Simple Steps for Commercial Banks to Bring in New Customers
Commercial banks have a crucial economic role by providing financial services to small and large businesses. Banks who offer commercial services must consistently implement effective strategies to attract and retain customers for sustained success. Here, we discuss some simple steps these banks can take to achieve this and grow their customer base.
Designate Expert Teams
One effective way for commercial banks to attract new customers is by designating expert teams to handle customer acquisition. These teams should be comprised of experienced bankers who have a deep understanding of the bank’s products and services as well as the needs and preferences of potential customers. Utilizing a lead generation team or software solution allows business development professionals to establish and develop strong executive-level relationships efficiently and systematically – by leveraging data integration and analytics.
Expert teams can help commercial banks identify and target specific customer segments most likely interested in their offerings. For example, a team could focus on attracting small business owners by developing tailored financial products and services that meet their unique needs in treasury management or payroll.
In identifying potential customers, expert teams can play a crucial role in engaging with them and building relationships. Banks can achieve this through personalized communication and marketing efforts that highlight the benefits of the bank's products and services.
Interact With Customers on Their Preferred Platforms
In today's digital age, commercial banks must interact with customers on their preferred platforms. This can include social media, messaging apps, and other digital channels. According to Rivel’s 2023 Banking Benchmarks, 35% of small businesses and financial decision makers would leave their Big Bank for a smaller bank or credit union due to customer services issues – the top reason.
When banks meet customers where they are at, they can build stronger relationships and improve customer satisfaction. This can help keep current customers by improving their satisfaction with the bank.
Commercial banks should develop a solid social media presence and engage with their followers to effectively interact with current and potential customers. This can include sharing relevant content, responding to comments and messages, and participating in online discussions. More importantly, it builds brand awareness among this key segment.
In addition to social media, commercial banks should also consider using messaging apps to communicate with customers. These apps provide a convenient and personal way for customers to interact with the bank and access products and services without having to come into a branch.
Easily finding information and completing transactions online can save banks money. Ease and accessibility reduce the need for customers to call in and speak with a live representative or meeting in-person.
Delivering Self-Service Through User-Friendly Tools
In today's fast-paced world, commercial customers crave convenience and control over their finances. That's where providing a user-friendly self-service platform shines. By offering online banking, mobile apps, and other digital channels, you empower customers to access accounts, transact seamlessly, and manage their finances anytime, anywhere.
This self-service approach improves customer satisfaction in two key ways:
- Enhanced convenience: Busy professionals, especially those frequently on the go, value the ability to bank on their terms. Offering 24/7 access reduces reliance on in-person interactions, attracting customers who prioritize flexibility and efficiency.
- Reduced operational costs: Streamlining processes through self-service frees up resources for personalized support and complex inquiries, allowing you to serve more customers efficiently.
But simply offering digital tools isn't enough. The key lies in intuitiveness and ease of use. A few suggestions:
- Invest in user-centered design to ensure a smooth and intuitive user experience across all platforms.
- Prioritize essential functions like account inquiries, transfers, and bill payments, making them easily accessible within a few clicks or taps.
- Consider offering advanced features like financial planning tools and investment advice, adding value and fostering deeper customer relationships. Remember, convenience empowers, but building trust with valuable tools fosters loyalty.
By implementing these strategies, you can create a self-service ecosystem that attracts new customers seeking convenience and empowers existing ones to manage their finances effectively. This ultimately strengthens your competitive edge and builds long-lasting customer relationships.
Set Up Centers of Excellence
75% of commercial customers, via Rivel’s own 2023 research, prefer to use one bank. Commercial banks should consider setting up centers of excellence to attract new customers for all their accounts. These are specialized teams or departments within the bank that focus on a particular area of expertise. For example, a center of excellence could provide exceptional customer service or develop innovative financial products.
By establishing these centers, banks demonstrate their commitment to providing their customers high-quality services and new products. This helps foster trust and credibility with potential customers looking for a bank that takes their needs seriously.
Centers of excellence can also help banks stay ahead of the competition by fostering a culture of continuous improvement. By bringing together experts in a particular field, banks can encourage collaboration and knowledge-sharing, leading to the development of new ideas and solutions.
Understanding Compliance Data Needs for Commercial Banks
Attracting and retaining commercial customers hinges on trust, which demands rigorous compliance with regulations and laws. This encompasses safeguarding customer data and conducting transactions transparently and ethically. In fact, 83% of commercial customers prioritize data security as the bedrock of their banking experience.
To achieve this, commercial banks must identify the information necessary for enforcing compliance. This might include customer identification documents, transaction records, and other pertinent data. Additionally, robust compliance monitoring systems are vital for detecting potential breaches. Regular audits and reviews of internal processes and procedures are crucial in this regard.
Demonstrating unwavering commitment to compliance fosters trust with prospective customers seeking a responsible bank. This, in turn, translates to not only building valuable customer relationships but also avoiding costly fines and reputational damage.
Standing Out in the Crowd with Your Brand
Today's commercial banking landscape demands differentiation. By implementing the strategies outlined in this article, banks can craft a distinct brand experience that resonates with potential customers. This includes designating specialized teams, engaging across preferred platforms, and establishing centers of excellence for targeted expertise.
However, true customer attraction goes beyond initial engagement. Delivering high-quality products and services is paramount, alongside a unwavering commitment to compliance and innovation. These factors, combined with a unique brand experience, solidify your bank's position as a trustworthy and forward-thinking partner, ultimately attracting and retaining valuable customers.
References
- https://www.forbes.com/sites/baininsights/2016/11/07/five-ways-commercial-banks-can-make-it-easier-to-bring-new-clients-aboard/?sh=3e6c897030f0
- https://silverlinecrm.com/blog/financial-services/banking/how-to-attract-and-retain-banking-customers-in-a-b2c-world/