Change Your Mindset #11: Don’t assume that you know your customers - Collect and Analyze Data Regularly

The amount of information made available to consumers in the past 30 years is greater than in the last 5,000 years. Why is this even relevant to marketers you ask? The economy is changing, market dynamics are changing, customer issues, financial needs and preferences are also changing – constantly. Therefore, please do not assume that you know your customers now because you perhaps did a survey last year, pulled a demographic report recently, etc.

I would like to offer you a couple of suggestions for how to really know your customers on a regular basis.

Tip #1: Commit to Systemized Customer Feedback Mechanism

You could maintain a web based survey tool enabling customers to give you regular feedback on key issues you identify. You can also still send a survey in your customer statements. Pick one or two key issues which you would like feedback on and change the issue once each quarter. By committing to a regular customer feedback process you send the message that their opinion and suggestions count and that you take action on this feedback

Tip #2: Analyze Demographic Information on your Markets Each Year

Many markets across the country have experienced dramatic demographic and/or economic shifts in recent years, which are often times never acknowledged by bank marketers and management teams; this can lead to a major disconnect in marketing when the assumed customer base is different from the actual customer base. Compare the profile of your customers with the demographic composition of the market to identify possible gaps. Remember: Ask not how your customers and markets are the same, but how are they different?”

Competitive pressures are on the rise in financial services, and it’s never been more important to know exactly who your customers are. It’s important because it creates an avenue where your most profitable customers can be distinguished from those that are not; it allows you to determine the segment(s) that are responsive to your messages and your marketing efforts; and it can bring clarity and focus to the direction of your future marketing efforts.

Food for thought