Get the Gold Medal Multi-Channel Service

You Deserve!

LKCS

Today’s Presentation

Today’s presentation has the wrong title:

– It’s not about the “Gold Medal Service You Expect”

– It’s about the “Gold Medal RESULTS You Can ACHIEVE”

– Today’s focus: Multi-Channel Marketing

What is Multi-Channel Marketing?

Some of Your Options

Traditional• Direct Mail• Brochures• Billboards• Newspaper• Radio/TV• Logoed Products

Digital• Web Site• Banner Ads• Search Engine

Optimization• E-Mail Marketing• Social Media• Online Advertising

In-Branch• Posters & Displays• Digital Signage• Drive-Up Marketing• Teller Envelopes &

Handouts• Sales Efforts &

Incentives

Transpromo (Statements)

• Statement Inserts• Newsletters• Envelope

Backprinting• Statement Messages• Onserts• E-Stmt Banners

Branding Ties It All Together

Inexpensive Add-On

You’ll Need to Choose Wisely

Member / Customer Acquisition• They Won’t Have Your Brochures• They’re Not in Your Branches• Lack of E-Mail Addresses• No “Free” Social Marketing• Not Getting Your Statements

Retention and Cross-Sell• All Options Available!

So What Do You Do?• “Balance” your budget based on your goals• Some options add little cost for maximum impact – especially when

marketing to existing account holders

Age Matters – Right?

• One constant we hear: we need younger account holders

• Generation X: People born from 1965 to 1980• Generation Y: People born in the 80s & 90s

– Will rarely be seen in your bank• Millennials: Unaware of life before 9/11

• Do EVERYTHING online• Value their time more than anything else• Bigger savers than other generations and they don’t understand

the stock market.

Online Shopping by Age Group

Social Media Users by Age Group

So What’s the Right Mix?

• Pick your “team” for each campaign. • Use our gold medal suggestions as your guide.

Traditional Marketing Gold Medalist

• Direct Mail

– HIT YOUR TARGET – there is no better traditional one-to-one marketing method

– BEST OPTION FOR NEW MEMBER/CUSTOMER ACQUISITION

– High quality mailing lists available

• Demographic Targeting - Location (zip codes, carrier routes or distance radius), age, sex, income, home ownership and MANY other criteria.

• Psychographic Targeting – Behaviors, lifestyles, even financial information such as wealth, investments, and credit card usage

Financial Profile List Data

• Nielsen Claritas P$YCLE divides every U.S. household into 13 different groups and 58 different segmentsbased on the financial behaviors and wealth of a household: Group 1 – Young Up & ComersGroup 2 – Metro MainstreamGroup 3 – Fiscal FledglingsGroup 4 – Flourishing FamiliesGroup 5 – Boomer ComfortGroup 6 – Mass Middle ClassGroup 7 – Working-Class Country

Group 8 – Financial EliteGroup 9 – Wealthy SeniorsGroup 10 – Suburban AchieversGroup 11 – Upscale Empty NestsGroup 12 – Midscale MaturesGroup 13 – Retirement Blues

P$YCLE Segments

• 46. Settling Down –Almost evenly divided among singles, childless couples and families, this segment ranks just above average for household income but far below average for income-producing assets.

Financially, they’re heavy users of installment credit, personal and auto loans, and banking services like ATMs and checking accounts.

Direct Mail to Existing Account Holders

• You have most of the data you need, you just may not know how to get it…

– Identify target groups of existing account holders

– Build profile of existing account holders to identify qualified prospects

– Extract targeted mailing lists of existing account holders

• LKCS’ Solution: DataFlex

– A powerful drag-and-drop reporting and data analysis solution. Ask us for a demo!

Use Credit Data for Loan Campaigns

• Amazing targeting capabilities for loans

– Based on credit score and credit history

– You set the criteria you are looking for

– Auto loans, mortgages, home equity loans, credit cards, personal loans…data available for any type of loan

– New loans, refinances, and balance transfers

– Cross-Sell and new account holder acquisition

– E-mail offers to existing members/customers!

• Less expensive than you think

Get the Most Out of Direct Mail

• Personalization– Can dramatically improve response rates– Use personalization to:

• Make your offer more relevant by using specific data • Extend pre-approval offers for auto loans, credit cards, home

equity, mortgages, etc• Simplify response methods by pre-filling applications or reply

cards– Recent DMA Webinar cites personalized letters as best

direct mail option– Laser letters, postcards, self-mailers are all viable direct

mail campaigns at ANY quantity, no matter how small

Get the Most Out of Direct Mail

• In my humble opinion…

EVERY direct mail campaign to existing members/customers should have an e-mail component. NO EXCEPTION.

• It’s an inexpensive add-on• It reaches people who don’t see the mail• It reinforces your direct mail piece• Get better results when used together

Digital Marketing Gold Medalists

• Your Web Site is Your Flag Bearer– Your MOST CRITICAL marketing effort– As important as building a physical branch (arguably

more important)– The cornerstone of branding standards for other

marketing efforts

• Responsive Web Sites Make a Difference– Your site MUST be mobile-friendly; no longer an

option– Over 40% of web traffic is now from mobile devices

E-Mail Marketing

• If you’re not sending e-mail blasts regularly, you should be!

E-mail marketing has an ROI of 4300%!

That’s why marketers send over 838 BILLION emails annually.(sources: Direct Marketing Association, Forrester)

E-Mail Marketing Statistics

• A few additional e-mail marketing stats:

51% of all e-mail is opened on mobile

devices.Use responsive design

templates.

80% of people are only scanning your e-mail.Use a bold image and

strong headline.

58% of adults check e-mail first thing in the morning.Try sending your

e-mails early.

People check their smartphone up to 150X a

day.Use e-mail and social

together to reinforce your message.

iPhones will cut off a subject line over 32

characters.Put the most important

words of your subject line first.

Surrounding text with a significant amount of white space improves

comprehension by 20%.Don’t pack your content

too tightly.

Benefits of Using E-Mail Marketing

• Inexpensive

• Measurable

• Trackable

– Follow up with individuals that click specific links

• Do It Yourself

– WYSIWYG, Drag and Drop Interfaces with no programming required

• Responsive (Mobile Friendly)

• Schedule for Future Delivery

• Automation Options Continue to Improve

– What? Automate your follow-up for even better results!

E-Mail Message Results

Online Advertising

• Your #1 Source for Information: The Internet

• Your #1 Advertising Medium: Not the Internet?

• See the disconnect?– Your members/customers are researching and shopping

online.

– So that’s where you should be advertising.

– And, online ads are actionable – people can click on them and go directly to the landing page to “buy”.

• You set your budget. Daily / Monthly / Per Campaign.

Search Engine Advertising

70.16%

11.31% 7.68% 8.8%0.28% 1.77%

01020304050607080

Google Bing Yahoo Baidu Ask Other

Social Media Advertising

Online Advertising Options

Search Engine UsageJune 2016

Facebook89%

YouTube36%

Twitter39%

LinkedIn21%

Other18%

Where Marketers are Spendingon Social Media Ads

How It Works – Costs and Budgeting

Pay Per Click• Cost per click (CPC)

• You pay each time your ad is clicked

• Many people see your ad without clicking on it – they may visit your site on their own

• Known cost per click (it’s an auction)

• Set a budget for the campaign, for each day, etc. You won’t go over that budget, but you may not reach it either.

• Use Cost Per Click if: – You want to accurately track the

number of clicks your ad gets

– You are a disciplined advertiser who sticks to your budget and doesn’t get into bidding wars

Pay Per Impression• Cost per impression (CPI or CPM)

• You pay each time your ad is displayed on a web page

• Pricing is generally established per 1,000 impressions

• You know exactly how many times your ad will appear for your budget. But you don’t know how many people will click through.

• Use Cost Per Impression if:– You can realistically expect a high

click-through rate on your ad

– You are executing a launch for a new product or service

– You are trying to build brand recognition

How It Works – Ad Targeting

Google / Search Engines• Keyword Targeting – Choose words or

phrases relevant to your products and services. Ads will be displayed to people who are searching for those terms.

• Location Targeting – Choose the region or cities/towns where your prospects are located.

• Device Targeting – show ads based on device type.

• Retargeting/Remarketing - Display ads to people who have already shown interest in your business or products by visiting your web site or a specific web page.

• NEW Customer Match – display ads to people based on their e-mail address.

Facebook / Social Media• All of the above PLUS

• Age and Gender

• Interests – based on things people share, apps they use, pages they like, etc. (cars, home improvement, investing, etc.)

• Behaviors – based on purchase behaviors or intents, travel preferences, device usage. Useful financial info here! Some data provided by Acxiom.

• Education – education levels, specific schools, fields of study, etc.

• Connections – show ads to people who have or don’t have a connection with you or to friends of people with a connection to you.

• Custom Audiences – target account holders by e-mail address or phone number

How It Works – Ad Types

• Search Ads– Text based ads that appear with search results

• Display Ads– Graphical ads that appear on other sites within each search network (ie –

these won’t appear with search results on Google, but will appear on YouTube, Gmail, and other sites)

• Boosted Social Media Posts– Surprise! Only a fraction of social media users will see your posts. To get your

posts/tweets delivered to more of them, you’ll need to pay for it. Inexpensive and could be well worth the cost for some posts.

Why Digital Signage?

Posters• Little Upfront Cost

– Frames

• Higher Ongoing Costs– Design– Printing– Shipping– Coordinating with Branches

• Static Content– One Message Per Poster

Digital Signage• Higher Upfront Cost

– TVs– Media Players

• Lower Ongoing Costs– Design– Service Subscription– Centralized Management &

Scheduling

• Dynamic Content– Multiple Messages Per Unit– Animation Attracts Attention

Easy as Plug and Play

• Digital Signage has evolved. – Turn any TV into a digital sign in minutes, just need an HDMI

port and WiFi

– Create and manage content online

– Low cost

– No servers or software to manage

Statement Onserts

• Graphical ads directly on your statements and e-statements

• No printing or shipping costs

• Selectively include for different groups of account holders

– Target by geography, age, account relationships, balances, etc.

• Display in full color on e-statements

• Onserts can be included at just about any size and position

Marketing on E-Statements

• Including marketing on your e-statements is even more important than your paper statements.

– Online members are less likely to come in to your branches

– As you convert more members to e-statements, statement inserts become less effective (and you thought that was impossible…)

– E-Statement marketing can include links that enable people to take action. A huge advantage over traditional statement marketing.

Inserts Delivered with E-Statements

• Banner Ads– Link to web pages or PDFs

– Appear for all account holders or selectively

– NEW FEATURE

• Each banner ad is flagged until the user clicks on it

E-Mail Notification

• Custom E-Statement E-Mail Notification

Newsletters are on the Decline

• Newsletters were a staple of your marketing efforts. So why abandon them?– Increased E-Statement Adoption– Cost– Time

• Biggest Newsletter Benefit: Content Generation– That is the time consuming part

• Suggestion: Re-Use and Re-Purpose that Content– E-Mail Newsletters (shorter, more frequent)– Social Media Posts (I’ll bet we can find a bunch in your last

newsletter)– Web Banner Ads, Digital Signage Ads, Statement Onserts

Bundle for Savings. Like Flo!

• What could you bundle?– Here’s an example:

• You design a poster.• That same design, can easily be converted into:

– A web site banner ad– A billboard– A statement onsert– A social media post– A newspaper ad

• Much less expensive than designing them individually – and your message gets spread across multiple channels

“Give Me the Usual.”

• You may have a standing order at your favorite bar or restaurant

• Marketing campaigns can be similar

• Consider pre-determining the components of “Major” and “Minor” marketing campaigns or “Existing Member/Customer” and “New Member/Customer” campaigns.

• Your team and vendors will know what’s expected up front. And the time/cost will be lower.

• Yes, you’re bundling again!

Thank You

What questions can I answer for you?

Sid HaasVice President of Business Development

(815) 220-3904sid.haas@lk-cs.com