Banking on Digital Growth
Banking on Digital Growth

Episode · 1 year ago

39) #ByTheBook: This One Word Determines Where People Buy Financial Products

ABOUT THIS EPISODE

Can I trust you?

That's the question your customers and prospective customers are asking. And you can't answer their question with a broadcast marketing strategy focused on commoditized products.

Instead, you have to use the fundamentals of neuroscience and gain access to your customer's reptilian brain. I share my thoughts on how to do that in this episode of Banking on Digital Growth.

I talked about:

  • The three levels of connection in all human relationships
  • The two ways you build trust
  • How to use neuroscience to increase customer loyalty to your financial brand

You can find this interview, and many more, by subscribing to Banking on Digital Growth on Apple Podcasts, on Spotify, or here.

Okay, you're listening to banking on DigitalGrowth with James Robert Lay, a podcast that empowers financial brand marketing,sales and leadership teams to maximize their digital growth potential bygenerating 10 times more loans and deposits. Today's episode is part ofthe by the book Siri's, Where James Robert unlocks and shares the secretsof digital marketing and sales strategies for financial brands fromhis best selling book, Banking on Digital Growth. The Strategic MarketingManifesto to transform financial brands that is now available on Amazon. Let'sget into the show. Greetings in Hello Thank you for tuning into the 39thepisode of the Banking on Digital Growth podcast Where I, James RobertLey, your digital anthropologists continue to coach and guide you astogether, we simplify the biggest digital marketing and self strategiesthat will empower you and your financial brand to generate 10 timesmore loans and deposits. Today's episode is part of the by the bookSiri's where I share insights from my best selling book, Banking on DigitalGrowth, the Strategic Marketing manifesto to transform financial brands.As always, I like to start these episodes by shouting out andcelebrating those that have read the book and today I saw a note fromTiffany on linked in Who is the VP of retail sales and experience for afinancial brand in the Midwest. For context, Tiffany shared a quote frombanking on digital growth. Where I wrote, remember, the fundamentalopportunity is to help guide people beyond the financial stress that'skeeping them up at night and taking such a heavy toll on their health andtheir relationships. The goal is to get them to a bigger, better, brighterfuture. To that point, I appreciate Tiffany sharing that and really more so,adding her thoughts on linked in because she wrote quote, This has beenmy goal since I started in banking.

Growing up in poverty and lack, Iwanted to make sure others knew there was hope and a way forward Exclamationmark. End quote. Tiffany, I want to thank you for joining me on thisjourney as I continue to work towards my own personal, bigger purpose here atthe Digital Growth Institute that I call one B x BTR, which is to get onebillion people beyond their financial stress, towards just that towards abigger, better, brighter future. But I can't achieve this purpose alone. AndI'm grateful for people like you, Tiffany, who are committed to guidingpeople forward along a similar journey within the communities that yourfinancial brand serves. But none of this can happen iffinancial brands continue to operate specifically with marketing and cellsin mind. If they're informed by the past, if they continue to promote thesame commoditized products of being driven by profits and of thinking ofgrowth through the old World model of broadcast marketing and in branch sellstrategies, no going forward in this digital world, the greatest growthopportunities for financial brands is to bank on purpose to commit to put thetransformation of people over the commoditized transaction of dollars andcents. And as a result, I promise the profits will follow. And you might bethinking, Why? Why is this true? And it's exactly what I want to help yougain clarity around as we dive deep, dive deeper into the consumer's braintogether what makes people tick specifically when it comes to shoppingand buying financial products and...

...services. It all comes down to one word,and that word is trust you see, in any human relationship. There are threedifferent levels of connection, and in the pyramid of human relationships,which is a strategic model that I teach financial brands. The foundation of anyrelationship first and foremost, is built on Respect and respect is whenyou commit to put the needs of others in front of your own. You help someonewhen they have a need, not when you or your financial brand has a need at thepinnacle. At the top of the pyramid of human relationships is love. Now theword love might get a bit confusing here first glance, but there are manydifferent types of love there, many different kinds of love. In fact, theancient Greeks, for that matter, talk about five different levels of love.But for our purposes here today, perhaps it's easier to think about lovewithin the context of the pyramid of human relationships as commitment,because commitment is the deepest form of connection with any relationshipthat we have between human beings. So for us, the strategic question to beclear is how can your financial brand gain commitment and connection withconsumers in the communities that you serve in today's digital economy andthe only way to bridge the gap between respect and love, respect andcommitment is to increase the level of trust, and you build trust in twodifferent ways. Number one Trust has built through communication. Trust isbuilt by what you say but also just is important. Trust is built throughaction. Trust is built by what you do in today's digital economy. Trust hasto be built with a digital first...

...mindset. That's because trust must beestablished long before a consumer comes into a branch. If they come intoa branch, it all going forward in this post covert world to apply for a loanor toe open an account now, having a purpose that transcends profits, havinga purpose that transcends the promotion of commoditized products. This is yourkey to bridge the consumer trust gap through your digital communications,what you say and through your digital experience, your actions what you do,both of which must deeply be rooted in empathy. Already, we've established in today'sdigital world that empathy. It is one of the most important competitivestrategic advantages, if not the most important strategic advantage. Let'scome back to that. What exactly is empathy well defined. The answer quickly. Let'sgo to Google And Google defines empathy as quote the ability to understand andshare the feelings of another to help us understand the strategic advantageof empathy. Let's take a peek inside two brains. We have the bankers brain,and we have the consumers brain. Now the bankers brain. It's a beautifulbrain, but the bakers brain is gonna be more analytical. It's gonna be morerational. It's gonna be more logical. As for the majority of financial brandleaders there often left brain thinkers relying very heavily on fact and onreason. And this is good once again because we're dealing with people'smoney. However, it's easy for the bankers brain to get trapped in bankerthinking and really view the world through those three piece of justproduct of process of profits. And this is why I encourage financial brainleaders to step out of the bankers brain on. Let's take a stroll togetherinto the hearts and minds of people.

Let's put on our consumer caps, and when we review the world from themind's eye of people of consumers, those that are shopping and buyingfinancial products and services we start to view the world through rightbrain thinking and right brain thinking is driven primarily by feelings andemotions because consumers, often by with the heart they buy with theirfeelings, they buy with their emotions. And they're in search of two things ontheir consumer buying journeys. They're looking for help. They're looking forhope. And how does help and show up in the brain? Let's dive a bit deeper into the brainas we explore three key parts together. First and foremost, we have theneocortex that is the thinking brain, and this is where logic and reasonresides. Moving from the neocortex, we have thelimbic system, which is the feelings brain, and this is where emotion andmemories are stored. And finally, we have the reptilian brain, and this iswhat we depend upon for survival from a banking perspective. When you find yourmarketing and sells communications are talking to consumers about yourgreat rates. You're amazing service and your commoditized lookalike laundrylist of product features. You're very much speaking into theneocortex or to the thinking brain of consumers. What's the problem here? The problem isthat every financial brand even in this digital world is communicating the samething, and we're all speaking into the crowded and overloaded thinking brainof people. So let's take a step back. Let's look for ways to transform toe.Elevate your marketing and sales communication strategies...

...to begin to speak into the other twoparts of the brain. First and foremost. Here's why. When you speak into theother two parts of a consumer's brain, you create exponential value foryourself for your financial brand. But you also do so for the people in thecommunities that you serve. But you can't gain direct access to aconsumer's limbic system into their feelings brain without first gainingpermission by communicating through the reptilian brain. This is where all of your marketing andsells communication strategies must begin. Technology has transformed ourworld, and digital has changed the way consumers shop for and buy financialservices forever. Now, consumers make purchase decisions long before theywalk into a branch if they walk into a branch at all. But your financial brandstill wants to grow loans and deposits. We get it. Digital growth can feelconfusing, frustrating and overwhelming for any financial brand marketing andsales leader. But it doesn't have Thio because James Robert wrote the bookthat guides you every step of the way along your digital growth journey.Visit www dot digital growth dot com to get a preview of his best selling book,Banking on Digital Growth, or order a copy right now for you and your teamfrom Amazon. Inside you'll find a strategic marketing manifesto that waswritten to transform financial brands, and it is packed full of practical andproven insights you can start using today to confidently generate 10 timesmore loans and deposits. Now back to the show. Keep in mind this part of thebrain, the reptilian brain, the survival brain. It's all about fighterflight. It's friend. It's foe. I like to call this the binary brain becausethe answers it's either one or a zero.

It's true or false. It's a yes or no if the primary question the reptilianbrain ask is, can I trust you? The question being asked by theconsumers Olympic system is How do you make me feel? And we we have first mustgain access toe, unlock the reptilian brain when a consumer says, Can I trustyou. Yes. Yes, I do. Because then and only then do we have permission toanswer the question. How do you make me feel? Similarly? If the first questionwas a locked by drawing upon your purpose, the question of how you makethe consumer Phil will be answered by how well you leverage yourunderstanding of their emotional needs of the needs of the people within thecommunity that you serve and and really more importantly, the process, yourcommunication and actions through how you emotionally connect with them.Because if you succeed in making this emotional connection, it means thatyou've empathetically connected toe, activate positive feelings, positiveemotions through your processes. Once again processes being thecommunications, the actions of your marketing and sales teams. And that'swhere trust is built. Trust is built on two things. What you say and what youdo when you make a positive emotional connection with consumer you. Finally,you finally have permission then to communicate to the rational part oftheir brain. And that's the neocortex where then and Onley. Then it's now OKto start talking about your product. But even here, I want to be verycareful to not fall back on old patterns on old behaviors on old habitsand began to babble on about those rates, services and features becausestill, even at this point, it's not about you. It's about them. There needstheir questions and concerns their...

...hopes, their dreams and how you canhelp them achieve them through purpose through empathy, all of which areenhanced by communications and actions of both marketing and sales teams. Youbuild respect, you increase trust, and that will activate positive emotions,leading people to fall in love and commit to your financial brand. So whatexactly is the value and that emotional connection and commitment? In a reporttitled Making the Emotional Connection of Financial Services, we foundresearch that concluded and emotionally connected account Holder actuallycreates 30% upwards to 100% more value for a financial brand than even just ahighly satisfied account holder. We also found what's called a multiplierconnection or an emotional multiplier, and that means the value added to a newaccount holder. When we look at analyzing variables such as the numberof financial products each account holder has with the financial brand, wefind a multiplying effect. Emotionally connected account holders, which comingback, is established through purpose and empathy. Those emotionallyconnected account holders actually have a six times larger lifetime value whencompared to the highly satisfied account holder. So if a six x multiplier of lifetimevalue doesn't settle the question once and fall for how these strategicprinciples rooted in purpose, empathy, emotion, they're not just touchy fillysubjects, they create value to the bottom line. I don't know what will,but you get it. And that's why you are committed to maximizing your financialbrands digital growth potential through purpose, through empathy. And now thatyou know how to use purpose and empathy,...

...toe win trust coming back to thatkeyword to start today's conversation toe, entrust through communication whatyou say and through actions what you do for both your marketing and sales teams.You will continue to get better and better at doing it digitally,especially when we start talking more about the psychology and understandingwhat drives people to make buying decisions for financial products andservices. In fact, that's what I want to wrap up today's episode and brieflyshare five primary drivers of human behavior, as noted by a few HarvardBusiness School professors. First, you have the drive toe, acquire everything.You strive to gain its money, it's statuses and it's really power. Thenyou have the drive to bomb, and what you get out of this is acceptance. Love,shared value, community, if you will. Next, we have the drive to learn. Sothrough education you gain knowledge and knowledge helps toe buildconfidence for a person. And similarly, the drive to defend is all aboutprotection and security. And finally, we have the drive to feel happy to appreciate the beautyin life. And when we think about those five drivers of human behavior throughthe lens of what we say, what we do, what we communicate, how we do it, theexperiences that we deliver. This is one of the main reasons purpose is atthe heart of the digital growth blueprint because it is purpose thatbinds together so many of these drivers of human behavior, such as the drive tobond and the drive to feel. And while up to this point we've lookedat purpose with a focus on consumers, purpose can also create valueinternally by aligning key stakeholders across your financial brand, which isexactly what we'll explore on the next...

...episode of the By the book, Siri's asalways, and until next Time Be Well, do good and wash your hands. Thank you for listening to anotherepisode of Banking on Digital Growth with James Robert Ley. Like what youhear? Tell a friend about the podcast and leave us a review on Apple podcasts,Google Podcast or Spotify and subscribe while you're there to get even. MawrPractical and proven Insights, visit www dot digital growth dot com to graba preview of James Roberts bestselling book Banking on Digital Growth or ordera copy right now for you and your team from Amazon. Inside, you'll find astrategic marketing and sales blueprint framed around 12 key areas of focusthat empower you to confidently generate 10 times more loans anddeposits until next time, be well and do good.

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