How Influencer Marketing Can Supercharge The Banking Sector

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“Working with influencers to co-create content can be an incredibly effective way to build authority and credibility for brand content. It can also increase the reach of your content and put you in front of new and engaged audiences.”- Ashley Zeckman
(VP Strategy and Customer Success, Onalytica)

Influencer marketing has emerged as the most effective marketing technique for brands across the globe. The pandemic and the lockdown phase have given more momentum to this marketing strategy. Several brands and businesses want to be in constant touch with their customers, and influencers are an excellent way to establish the same. While it is true that influencer marketing is a pretty saturated space, it doesn’t seem to slow down at all. Influencer marketing carries a huge potential for several organizations and brands. Additionally, influencers possess a unique and distinctive identity that helps them actively affect their followers’ choices.

Influencer marketing is on an active spike. This new-age reality is shaping buying behaviors. Research published by eMarketer notes that 44.7% of internet users between 18-34 years of age have bought a product or service recommended by a social media influencer. The research further states that 31% of users between 45-54 years of age and 27% of users who are 55 years or older have followed the recommendations of influencers.

Initially, it was only lifestyle brands that have relied heavily on influencer marketing. However, the BFSI industry can benefit enormously from this new-age marketing technique also. The primary reason for saying so is that influencer marketing is an effective approach that brings authenticity and reliability to the table. The banking and finance sector has always employed traditional marketing techniques that no longer appeal to the young generation of millennials who make financial decisions all on their own. Hence, influencer marketing in the BFSI industry is on a steady spike. 

While banks were initially hesitant to use social media platforms for marketing, they now realize how these channels drive profits and revenue. They are branching out and are also discovering the endless advantages of influencer marketing. Why? Because financial conversations aren’t easy to promote and hence the BFSI sector needs the help of influencers. Since most of the audience is now available on social media platforms, banks or other financial brands have to implement their marketing strategies. Influencer marketing will open the door to several opportunities for banks and help them reach out to their target audience. As per a 2021 report, the BFSI industry spent 24% of its digital media spend on social media promotions. Read on to learn more about why financial services need influencer marketing and how it will benefit them.

The Impact Of Influencer Marketing On The BFSI Industry

Influencers Help The BFSI Sector To Find The Right Audience

bfsi influencer marketing

Influencers Help The BFSI Sector To Find The Right Audience

The financial sector differs vastly from the lifestyle or fashion sectors and also has a specific customer base. Influencers from the banking niche can help the BFSI sector reach the right people on social media. Every social media platform is filled with content belonging to several niches, and hence targeting the right audience is crucial for the BFSI industry. Not everyone will look out for finance content, so it’s an excellent choice to bring influencers into the picture.

Influencer Marketing Can Give BFSI brands an edge over their competitors

bfsi influencer marketing

It’s not just the lifestyle or the beauty brands that have competition. The finance and banking sector also has it. Hence, to have a better edge over their competitors, BFSI brands can employ influencer marketing. Brands that use influencers have a better connection with the audience and also have a solid social media presence which is the key to building credibility.

bfsi influencer marketing

Influencer Marketing Helps Financial Brands To Be More Approachable

One of the major setbacks of the banking and finance sector is not being easily approachable. Be it for queries, suggestions, or inquiries- the banking sector has never had an effective approachable tone. The BFSI industry has always depended on television for marketing and promotions, which is a one-way communication medium. But now, since the target audience consumes content from social platforms, the BFSI industry can leverage this trend to build an approachable tone around its promotions. Influencer Marketing is all about developing a conversational approach and engaging the audiences. It is an apt choice for banks and other financial institutions.

Influencers Can Help Leverage The Audience’s Sentiment​

bfsi influencer marketing

Influencers Can Help Leverage The Audience’s Sentiment

Financial institutions can get to know what the audience thinks about them with the help of influencer marketing. The easiest way to know this is to read through the comments section and analyze what the audience feels about a specific campaign or a service that you are promoting. Once a brand knows the audience’s pulse, strategies can be changed and made more effective. Hence, with the help of influencer marketing, financial brands can understand the audience sentiment and leverage it.

banking influencer marketing

Influencer marketing is the most effective marketing tool to reach the minds of millennials and GenZ. A study notes that 60% of millennials rely on YouTube influencers for information instead of traditional media personalities. While it is true that there is a huge difference between marketing fashion or make-up and marketing financial services, at the end of the day, people are looking for one thing—something that will enhance the quality of their lives.

banking influencer marketing

Promoting products and services in a way that the audience can relate to will help reflect the brand values. When influencers introduce products or services through engaging content, it’s like ‘showing’ the audience than just ‘telling’ them.” The influencers can create content tied to a real-life experience like saving for a wedding, purchasing a house, insuring the kids or the family, or enjoying a holiday. A study shows that 41% of the audience discover new products or services every week through influencers. Therefore, when content is driven by good stories and narratives, influencers can humanize the financial services in a way that the audience can discover and relate to personally.

Influencer Marketing Boosts Credibility & Engagement

Influencer marketing is the modern way of word-of-mouth marketing. Hence, influencers are people who will help boost the credibility of your brand. Influencers can boost engagement by telling audiences to type down their comments, press the like button, or share the content elsewhere. They can also drive the audience to do other actions like visiting the brand’s social media pages, visiting the official website, etc.

Influencer Marketing Gives Better ROI

banking influencer marketing

Influencer Marketing Gives Better ROI

The BFSI industry has invested hugely into broadcast or print advertisements. Such a marketing approach is bound to go in vain in today’s digitally advancing world. Research says that 89% of marketers have observed better ROI from influencer marketing than from other traditional marketing channels. Hence, with the help of influencer marketing, brands will not only reach their target audience but will also enable them to gain a strong grip on the audience- who loyally follow the influencers.

Effective Influencer Marketing Strategies For The BFSI Sector

Posting Resourceful Information

Content that is informative and valuable will fetch the desired engagement and leads. Simplifying the complicated finance terms for the audience and helping them understand finance basics will help them connect with you. Influencers from the banking niche can help achieve the same.

Confluencr implemented this strategy while working for Paytm Money– a new initiative by Paytm, a renowned online banking and payments platform. The purpose of the campaign was to create awareness about this new platform by Paytm that provided investment and trading services. The campaign was run for 1 month with 18 influencers on board. The content strategy was to educate people about IPOs, investments, and trading. We also designed an ETF Online Masterclass held by Paytm to show people how easy online investments are. The campaign resulted in a huge success with a 2,993K+ reach, 321k+ likes and 26,946 comments. Marketing resourceful content can impact how a brand connects with the audience.

banking influencer marketing

Opt For Video Content To Connect With Your Audience ​

Video content is the current trend and the most highly recommended method of influencer marketing for banks. Videos boost engagement and deliver the message creatively.

Implement A Storytelling Approach

A simple informative video or post can create a huge impact when it is coupled with a strong narrative or a relatable convincing story. It will help brands to connect with audiences and will also make the brand look more approachable.

Collaborate with mega and micro-influencers for influencer marketing

Micro and nano influencers help to reach the most remote sections of people on social media. Additionally, collaboration with influencers who are popular and have a following that is in sync with the intended target audience will help get the much-needed visibility and attention on the social media platform.

Keeping this in mind, Confluencr curated an effective marketing strategy for the reputed Motilal Oswal Group. The purpose was to amplify the digital presence of the brand. We collaborated with 20+ macro-influencers and curated a strategy that involved educating people about investment options. The content was developed around valuable investment tips, and the audience was encouraged to get in touch with Motilal Oswal for hassle-free investments. The campaign garnered a subscriber count of about 16,074K+ with 688+ likes, 4,718 comments, and 1,062K+ total views.

Conclusion

The BFSI Sector can benefit hugely from influencer marketing. All that the sector needs is an effective rock-solid strategy. Unlike fashion, beauty, and travel niches, the content opportunities for banks and financial institutions are limited because of the business and industry framework. Hence, the BFSI industry can make a unique mark on social media platforms with good influencer collaborations.

Confluencr, being a leading influencer marketing agency, has helped a wide array of brands and businesses collaborate with the right influencers based on their niche, target, and reach. Our 15000+ influencer network has created 500+ innovative brand campaigns for 200+ leading brands in India. We have served a diverse range of 50+ BFSI brands and have curated 5000+ promotional content for enhanced visibility, reach, and leads. Reach a global audience with our marketing campaigns curated by the best of industry experts. Get in touch with us at [email protected] to learn more.

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