We have spent a lot of time this year talking with clients and other friends about how trust is central to fintech success and long-term relationships. Many have said that fintech marketing agencies like ourselves must make consumers understand that financial disruptors will have to observe the same regulations as legacy players. The logic is that consumers will then trust fintechs and their hard-earned cash will follow.
Yes, trust is essential but it looks like consumers may not want long-term relationships any more.
Hot in the city
People got angry about financial institutions that misrepresented themselves for decades. They couldn’t reconcile how the skyscrapers that commanded city skylines and the branches that had been stalwarts of every high street for generations were such a shocking facade. It wasn’t just a breakdown of trust; it was the realisation that we’d been in an abusive relationship for many, many years.
Anger erupted on the street. People wanted change. It wasn’t just about people not being able to trust banks with their money, it was anger about money itself. It was emotional. It’s a story that even inspired an alternative economy innovation offered by one of our clients.
I feel love
It was no surprise that a core of consumers responded to the call of new banks. They gleefully stuck two fingers up at the legacy banks and formed an excitable queue at the doors of Monzo, Starling, Revolut and others. Yes, they offer great UX and a different proposition – but they represented something more. It’s a vote for change. It’s a desire for a new type of relationship; one in which people not only place their trust but genuinely feel great about.
Yesterday, I was talking to a video producer I’ve worked with many times. I told him that we are working on a series of videos for client that is very closely involved with many of the new banks. He said he was a customer of one, so I asked what he thought of it.
He didn’t say ‘I trust it’. He said ‘I love it.’ He explained that he used his ‘challenger bank’ account for business as it made it ‘so very easy’ for his team to pay for stuff they need when on assignments abroad. Yes folks, he loves it.
Suddenly, life is less complicated. Our new relationship is a beautiful thing and satisfies our needs so much better than our previous partner. It’s quick and easy because there are fewer strings attached. It’s all about us and how we want to live our lives. You can see how it might feel like love.
Too good at goodbyes
Since 1st January 2016 alone, 13 banking licence applications have been submitted to the regulator and these new player may soon also be vying for our affections so consumers may be spoilt for choice. According to PwC, 54% of consumers are happy to source banking products from multiple providers to get the best deal on each one. If it’s all about costs, monogamous relationships aren’t going to work.
Love me Tinder
So it looks like fintechs should be ready for the endorphins to begin wearing off. Consumers will realise that they are surrounded by other sassy, attractive financial services opportunities. The idea of swiping right on an app for short-term fintech fun might not be too far away.
Bring back that lovin’ feeling – with a little Fintech marketing
Most fintechs won’t want one night stands. They’ll want to grow by developing and cross-selling other products to improve retention and lifetime value of their clients. So if those players want to remain independent and become successful, new banks, Insurtechs and others must work hard to attract the right customers, grow their affections and build mutually satisfying long-term relationships.
This is where fintech marketing can help. The amazing thing for us in recent years has been in discovering how many fintechs have forgotten the decisions they’ve made or the attributes of their business that make them special. A fintech marketing agency can help elevate fintechs above their sexy UX and economic benefits and let customers gaze adoringly into their very soul. Yes, it could even be true love.