Ultimate Guide To Do Right Email Marketing For Financial Services

Email remains one of the most viable and future-proof when it comes to financial marketing, regardless if you are in financial services, a bank, or working for a credit union.

To get the results, you are required to execute in the right way based on segmentation, personalization, and a clear understanding of the customer journey. 

Email marketing seems to be time-consuming, but it can help in building the relationship and crafting a much more beneficial result.

To start with this, here is an ultimate guide to knowing how to start email marketing in the right way for financial services.  


What Does Email Marketing Means In Financial Services?

The straightforward definition of email marketing and what it means in financial services, it’s a use of an email channel for promoting services and products related to financial services.

This might be a little simple because in industries like finance, if they invest even a tad more in their email marketing, they would see a dramatic increase in their open, click, and conversations. 

There are some basic things that are common when it comes to financial services like credit card companies, insurance, banking, stock, and investment product. They all are built on the basis of trust and relationship/ 

Email marketing helps to create and develop relationships and build trust with clients and potential customers. 

Nurturing them with the help of using interesting content, informing and updating them regarding the products as well advance.

Warm email subscribers for financial services via marketing and communication. 

Why Do You Need Email Marketing? 

People depend on email more than ever; social media sites might come and go. However, there are more than a billion people who are using email addresses. 

Also, it is used on a daily basis, with open rates of more than 21.2%. You can reach more people as compared to any other medium. 

Email marketing is all based on how you’re building the relationship with customers; it’s not just about marketing services but showing appreciation and offering tips for keeping them right on track for getting financial success. 

Here is what can help you : 

Acquiring The Leads For Email 

Although it’s highly effective, it can be tricky when it comes to acquiring subscribers for the email list. 

You can scan in order to find unethical practices in order to avoid tarnishing the reputation and poor leads. 

There are different  approaches that can help you in creating a subscription list to acquire quality leads; here is what to add : 

  • Blogs
  • A personal website
  • Promotions
  • Referrals
  • Free tutorials 

Allow The Leads To Opt-In 

Whatever you are using to get your audience interested, make sure to add an opt-in list and offer something when they share their address. 

Prospects are required to believe that they will get something in return for their information. 

However, when you are a financial advisor, you can offer the following: 

  • Enroll leads to a raffle with a prize that’s catchy
  • Provide the perspective which should be unique to financial management
  • Writing and offering the white paper 
  • Sending the promotion in return for signing them up
  • Offering the materials to help them educate

Onboarding Prospects 

Once your audience is subscribed, you can send them a welcome series which is an ideal way to generate their interest. 

Capitalizing on the interest from the lead magnets, you can start here to craft a healthy and respectful relationship/ 

There are around 50% of welcome emails get opened; because of this, sending welcome emails is 86% more effective as compared to the standard newsletter. 

Converting Your Subscribers Into The Customers 

Email marketing campaigns work like a website; this helps you in building credibility and trust. However, you need to be persistent in order to convert them into a customer. 

Also, if the campaign ends up being effective, those subscribers who are interested will get in contact in order to get more information. 

There are different types of campaigns that you can choose once you are done with the welcome series, such as : 

  • Use the financial advisor newsletter based on what your customer requires.
  • Occasionally offering prizes that require the customers to get in touch with you.
  • Pushing the articles, you publish in journals and blogs.

What To Know Before Using Email Marketing?

Well, it’s important that you are aware of a few things before you start the financial services email marketing legal compliance. 

People are serious when it comes to their data privacy, so you can’t be insensitive and ignore them, especially when it’s related to financial services. 

In Europe, GDPR and CAN-SPAM, and CCPA act in the US are laws for protecting consumers from messages from marketing that are misleading and authorize the use of private information. 

In a financial service provider, if you are not following the rules, you might end up losing credibility and clients. 

However, there are some basics that you should be following, it includes : 

Avoid Using Blanket Signup Forms 

Instead of this, make sure you have the checkbox dedicated to the purposes you want for collecting the emails. With this, your customer has the freedom of choosing what email they would like to opt-in to, if you don’t, then you can send only those emails which are related to transactional messages as it’s legally allowed. 

Have A Clear Unsubscribe Button 

When you are sending the email, you should add the subscribe button to the email so readers know how they can stop receiving emails from you.

It should be simple, clear, and easy without any extra steps or gimmicks. 

Include Information That Is Needed 

The email you send should have all legally needed information; this includes who has the access and data clients process if there is any third party or valid postal address. 

In your email footer, make sure you are adding all details and information. 

Use Company Domain Name 

Put the name of your company domain name in all settings; this helps in preventing someone else from posing as your company and sending misleading emails. 

Reasons Why Having Email Marketing Strategy Is Necessary For Financial Services

To understand what email marketing means and why it’s necessary that 

Financial services should have an email marketing strategy; here are some of the top reasons why you should have it 

It’s A Great Channel For Having Communication 

As the world is progressing with rapid changes when it comes to technology, the organization requires to develop a strategy for streamlining the outreach plan of the customers. 

There are several small and medium financial organizations that have not tapped into their unlimited potential. In reality, as compared to all forms you get in digital marketing, emails are the best. 

It gives your audience flexibility as they receive tailored made and alerts based on what holds their interests. 

Along with that, you can send them generic emails too, and share the general financial information. 

With this, you are improving your credibility, and you get a fantastic chance to connect with audiences who are showing interest in what you offer. 

It Creates Personal Touch With Right Audience 

There is no doubt that people prefer to have personalization; there are studies that have shown that the extent of personalization will have better open rates. 

As for the financial organization, you can imperatively stay in touch with the customer. 

By using the right email marketing software, you enhance the level of personalization significantly to improve the chances of gaining the trust of your audience. 

It Helps to keep Communication Consistent. 

Many financial organizations have said that in order to be successful, you need consistent communication. 

This helps you in improving : 

  • The customer satisfaction 
  • Enhancing the customer relationship
  • Increasing the engagement 

Your customers are not going to learn things on their own until you tell them. 

So having a consistent email can help in making sure your customers are informed regarding the services. 

It Helps You In Customer To Access Information 

For financial email marketing, it’s clear to deliver the information which is related to finance in their inboxes through emails.

This helps your customers in staying updated with information; here, they don’t have to visit the beach. 

Also, you can use it for : 

  • Delivering the important documents
  • Sending the updates
  • Verifying the transaction ID 

It Enhances The Financial Security 

This also helps you in providing the security of the customer’s finances which is considered the main concern for the finances and services.

If there is a leak of information which is personal finance, the customer might end up losing trust in the financial service. 

When you are using emails, you can provide two-factor authentication and boost the data to keep it protected and improve trust. 

Benefits Of Using Email Marketing That You Can Get In Financial Services 

According to results done by Consultancy, they reported there are almost three quarters, or 73% of companies rate email marketing as excellent and good when it’s related to return on inventing. 

The DMA shows that there is a 4200% ROI on average, which is amazing. 

benefit of email marketing in financial services

When you are following a well-executed email marketing strategy, there is numerous benefit that you get from it, well it includes : 

Get More Customer With Lower Acquisition Costs 

Since the potential lifetime value of acquiring new customers is so high, most of financial brands end up investing more money in paid media, hoping to fill the sales funnel. 

Yet the research done by Digital Growth Institute, there is 87% of brands don’t have any solid leads-generated strategy that is powered by marketing automation. 

With the help of email opt-in, it can help in attracting new customers and also lower customer acquisition costs. 

Here is what you should know : 

  • It helps in increasing the effects of paid media, as this one offers sign-ups for newsletters and docklands that are related to campaign landing pages.
  • Improving the impact of content marketing helps in converting more visitors into leads.
  • Bringing contact back to the site via using email and setting cookies to give opportunities for retargeting campaigns. 

Help In Getting Wallet’s Bigger Share 

Most of the financial institutes are well aware when it comes to unbundling trends, it’s not that unusual as customers get financial services from one provider. 

Starting with PayPal, airlines started to offer branded credit cards, car financing, lease, and other insurance options for bigger purchases. 

Follow The Lead And Marketing Automation Nurturing 

The next benefit you get in using email marketing is that email opt-in helps open a new door for developing the customer relationship. 

Here you get the lifeline, especially for identifying the customers on different channels and multiple devices. 

While having an opt-in allows you to stay in touch, it also helps you in nurturing much better in campaigns. 

Increasing Sales And Conversion 

The help of direct communication with the customer helps in increasing revenue. So no matter how the customer journey seems, the audience will stay engaged. 

By sending the newsletter, trigger, and promotional emails on a fixed time, helps in impacting on the sales conversion. 

Improving Loyalty And Retention 

When it comes to financial service success, marketing is one of the biggest parts that they end up missing. 

However, with the right email marketing, you can increase the focus on the customers who are connected with your company. 

Well, when the world is super connected,  you require to invest more in making sure your customer remains engaged,

Email marketing allows you to build that level of relationship and make sure you are providing the customer experience value even if they are using the services passively. 

And your obvious choice here is to use the triggers, so they reconsider your services. 

Reducing Cost By Offering Proactive Customer Service 

While you are, service cost is not something you consider the first thing in a world where self-service is highly preferred according to most middle and younger aged. 

Email can be the ideal channel for providing proactive customer service; with this, you can lower the cost of other channels like call centers or face-to-face advice. 

You can guide the customer via a welcome or onboarding program to start their new services. 

Improving Your Customer Experience 

While having a great product or service is important for the success of a brand, financial services expect to offer a customer experience that should be first-class as well. 

Not just people expect that their customer experience should be personal but also frictionless and helpful. 

Instead of seeing the whole thing as a transaction,  you should put it as customer experience as post-sales. 

If you are providing a top-notch customer experience, the chances are high that they will come back. 

Also, using email marketing helps you in offering that level of customer experience; you can do this by offering : 

  • Personalization of the marketing and service. 
  • Giving choices to customers and catering to their preferences.
  • Providing the proactive service
  • Be much more accessible. 

What Features To Look At When You Are Choosing Email Marketing Software?

To choose the ideal email marketing software for financial services, it’s important that you know what is best and what must-haves. 

Here are what  features your business needs to have in its email marketing software: 

Initiative Drag And Drop Email Builder 

You need to have the drag-and-drop email builder and software interface to make it much more simple to create responsive email newsletters and transactional emails. 

The emails require looking right along with the correct branding. You can create a template that must be built to render and display much more properly.

Detailed Reporting And Statistics 

Next, you need to look for detailed reporting as well as email statistics for analyzing the effectiveness of your email, which also helps in making the email improve.

Structured The Subscribers Administration 

This is important as it allows you to manage the contacts list much more easily; you can also consider the commercial opt-ins and add the profile information to the back-office systems.

Advance Segmentation And Personalization 

Another important feature to look at is advanced segmentation and personalization; you can select your target audience segmentation and send the message, which is much more personalized depending on your subscribers, leads, and emails. 

Industry Knowledge And References 

When you are looking for the software, make sure you have the industry knowledge and reference in the face of marketing automation. 

When you have references and other clients in the finance industry, this can help in improving the shares.

needs to find in email marketing software for finance

Best Strategies And Practices In Email Marketing For Financial Service 

There are different email marketing strategies and practices that you can use to boost your chances. 

Here is what you can consider using: 

Onboarding Those Who Are New 

Just like the saying goes, you need to make the first impression and boost the connection. 

Sending an onboarding email that should be crafted well can help in perfect opportunities for making the best impression. 

As marketing strategies, you need to start with onboarding email, if you miss the chance, then there are chances of having lesser engagement rates with the next emails. 

Welcoming The New Customers 

This is the email that you are sending to customers after the initial interaction with the business. 

Through the welcome email, you can introduce and explain what financial service is offering and how the customers are getting benefit from it. 

You can also use it to create the perfect opportunity for saying thank you to the customers and choosing banking or financial service. 

Educating The New Clients 

One unique thing you need in the financial industry for new clients who are not acquainted with several terms or how the industry actually works. 

If you are offering a financial service provider, here, you might share notes with many customers as they don’t know what financial services and tax benefits are. 

Smart financial investing is not what everyone gets to learn from their university. 

But on the flip side, this can be a blessing in disguise. Suppose it’s a fantastic opportunity for educating the customers. Make them aware of what your financial service is offering. 

Send Updates And Notification 

You might not know about the notification email generator, which improves the higher open rate. 

Sending the notification email can be one of the practices that can help you in email marketing for financial services. 

Make It Easier To Accessing Service 

There used to be a time when people had to wait in a log guide just to access their bank statements. 

With the help of financial email marketing can help in notifying customers and acknowledging their concerns regarding the financial and bank statement. 

You could just add a one-click button for easy download. 

With this strategy, you can help in relieving the stress of the customers when it comes to going to the bank.

Send The Email Newsletter 

You can send the newsletter even though it’s the oldest strategy you can find in email marketing. However, it’s still used for a variety of businesses. 

This can help in getting the attention of your new customers; some of the examples you can consider to add in your email newsletter. 

  • Promotional emails
  • Discount emails 
  • Information emails for customers 
  • Specific offers 

Send an Email For Security Verification 

Internet theft and scams online related to finance are always high. They are imperative to ensure the safety of the customers. 

For this, you can consider using the email marketing opportunity to do that. Send email tips that can enhance security while they are doing online financial transactions. 

There are some financial companies that send OTP to register their email address. Not just it helps in enhancing security but helps in retaining the brand name in your customer’s mind. 

Consider Using it As an Announcement Email 

Since every year, more and more financial firms are coming up, the global finance industry turns into a rat race to launch features and stay ahead of the others. 

By sending emails announcing what new features you are introducing will give you the opportunity to extend the customers and retain them. 

Make Sure You Finalize The List 

The most important step that you should take is to take a close look at what list you have in subscribers. 

You are required to analyze the emails that you are using for sending from the company. 

Do make sure that you are keeping the goal in your mind, and this can help you in earning a better click-through. 

Think about what you want from all of these and keep your goal clear. 

When you focus on this, you can remove a lot of clutter and get on point. 

Don’t End Up Overloading The List 

It’s important that you are creating emails that are part of the financial marketing strategy, but also make sure you are not overloading the viewers. 

If you are thinking of sending emails as a reminder, you need to send the emails but fix the frequency. Also, it should be accepted by the readers. 

If you are sending a newsletter or need updates, then don’t overdo it. 

Create a Subject Line That Improves The Open Rate 

Once the reader sees that it’s your email, they take a few seconds to decide if they want to open it or delete it. 

This is a crucial second on which your whole campaign depends. So you must focus on improving the open rate. The answer is to create a compelling subject line. 

To create your subject line, you need to focus on : 

  • Keeping your subject line short
  • Create curiosity among your recipient 
  • Try the A/B testing to know which subject line is working for you
  • Try to list down around 20 – 25 subject line ideas before you pick one

Add The Punch Of Incentive To Your Subject Line 

Several marketers suggest that adding incentivizing to email can help you in boosting the open rate. 

You can create a subject line and add incentives that can grab the attention of your audience, increasing the open rates. 

Make Sure To Not Lose Touch 

One of the mistakes that you can make here is not keeping in touch with your customer.  If you have sent the email, maintain the frequency and make sure that you are on the mind of your readers. 

If you end up hitting the inbox of the right audience, but if you take too long to get in touch with them, it can end up wasting the opportunity. So make sure you are setting the right frequency and testing the CTR, open rates, etc. 

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