The Complete Guide to Brand Strategy for Financial ServicesIn the highly competitive arena of financial services, a solid brand strategy is the cornerstone of success. But financial services branding strategy isn’t about logos and color palettes; it’s about carving a unique identity that stands out in the marketplace, fosters trust with investors, and attracts customers. This guide will help you understand key brand positioning steps, offering actionable insights and examples for crafting a vision that resonates with customers and grows the bottom line. Whether you’re looking to overhaul your current strategy or build a new financial brand from the ground up, this is your best-practices roadmap to creating a compelling brand narrative. In this post, we’ll show you the ins and outs of branding strategy for financial brands, including:
The Importance of Brand Strategy for Financial ServicesResearch shows 63% of consumers gravitate toward brands that reflect their beliefs and values. This may be even more valid in the banking and financial sector, where trust is the currency of customer relationships. Further research underscores the significant impact of a strong brand identity on financial services firms. According to research, only 59% of global consumers trust financial services to do what is right, compared to 75% for technology companies. This highlights the critical need for financial institutions to build and maintain consumer trust through transparent and authentic brand strategies. Additionally, a 2023 survey by YouGov found that only 47% of global consumers trust insurance and financial services providers with their personal data, indicating a growing skepticism that brands must address through responsible data practices. The demand for greater corporate responsibility in the public consciousness has also prompted consumers to do more investigation into where financial institutions stand on environmental, social responsibility, and governance (ESG). Crafting a financial services brand strategy is not only about market differentiation, but includes weaving your firm’s values and vision into the customer experience and helping them to identify their values within your company through authentic, demonstrable business practices. How to Develop a Financial Services Brand StrategyDeveloping a brand strategy for financial services requires a structured approach that captures the essence of your brand and conveys it effectively to your target audience. Tactics like holding a round-table workshop or offering an information gathering mechanism for key executives and stakeholders across your organization is key to sussing out the subtle “reasons why” that will end up informing everything you do, from your marketing approach to your brand guide to your tag lines. Here’s how this process can lay the foundation for a strategy that will steer any financial brand toward greater success. 1. Define your brand’s goalsThe best place to begin is by crystallizing your brand’s mission and objectives. A clear mission statement provides a compass for all brand activities, ensuring every initiative contributes to a unified purpose and message, and a cohesive brand voice. 2. Identify your target audience and what they really wantYou can spend multi-millions on advertising trying to convince people to buy something they don’t want and it will never work. A well-defined target audience ensures personalized and impactful communication, and helps you tap into desires that already exist in the marketplace to ensure your advertising has the most impact and the highest ROI. Conduct thorough research to grasp the needs, preferences, and behaviors of your audience. This can be done through surveys, focus groups, and market analysis to gather data on potential clients. 3. Stake out a unique positionDifferentiation is key in a crowded marketplace like financial services. Pinpointing what sets your brand apart is the fuel for more effective and engaging marketing. Even if your brand offers a similar solution to the marketplace, you might have a way of delivering the product or service, or be able to build upon a brand story that sets you apart. 4. Develop your core identityFrom your unique position, you can craft a strong identity, voice, and message. A cohesive identity helps you resonate with customers and builds brand recognition over time. 5. Put your strategy into actionWith your strategy defined, it’s time to bring it to life. Build a brand kit, ensure consistency across all touch points, and roll out your brand with a clear plan. 6. Measure and adjustWhile measurement and course-correction can really only take place after you execute, the above steps will give you a head start on your approach because it will be based on an accurate target market as well as knowledge of your ideal customers’ habits and desires. Customer behavior and feedback will then fill in the rest of the story. For more insights, consider the ideas and best practices outlined in our blog post on bank branding, which can provide further inspiration for your own branding journey. Key Elements of Financial Services Brand StrategyA strong financial services brand strategy is built on several core elements that work together to create a cohesive and compelling brand. Each element plays a critical role in defining how your brand is perceived, how it connects with customers, and how it stands out in a competitive market. Unique Value Proposition (UVP)Your UVP clearly communicates what sets your financial services brand apart and why customers should choose you over competitors. It should be concise, compelling, and reflect the tangible benefits your products or services deliver. Core ValuesCore values define the principles and beliefs that guide your brand’s decisions, behavior, and culture. They serve as a compass for your team and help customers understand what your brand stands for beyond products and services. Target AudienceKnowing your target audience allows you to tailor your messaging, products, and experiences to meet their specific needs and preferences. A well-defined audience ensures marketing efforts are focused, effective, and resonate with the right people. Brand VoiceBrand voice encompasses the tone, style, and personality of all your communications. A consistent voice builds trust, enhances recognition, and ensures your messaging feels authentic across all channels and touchpoints. Visual IdentityVisual identity includes logos, color palettes, typography, imagery, and design elements that represent your brand. Strong visual consistency reinforces recognition, differentiates your brand, and supports your overall messaging strategy. Customer ExperienceCustomer experience encompasses every interaction a client has with your brand, from onboarding to ongoing service. Delivering a seamless, positive experience reinforces your brand values, strengthens loyalty, and drives long-term engagement. 3 Great Examples of Finance Branding StrategiesIn the dynamic world of finance, standout branding strategies can define (or redefine) a company’s trajectory and defend its market position for many years. This is why brand strategy exercises are so worthwhile. Here, we spotlight three successful financial brands that have made bold strategic decisions that set them apart and made them all household names. Battle Bank
Battle Bank’s founders came to the Vested team with a vision to build a new bank. From there, Vested helped Battle Bank build a cohesive, new brand from the ground up, one that was true to the fledgling bank’s bold values, its namesake of Battle Mountain and the need for simplicity to cut through the noise. Robinhood
Finance Studio, Vested’s partner for content and design projects, worked with Robinhood to illustrate the brand’s commitment to modern, clean, and content-centric design. They burst onto the scene with a mission to democratize finance for everyone. Their branding strategy was built around the idea of making stock trading accessible and free from traditional commission fees. They tapped into a previously underserved market of young investors, leveraging a brand narrative of disruption and empowerment. This strategic positioning helped them grow rapidly and disrupt the financial services industry. Masthaven
Masthaven is a UK specialist challenger bank. They came to Vested to refresh the brand to better connect with its two dual external audiences of retail savers and mortgage brokers, alongside employees and wider stakeholders. It had undertaken research among employees that denoted a clear employer brand that needed better externalizing, and we worked with the bank to also undertake in-depth analysis of mortgage brokers’ needs. The key insight from both pieces of work was the strength of the Masthaven team, its ability to personalize support through human underwriting and the importance of its relationships. We agreed these needed to come to the fore in the rebrand. Elevating Your Brand StrategyThe examples above help illustrate how these brands made strategic decisions to clarify their audience or identity to further differentiate and elevate the brand above the competition. Crafting a compelling brand strategy is no small feat. But the investment of time and energy will pay massive dividends in brand loyalty, market credibility, and business longevity. If the idea of developing a brand strategy seems daunting, remember you don’t have to go at it alone. Our team of financial specialists is ready to help you build a brand strategy that resonates with your clients and distinguishes you in the marketplace. If you are ready to revisit your brand, Vested’s branding and marketing team is here to make it happen for you. |
The Complete Guide to Brand Strategy for Financial Services
Jeff KunsContributing Writer
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