Fred Bertino

Imagine waking up to an alert on your mobile device that Apple, one of the greatest and most powerful brands in the world, is entering the financial services industry. If you work at a bank or credit union, manage stocks, IRAs or money market funds, you should be frightened by that news. Apple is known as a disruptor of the status quo and for far too long, the financial services industry has been lagging behind the rest of corporate America when it comes to establishing, articulating and maintaining an effective brand.

The industry as a whole continues to struggle when it comes to winning the hearts and minds of consumers. The 2008 banking crisis has generated seismic changes in technology, regulation and demands of consumers. Yet very few financial service companies have found a way to harness the power of their brand that drives the customer experience and their loyalty. Before I get too critical, it’s important to note that building a differentiated brand on financial services isn’t easy.

There are several reasons for this: when it comes to money, it’s an emotional decision that has far greater importance than other consumer decisions; it’s more difficult to talk about; finances are often complicated and most consumers don’t take the time to truly understand the implications of their financial decisions; outcomes are unpredictable and past performance is no guarantee of future success.

So how can today’s financial services professionals help elevate their brand to appeal to today’s consumers?

Start with brand strategy. Smart marketers understand they need outside help to take an additive, objective look at their brands. Ask and answer the difficult questions: What is our brand’s sense of purpose (beyond making money)? How are we different from our competitive set? How do our customers view us relative to their other options? How can our brand’s voice and visual identity reinforce our brand differentiation?

It’s not about digital marketing; it’s about marketing in a digital world. There’s a lot of talk about going digital with marketing, but ask yourself – what isn’t digital? Institutions that succeed in today’s competitive landscape understand that despite all the new digital formats and data-driven possibilities, storytelling is still the most powerful form of communication.

Understand the customer transformation taking place. According to Barrons, Millennials are responsible for $1.3 trillion in annual consumer spending accounting for 21 percent of total U.S. spending. Millennials want authenticity and upfront communications as a baseline, and often pride themselves on finding their own solutions. Taking a partnership approach – helping them find their own solutions through your products and services – and being more authentic with the benefits of your offerings would be an effective strategy with this group.

Make them feel. In Singapore, DBS is taking the chore out of banking and has garnered a lot of international attention by developing a new tag line – “Live More, Bank Less” – an implied promise that if you bank with DBS you’re not going to have to spend a lot of time waiting in lines or being frustrated by a robotic telephone banking system that always takes you to the wrong place. The campaign is bold and authentic and also has an accompanying miniseries called Sparks that is based on real-life events.

Align with a relevant cause. Consumers feel good about brands that support causes they believe in. Most of the larger institutions have corporate philanthropy programs, but smaller banks can be equally effective by rallying around key issues in the communities they serve. Good neighbor programs, food bank drives and school supplies for needy children are all worthy undertakings that have the community welfare at heart.

Esse quam videri (to be, rather than appear to be). It’s nice to have compelling marketing campaigns, but if you don’t deliver on your promises in terms of the customer experience, you won’t get customer loyalty because you’re not making your audience feel a connection to your brand. If they don’t value the relationship, then they won’t do business with you. Is my bank prepared to give me what I need and expect relative to other options I have? Do they understand who I am? Are they helping me reach my goals? Good brands today are multidimensional – it’s not just about what you buy – the usage, features, reality and value; it’s also about what you buy into – the attitudes, intangible benefits, myths, dreams and values that keep them engaged. So who knows whether great brands like Apple or Google or Amazon will turn their attention toward the financial services sector, but having a well-developed and articulated brand that truly resonates with today’s consumers will ensure that if they do, you’ll at least have a fighting chance.

Fred Bertino is co-founder and president of Boston-based creative agency MMB.