Three tips for better checking account marketing

The fundamental banking account for consumers is the checking account. When you ask an individual where he or she banks, the name of the bank or credit union you hear is the one where the person has a primary checking account.

So it’s logical that you want to gain new checking customers or encourage current non-checking customers to open a checking account.

It seems like the lack of advertising during the financial crisis caused a loss of knowledge of how to promote checking accounts. Here are three important points to remember and to make part of your marketing strategy.

1. If it’s free, say so

Some compliance officers have become so overly cautious they don’t want marketing staffs to use the word “free” as part of an account name. Yet “free” is one of the most powerful words in a marketer’s repertoire.

“Free” is even more important today because the big banks eliminated free checking accounts and many regional and community banks added fees to follow the pattern.

Thankfully, some marketers see the advantage of “free.” Recently, I talked with clients in different parts of the country about their campaigns and all stressed the emphasis on free checking. There’s consumer dissatisfaction in their markets after competitors added fees to checking accounts. “Free” has again become a major advantage to financial services marketers.

2. Focus your promotion

Pick your two or three best checking accounts and feature them in your promotions. Why? Because too many choices lead to inaction, and that’s not the result you want from your prospects.

Lead with your free checking account, or whatever you have that will attract the most attention. Remember, the free account gets noticed even though many new customers eventually select another of your accounts. But that choice comes later in the “buying” process. Don’t confuse people at the start.

At the opposite end of the spectrum, some promotions I see have no featured accounts. The message seems to be, “We have checking accounts, but you figure out what they are.” Obviously, not a good approach.

Give prospects reasons to consider your checking accounts. You won’t win their attention with branding ideas or by hyping your customer service.

Focus also means you avoid mixing your message. Don add a loan promotion to a checking acquisition campaign. One promotion. One product.

3. Include an offer

Yes, you have great checking accounts. Even better, you have free checking. But that alone isn’t enough to spur most people into action. After all, it’s a hassle to close an old account and move it. Give them a reason.

That’s where the offer comes in. To define the offer—it’s a premium, cash, gift card, or some other advantage that’s a difference maker. I know, some executives don’t like to give away “stuff.” How crude and low-class. How expensive.

Then save your money and avoid the teasing from your golfing buddies, but expect to open far fewer new accounts than you should. Concede all those new customers to your competition.

When the big regional banks offer incentives, as they do, then you know The Offer works.

Now, look over your current promotions and see if your financial institution can benefit from these three important points.

This content is accurate at the time of publication and may not have been updated.