An explosion of new consumer finance brands and shifting attitudes towards saving money reveals new trends in the sector.
28% of 25-34s are now more aware of personal finance than they used to be, followed by 27% of 15-24s. Moving onto their TV and online video consumption, 10% of 15-24s and 14% of 25-34s watch finance/business-related shows. (Source: TGI UK 2021)
So how can finance brands engage and monetise their audiences with emerging trends?
1. Millennials are in their prime spending years
Millennials will inherit the largest amount of personal wealth of any generation but they are also the most saving-savvy. The key to attracting their attention is to create a user-first engagement experience combined with tailormade services for their personal banking needs.
Occasionally, it isn’t the best tool available, but the channels used to market the product effectively which reap the most success. Companies that are making it easier to create a budget, invest, and buy stocks, as well as to get loans and credit cards for new joiners, are capitalising their efforts far more quickly. By helping this personable generation with its spending, financial business become familiar and trusted in ways that create compelling opportunities for business growth.
2. Insurance becomes personal
With more awareness of the impact that economic distress has on people, insurance companies have redefined how they do business almost overnight to provide stability, comfort, and peace of mind for their customers more extensively than ever.
The most successful insurance products are proving to be those tailored to the specific needs of the economic condition of the customer, and that the financial hyper-personalisation will continue to define the customer journey.
3. Embedded innovation is the new status quo
From financial services institutions to vendors, regulators, and supervisors, 2021 is likely to be a year of deliberate cultural transformation to find new ways of working together to create safer, cheaper, more inclusive, and more equitable financial markets.
The financial services industry has radically transformed to help their customers through the global changes, but to keep up to that speed the institutions in the sector require a culture of innovation that must be embedded into the corporate culture.
4. Only humans after all
People and culture drive the change in a company, and so does the way an institution helps its clients. HSBC recognised its business users would benefit from guided answers with interactive tools to common questions around risk policy.
Following similar steps, the companies that deploy interactive tools to help their clients are winning the race for new business and assuming a soft spot in people’s recognition of their brand value which farther down the line makes the difference in client retention.
Source: Google Cloud