust by providing an honest user experience through clear and unambiguous communication, whilst explaining about risks, protection and data usage.
Creating marketing alpha
Through effective digital communication with investors – and analysis of the resultant data – marketing teams can create a new alpha by supplying strategy, insights, reporting and suggested actions to sales teams. This information is so valuable that marketing departments will become increasingly powerful over the next few years.
Collaboration is key
The increased importance of marketing means that sales and marketing teams have to work more closely together, through greater collaboration and understanding. This could mean, for example, regular meetings between marketing and sales teams, and marketers listening in on sales calls.
Capture ideas online
Inspiration doesn’t always come in the office, which is why you need to use an online portal such as Basecamp, where people can jot down ideas whenever they occur. You must also share new initiatives with your sales team.
AI And Machine Learning
AI is here to help
AI should stand for augmented, rather than artificial, intelligence, so you can ignore the doomsayers predicting that robots will be stealing jobs and running your office in a few years time. Actually, AI is there to help, by analysing digital engagement to give a clearer picture of people’s sentiment – annoyed, happy etc – as they interact with your communications. This gives you greater opportunity to raise assets.
Other advantages of AI
AI is also good at analysing huge amounts of data to quickly establish which communications are resonating most with your audience. AI can also help with fraud detection and client onboarding, as well as running chatbots – e.g. website live chat facilities – which are becoming an increasingly important communication channel.
It’s time for the whole financial sector to wake up and realise that marketing is a core banking function. Gone are the days of relying on your sales teams and leaving marketing as an afterthought. The increasing demand for quality content and advice, accessible through multiple channels, means that marketing is now at the forefront of the drive to raise assets.