What is your bank’s brand? It’s the color palette you use in your logo design; it’s the voice and tone you use in your communication; and it’s the visual identity you present when a customer walks through your door.
Studies show that 55% of a brand’s first impression is visual, meaning that the choices you make surrounding branding should be deliberate, purposeful, and aligned with your goals. We know that customer experience impacts a financial institution’s bottom line now more than ever. We also know that branding can, and should, be a differentiating factor between you and your competitors.
Is it time for your bank’s branding to get a refresh? Here are five essential steps to take to effectively revitalize your brand.
what is bank branding?
The Branding Journal defines branding as “the process of giving a meaning to a specific organization, company, products or services by creating and shaping a brand in consumers’ minds. It is a strategy designed by organizations to help people to quickly identify and experience their brand, and give them a reason to choose their products over the competition’s, by clarifying what this particular brand is and is not.”
Simply put, bank branding is defining who you are as a financial institution, which conceptually should include your values, mission, and traits. When done successfully, you will have created a unique identity for your bank or credit union that customers and members can easily identify, and identify with.
A Bank’s brand package in action can include a number of deliverables – logos, color palettes, slogans, and overall messaging. Using these tools, you present yourself to the market and set your brand apart from your competitors. Good bank branding makes a FI memorable and trustworthy in the eyes of its customers.
the value and impact of strong bank branding
When done effectively, bank branding will make a significant impact on how customers, competitors, employees, and the industry as a whole views your financial institution. When you build a strong brand reputation, you help to foster:
- Trust and credibility: A strong brand helps establish trust and credibility with customers, which is crucial in the financial sector. It reassures customers and members that their money is safe and that the bank is reliable.
- Customer loyalty: Consistent and positive branding fosters customer loyalty. When customers have a positive perception of a bank’s brand, they are more likely to stay with the bank and use its services repeatedly.
- Competitive edge: Your bank’s branding is the easiest way to differentiate yourself from competitors in the financial sector. By identifying and promoting what you uniquely offer prospective customers or members, you can more effectively set yourself apart from other financial institutions.
- Increased value: Studies from the Harvard Business Review found that organizations with well-defined branding can expect 10-20% revenue growth. And as we know, effective branding builds connection with your customer base, helping to solidify loyalty and attract new customers, effectively increasing brand and business value.
strategies for building a strong bank brand
It’s one thing to recognize that your bank or credit union needs a brand refresh. It’s an entirely different beast to update, revitalize, or rebrand your financial institution entirely.
Thankfully, there are a handful of strategies that can help this process go smoothly and move the needle in the right direction when it comes to your bank’s brand.
- Define your identity: Clearly articulate your bank’s mission, vision, and values. Ensure that these elements align with your target market’s needs and preferences. This work also includes developing a consistent visual style, including a logo, color palette, and typography. Once established, all bank branding materials from online platforms to physical branches, should reflect this identity.
- Develop an implementation strategy: Bank branding is not just about the design of the brand elements, it’s how they are put in place. Establish a consistent standard for how the brand is used consistently across the network to ensure both visual continuity between branches but also proper spacial effectiveness.
- Maintain an omnichannel experience: Make sure that you’re presenting a cohesive brand identity across all customer touchpoints. From your website and mobile app to the physical locations customers visit, your branding should be consistent across the board.
- Focus on customer experience: The customer experience is an essential element of your brand. The way they experience your brand – whether it’s at the ATM or via an app – will define your brand standing. When updating your bank’s brand, think of what you want to communicate via those interactions and use it as your guide.
- Leverage digital marketing and technology: Your brand’s digital presence is just as important as your physical one. More than 78% of Americans say they prefer the digital banking experience, so delivering your brand value and messaging via digital tools and technology should be an integral part of your bank branding plan.
5 tips for long-term success in bank branding
- Keep it consistent, whether it’s in-branch digital signage or online customer service.
- Monitor customer feedback and respond in a timely manner, so they know your brand is one they can rely on and trust.
- Invest in employee training, as they are your best brand ambassadors.
- Measure and analyze customer feedback to ensure you’re accurately monitoring your brand reputation and can make adjustments when necessary.
- Evolve with the times to keep your brand look, tone, and messaging relevant with your customer base.
measuring your bank branding efforts
After you’ve taken the steps to modernize your bank’s brand, the next phase is measuring the effectiveness of those efforts. Gauging brand reputation, brand trust, brand loyalty and other factors can be nuanced, but here are some approachable tactics that will give you a holistic picture of your brand health.
- Use surveys and market research to determine how well your audience recognizes your brand.
- Use feedback and reviews to gauge how customers view your brand and their level of trust and satisfaction.
- Analyze changes in your market share to determine if your branding efforts are translating into increased business.
- Monitor engagement on digital platforms, including social media interactions, website traffic, and email open rates, to assess how effectively your branding is resonating with your audience.
- Evaluate changes in key financial metrics, such as retention rates, to measure the impact of your branding on your overall performance.
Let Element help you take a strategic approach to your bank’s brand identity. Contact us today for more insights or assistance as you get ready to stand out in an ever-crowded financial marketplace.
