Branding can be hard in an industry viewed as lacking personality. And, if we’re honest, that’s how financial services brands are often seen. While the services on offer are undeniably vital, for the average person, finance is pretty dull. Brands blur together in the mind’s eye, customers find it hard to differentiate between the products and services of competing companies, let alone their branding, so the firm they eventually give their business to often comes down to chance or word of mouth. But that doesn’t have to be the case. With the right branding, financial services companies can become as distinct and vibrant as any other customer-facing business. The problem is that very few of the firms within the industry know how to make that happen.
Why financial services providers struggle with branding
When you break it down to the bare bones, there’s no real reason why financial services businesses find branding such a challenge. There are no hurdles between them and the tools used by every other business. They have access to the same strategies and the same professional services. The problem is often legacy.
Banks, lenders, insurers, building societies, and investment companies have a legacy to uphold. Their customers have expected them to look and behave in the staid, reliable way they have done so for decades, and that’s a heavy burden to carry. Because any deviation – a change to the colour palette, an update of the language or what they stand for – holds the potential to negatively impact brand identity. What many companies fail to realise, however, is that changes don’t need to be rapid, and can, in fact, be much more effective when introduced little by little.
What can financial services companies do to improve their branding?
An incremental approach to branding can be hugely effective, but that doesn’t mean that you don’t need an all-inclusive strategy. For branding to be truly successful, it needs to be holistic, covering wide-ranging aspects of the business.
Language and tone
Tone is at the heart of branding. When you choose your tone, you are directly influencing how your customers view your brand – financial industries know this, that’s why they typically adopt a serious, trustworthy tone, to assure customers that they can be depended on to look after their money or provide the right advice. That all makes sense. But what is often lost sight of is that while seriousness and responsibility matter, they need to be accompanied by accessibility. If your customers can’t engage with your brand, you’re going to struggle to attract new customers, and even to retain the ones you’ve already got. By choosing language that is understandable and makes your business seem more approachable and friendly across all touchpoints – online, in print, on the phone, and face-to-face – you can instantly differentiate your business, and make it a whole lot more relatable. Getting to know the essence of your brand and finding out what tone suits the kind of business you want to be is crucial in this process.
Visuals
Blue tends to be the colour of finance. Solid, reliable, unchanging blue. Sure, there’s nothing wrong with blue, but it’s never going to be exciting. And that’s fine, you don’t necessarily need your business to ooze electricity, but that doesn’t mean that you shouldn’t move with the times. Barclays is a pretty good example of how to do this right. Twenty to thirty years ago, Barclays was mostly navy – cheque books, bank cards, signage and logo. Today, the bank is still blue, but over the last few years, an array of blues has crept in, bringing a brighter, more modern aesthetic. The transition has been slow and steady, a gentle change here and there, but the impact has been successful. The bank has remained true to its loyal customers, while presenting a more contemporary aesthetic and increasing its appeal to the newer generations. Small steps towards a worthwhile result.
Accessibility
Accessibility has a whole range of meanings today, but here we’re talking about the most basic form. The major difference between traditional high street banks, building societies, and lenders and their fintech counterparts is accessibility. What the fintechs have done really well is tailor their services to the needs of their customers, making their services available when they are needed. While the old-school financial services providers still maintain rigid opening hours that suit the bank far more than they suit their customers.
Service
Since the advent of social media, almost all service industries have become increasingly aware of the importance of service. Because customers now have a real voice and aren’t afraid to use it – loudly, on multiple platforms. Poor experiences can travel around the world in moments, and customers can swap to new providers in around the same time. Enhancing your service, showing appreciation for your customers, rewarding loyalty, in whatever way that suits your business – personalised communication, gift cards, rewards schemes – can change the way that you are perceived by old customers and new.
Values
Perhaps more than ever before, customers are looking for businesses that align with their personal values, and this is doubly true in financial services. The troubles of 2009 have left customers wary and demanding transparency and a strong ethical code. So, financial institutions need to choose their values and causes carefully, and ensure that they live up to them constantly. By doing this, they can boost their brand identity and stand out from the competition. It helps create a strong brand personality and gives customers something clear and recognisable to associate with the company. Plus, these core values can guide business decisions, making them less subjective
The financial services sector is changing, the fintech disruptors have done exactly that. In 2024, there is still room for both the traditional businesses and the incomers, but as the older generations are gradually replaced by the new, that’s unlikely to remain the case unless the established financial services brands begin to adapt. A significant part of that will come down to branding. Of course, the technology matters. But without the branding, technology won’t be enough.
