Market research is an extremely valuable tool that provides many benefits to a variety of organizations. This type of research allows a company to further understand and determine the potential success of a product or service by connecting directly with both current and prospective customers. Market research for financial marketing specifically, is a driving factor in the overall success of a monetary-focused integrated marketing strategy. Here is a quick guide detailing some essential steps your financial business can follow in order to begin conducting useful market research:
Determine exactly who your target audience is in greater detail.
Research demographics that allow you to recognize both the opportunities and threats when gaining new customers. This includes data such as age, household income, education, employment, interests, financial habits, or anything else relevant to your business.
Gain a better overall understanding of your industry and the current market trends.
There are multiple resources available to analyze this type of general data that can be a great starting point when determining any recent demands for products and services, and how many competitors offering similar options are available to your customers, such as investment services, first-time home buying focused financing, and credit card rewards.
Determine which method(s) to consider based on your initial research, goals and objectives.
- Competitive Analysis: This includes analyzing the strengths and weaknesses for both your company and its corporate competitors, as well as both the potential opportunities for you when introducing a new product or service, and any roadblocks or threats you may face when entering the market. It is also important to determine the general importance of your target audience to your competitors and how their audiences may differ and why.
- Customer Surveys / Questionnaires: This includes directly asking current customers for their honest feedback. These can be formatted in a variety of ways – whether it’s a satisfaction scale survey after an email or phone call, or a more in-depth questionnaire in hopes of gaining written responses that will offer further insight into the consumer’s thoughts and feelings. It is also important to remember that sending out surveys on a timely, strategic basis may help determine if any customer’s feelings and/or their demand towards a specific financial service has changed over time based on their experiences.
- Focus Groups: This includes face-to-face interaction with a small group of people that have been strategically selected for participation based on demographics and/or other applicable consumer data. This technique then allows the company to gain high-quality insights and customer feedback. This research technique then allows you to leverage those opinions, interpretations, perceptions, etc. about your bank, credit union, or other financial institution’s reputation and offerings into improved sales, marketing, and operational strategies.
Market research is an important marketing function for financial institutions to implement in order to acquire new ideas and perspectives from consumer feedback that further explains why target audiences make certain decisions, what their needs and interests are, as well as the overall buying trends within the finance and banking industry.
If you would like help with marketing for your financial institution, feel free to contact us. We offer a variety of services like social media marketing, digital marketing & analytics, marketing & brand strategy, and more to small and large companies.