Successful bank branding rarely comes easy. And there’s a simple reason for that: People hate banks.
Even if you have a generally stable relationship with our primary bank, you remain suspicious. Banks are in the business of profiting off your deposits. Of course, they’ll do anything to take advantage, right?
That’s why most bank branding fails. Because many bank brands combat that belief by saying they have friendly employees. That they care about your future. Or, for the smaller banks, that they’re local.
It’s all bullshit.
Bank branding that fails
Just for kicks and giggles, let’s look at those messages one by one:
“We have friendly employees” – To start, who cares? For most of us, we don’t want to go into a bank branch or even call the customer service line. We don’t want to meet the employees. Yes, we are appreciative if they’re nice. But it’s not a reason for choice.
For “friendly employees” to be a differentiator you’d have to believe all the other banks have nasty employees.
“We care about your future” – The biggest cliche in bank branding. Banks only care about your future if they can make money off you. The “we care” line in any category marketing is simply unbelievable. It’s a lie. And no one believes it.
“We are local” – Community banks especially love this message, thinking local is a switching trigger. But think about this. All the employees at Wells Fargo or Bank of America or Chase are local. They may even live in your neighborhood.
How banks should think
First, all bank branding needs to be a reflection of the customer. Not about the bank. Creating preference begins by identifying who the customer is when they use your bank. If you tap into that emotionally, audiences notice you. And learn to prefer you.
An example. I led the bank branding for State Bank of India California, headquartered in Los Angeles. It kept butting up against the same problem. Young people of Indian descent were flocking to the larger banks. That became a problem for SBIC because its clientele was aging.
So, instead of saying “we care” or “we’re friendly” or even “we’re Indian,” research demonstrates that the bank’s younger prospects trust their experience (often, as someone of Indian descent) more than anything. Their experience. Not the bank’s.
SBIC’s new branding means “your experience doesn’t lie.” It’s a reflection of the customer not of the bank.
So stay away from the trite messaging when bank branding. Because it does nothing to change behavior. Even adding an account at a new bank seems like a hassle, let alone changing primary financial institutions.
Reflect the customer. Not who you are.