For financial institutions, how well they engage customers and deliver a great customer experience can differentiate them from their competitors. In 2020, COVID-19 forced customer engagement online, and according to Frank Rohde, President and CEO at Nomis Solutions, “post-COVID, the majority of customers will continue to engage digitally with financial institutions.”
Mobile already plays a big part in how customers engage with their banks. Customers frequently receive text messages for things such as fraud alerts, identity authentication codes and payment reminders. And while those types of interactions are very important in the mobile banking customer experience, more institutions are turning to mobile for marketing as well.
According to a new report from Deluxe that surveyed financial institutions, improving the customer experience and enhancing mobile engagement are two of their top priorities for 2021. Only 19% of survey respondents said their marketing strategies were very effective in 2020. When asked what marketing activities will be important in 2021, nearly 80% said mobile marketing was a high priority.
This greater move into mobile marketing makes sense because of its ability to engage customers personally, quickly and effectively. In the latest infographic from Soprano Design, we identify some of the reasons mobile marketing is becoming more and more important in customer engagement and in driving revenue growth for financial institutions.
How Mobile Messaging Drives Revenue for Financial Institutions
Improving customer engagement directly impacts the bottom line.
- 84% of businesses that focus on enhancing the customer experience report an increase in revenue; 92% report increased customer loyalty.
- Financial customers who are fully engaged bring $402 in additional revenue per year to their primary bank.
- “Our conclusion: superior CX drives superior revenue growth.” – Harley Manning, Forrester
Customers expect their interactions using the methods and channels they prefer.
- 46% of financial consumers increased their mobile banking usage in the last year; 91% of mobile banking users prefer online banking over going to a physical branch
- 9 in 10 consumers want absolute omnichannel services and expect a seamless experience when moving from one communication method to another.
Mobile messaging channels are becoming the preferred method for customer engagement.
- 98% of smartphone owners use text messages on a regular basis
- SMS has open rates 5x higher than email
- SMS has response rates 8x higher than email
- SMS has response times 60x faster than email
- Personalization can drive up to 15% revenue growth.
Soprano Connect is an enterprise-grade omnichannel messaging platform that enables you to personalize, engage and build trust with your customers.