Mobile bank reduces cost of acquisition and increases marketing efficiency
The Industry
ABOUT THE INDUSTRY
Banking customers value relationships built on trust, and experiences that easily connect them to the services they need. With the rise of digital-first banking, particularly on mobile devices, customers expect more digital engagement and multi-channel personalisation.
The Challenge
HIGH ATTRITION RATE AND LOW RETENTION
As brand new digital-first financial institutions emerge, attrition and growth are a major concern for banks. They need to deliver the connected experiences banking customers now expect and make it easy for them to access services, while acquiring these consumers without overspending. Fragmented and inaccurate customer experiences lead to lower Return on Ad Spend (ROAS), higher Customer Acquisition Costs (CAC) and poor retention rates.
The bank identified two major challenges it needed to overcome:
- Reduce Customer Acquisition Cost by 20%
- Improve retention by 10% across its European markets
The Solution
FINE-TUNE AUDIENCE TARGETING BASED ON ATTRITION SIGNALS AND AUDIENCE INSIGHTS
Zeotap’s Customer Intelligence Platform (CIP) onboarded the bank’s digital user base and offered granular audience insights to better understand shared characteristics between customers.
Lookalike models were then derived and extended with additional third-party segments to expand audience reach based on deterministic data. By identifying the specific attrition signals that negatively impact churn rate, the bank was also able to react at scale with messages and offers that increase retention.
The Results
HIGHER RETENTION AND BETTER MARKETING EFFICIENCY
By implementing Zeotap’s Customer Intelligence Platform, the bank was able to increase its marketing efficiency while spending less to acquire new customers. With its complete and unified view of customer data, the bank is now better equipped to create new target audiences and reach existing ones with more relevant offers and messaging.
