Thursday, January 31, 2019
Today’s consumers admit to knowing very little about managing finances. But they want to learn. Even better, they want to learn from you. J.D. Power reports 78% of US retail banking customers would prefer to receive financial advice or guidance from their bank or credit union.
80% of account holders expect their financial institution to provide them with materials that will help them make more informed financial decisions (Segmint). Subjects they would prefer to see covered include:
Despite the desire for connection with their financial institution, 28% report receiving financial advice. Nearly three-quarters (72%) feel their institution does not provide them with the information they need to meet their financial goals.
But your institution has a wide range of account holders in a multitude of income brackets and life stages. Where would you begin?
First, never assume that higher income or age equates to financial security. You achieve security by protecting your earnings through smart financial decisions. Forty-one million American seniors are currently at risk of economic hardship. Over 9% of families with six-figure incomes are still living paycheck-to-paycheck. Over half (59%) of those with six-figure salaries report carrying consumer debt (CareerBuilder). Moreover, 25% of households on track to financial security earn $50k or less (The American Council of Life Insurers).
A good start is to open the door to financial questions by creating opportunity. Here are a few ideas to get the conversation started:
The good news is there is little risk of providing too much information. Only 11% of account holders think they receive too many communications from their financial institution. Account holders who receive advice from their institutions have a 91% higher level of trust. They are also far more likely to use their institution for another product or service and spread positive sentiment to their peers.
So what is holding you back? Start building your communications plan now!
Rebecca Hellmann has been researching and writing in the payments technology industry for over six years. Prior to the payments industry, Rebecca developed marketing, branding, and content for businesses such as Bil-Jac, Benjamin Franklin Plumbing, and Homestead Furniture. She currently works as Director of Marketing for FCTI, Inc.