User drop-offs on website/app can be a major concern for fintech companies as it does not offer instant gratification like social media or a retail website/app.
A recent article by Forbes revealed that user churn could go up to 77% if the marketers fail to engage the users in the first two weeks. The author of the article suggests understanding the user’s journey and using tools such as marketing automation to decrease user drop-offs.
To delve more into this topic, we spoke to Anuj Ranka, Performance Marketing Head of EarlySalary, to share his expert knowledge and strategies.
Here's what you will learn, if you read this article:
So let's get started.
Consumers are becoming digitally savvy. They expect the same experience that they receive from retail apps or a cab-hailing app from a fintech app. Accenture’s study reveals that 61% of banking customers want access to more online interaction. They also want little to no human interaction in their day-to-day transactions. The only way to provide them this experience is by sending them the right information at the right time. You cannot possibly do it manually. That’s where marketing automation can come to your rescue.
You are probably already aware that marketing automation can help you to personalize your communication. But personalization is not just about starting your email with Hello [First Name]. It’s about personalizing the content at every stage of the funnel. Anuj tells us how EarlySalary uses marketing automation to personalize their content.
We asked Anuj how he built a marketing automation strategy for his company. Here are a few tips that he shared based on his experience
The customer journey of a fintech app will be different from that of a retail app. In EarlySalary, for example, the user has to upload his personal profile details, provide his bank details, and complete his KYC to get a loan. However, some users may drop-off at a certain stage. For instance, users may not be willing to upload their bank statements due to a lack of trust. As a marketer, you must identify stages where the user drop-offs are high and find out ways to nurture and reduce the drop-off rates.
To reduce drop-offs, you must think from a user’s perspective. EarlySalary creates various hypotheses to understand why users are unwilling to complete a particular step. They ask questions such as - is the step too difficult to complete, or is there a trust deficit? Depending upon the reasons, they find out channels they can use to solve the problem. For example, if it is a trust issue, they send testimonials to the users to increase credibility. If it is unwillingness to complete the profile, they talk about the end goal to excite the user. Once you identify the solution, you can create a marketing mix for that stage. Anuj recommends constant experimentation until you achieve synchronization at all the stages.
Once you implement your marketing automation strategy, measure the outcome to check if the drop-offs have reduced. Check if people are receiving the messages in the right way. Is it engaging enough? Is it compelling them to take action? Do it at each stage, and tweak your communication until the drop-offs reduce and the funnel becomes rich.
You can choose from an array of channels such as push notifications, SMS, and in-app messaging to engage with your customers. However, emails are the most effective medium of communication for fintech companies.
Marketers may be quick to dismiss emails as an old channel. But do you know, it can increase your ROI by 30x? In a field like fintech, where a consumer requires a lot of information before making a decision, email marketing can work wonders. It gives you more real estate to provide educational content and guidance to your users as compared to an SMS or a push.
But there’s a problem.
Your users may not be receiving your emails in their inbox due to poor email deliverability. And that could impact the overall purpose of your email marketing strategy.
Three factors affect email deliverability. Here are a few steps that you must follow to improve it.
Like most companies, EarlySalary’s email marketing campaigns were not being effective. Most of their emails were landing in the spam box. MoEngage started an email deliverability consulting practice and did an end-to-end email audit for EarlySalary. We checked 30-40 different things such as infrastructure, domain reputation, IP reputation, and if the domain or IP is listed in blacklists. We found 3-4 problem areas. Here’s how we solved it.
So, if you have been facing issues with your email deliverability, we recommend you to check parameters such as the content, domain authentication, etc. This will help you to create a more successful email marketing campaign.
Here are actionable resources we've curated for you!