1. 2. Most bank calling officers are inadequately prepared to effectively sell bank products. Track cross-sales activity You’re not asking employees to sell products customers don’t need. I always encourage everybody to be able to look at the full spectrum Some banks used to use a manual process and big banks use online workbooks to input production on new accounts and products. Of course, providing quality, relevant products and customer-centric service are always essential to keeping your customers happy. Eliminate the clutter To improve communication skills, staff should practice conversations, role playing different situations that might involve a new or existing customer. This also is true of when promoting an existing employee into a sales position as a universal banker. Bank products are sold by displaying credibility and trustworthiness to the customer. Focus on value. There isn't too much risk on either side of the table, but loan officers must be able to effectively close the deal. But Wells Fargo is best in its class. 9. 5. From a customer standpoint, make sure there is a benefit to accepting the entire bundle together, at once, versus separately over time. Some community banks piggyback cross-selling training on other routine training. Where to Find Private Label Suppliers. You collect customer data for a reason: To understand your customers better, and then use that information to provide the most appropriate assistance, in the form of products, services and offers. Bundle up. 1615 L Street NW, Suite 900 Washington DC 20036 Gone are the days when being a frontline bank employee meant conducting transactions from behind a teller window, and that was all. 6. Seek out people with prior sales roles, or at least the right demeanor and skill set to become a good salesperson. 4. Use these three sales prospecting techniques to build your pipeline and have more productive conversations with your prospects. First Community Bank and Trust in Beecher, Ill., has expanded its required training and education sessions to include the cross-selling of various bank products and services, such as mobile banking and investment products. Effective cross-selling requires you to understand both the customer and which bank products are a good fit for him or her, based on age and financial position. ➢ Use data, such as transaction behavior, existing accounts, lifestyle factors and demographics, to segment customers into groups based on most-likely cross-sell opportunities. Here's how to get the deal done. That can mean financial benefits, convenience features or any other advantages the customer gains by doing business with you. Banks need to focus on products that people want to buy and discontinue some of the obsolete products and services that do not attract new activity. The focus should be on having a conversation with customers, figuring out what they want and making sure they get it, says Robin McDougald, a senior vice president and retail manager at $1 billion-asset Texas First Bank, which is based in Texas City, Texas. Work works 2. Set realistic sales goals One of the challenges of cross-selling today is that people are not just walking into a bank branch, picking up the phone or reading the statement they get in the mail. He brings a problem-solving mindset to help clients with their database marketing and custom direct-marketing programs. Verbal nods, such as ‘uh-huh’, and ‘I see’, help to combat pure silence on your end of the phone, which makes the customer feel helpless and unappreciated. Having a cross-selling goal is important as long as that goal is achievable. Competition among financial institutions is as fierce as ever. One of the most effective and quickest ways for a rookie sales professional to learn the finer art of sales is by modeling. Product owners can sell digital products such as computer software and EBooks, as well as physical products such as health products, food supplements, etc. Here are 10 ways to help your team hone its cross-selling strategies. For example, Texas First uses an incentive plan that offers a bonus for individuals who meet individual and team goals that include hitting a cross-sell ratio goal, a sold product goal and a referral goal. Bankers need to be well educated on the bank’s products and services so they can sell those products effectively to customers based on those customers’ needs and financial goals. 1. Email or call 800.525.0313. Do you conduct online banking through a computer or mobile device? “It is going to take some time to get customers to engage,” he says. Offering packages of three or more products/services lets you instantly create sticky customer relationships. It also allows a bank to leverage people who do a very good job of cross-selling by using them as a resource to help train other sales staff. Practice with role playing In addition to these five strategies, your financial institution should consider ongoing sales training for customer service staff; prioritizing transparency to foster trust; ensuring consistent brand messaging across channels; and continually tracking and measuring your bank’s cross-selling efforts. Tracking cross-selling activity can provide some insight on how to improve the sale of specific products and services. I have come to appreciate that selling to banks is one of the most difficult challenges for a Fintech startup. Startup 5 Secrets For Landing a Whale of a Client Corporate America wants to buy from you! 8. “It takes literally three minutes a month to calculate the cross-sell ratio for each account representative,” David says. Before you start practicing your "runway" walk, understand that "modeling" means to learn from someone successful. People who are most effective at selling tend to be friendly, outgoing and comfortable with engaging people in conversation. Cross-selling strategies are evolving as community banks work to connect with customers both in person and online. Retention makes good dollars and sense. Keep up a steady flow of outreach messages to recipients. 2 products = 4 years Google is always a good place to start. Train your tellers to be on the lookout for opportunities to cross-sell. 3. For example, First Community Bank and Trust has created a series of educational videos on a variety of topics, such as a video that explains how to use its First eMobile banking app. Common Banking Products Available. So, when they do, it is a golden opportunity to talk with them about their financial needs,” says Sally A. Peters, president of Denver-based SA Peters Marketing and Consulting Inc. Staff should fully understand all of the bank’s products and services so they can engage customers in a productive conversation, and recommend products and services that will help them reach their financial goals. In today’s competitive market, banks need to develop carefully planned, measured and specialized programs to engage and target customers effectively through cross-selling. Create a structured training program to give frontline employees the tools they need to sell. So, Clickbank acts as an effective platform on which product owners can advertise their products. A product posted on various sites such as eBay or Facebook can have better visibility compared to when relying solely on a brick-and-mortar store or a cramped garage for exposure. Greg Sultan is CCG’s senior vice president, financial strategist. Condense everything you know into a brief explanation that can grab interest and cause the prospect to … Establishing social validation and a brand, when aided by marketing and emotional approach will serve to boost the sale of bank products. It’s not the customer’s responsibility to know what the bank … They can do this by studying customers' accounts and listening to what they say. In this article, you’ll find 24 effective marketing tips to … Educating and informing customers about your bank’s products, services and promotions. Banks have to get over the feeling that they have messaged on a topic too often. Some of common available banking products are explained below: 1) Credit Card: Credit Card is “post paid” or “pay later” card that draws from a credit line-money made available by the card issuer (bank) and gives one a grace period to pay. See how a strategic content marketing plan can help you increase engagement, acquisition and retention. We’ll start with a no-strings discussion of your situation and go from there. Savvy community banks also recognize that declining foot traffic in branches means more cross-selling needs to take place in other channels. Acquiring new customers can cost eight to 10 times more than you would spend cross-selling products and services to existing customers. We are the experts and you are nobody. The more products a customer has with you, the longer and stronger their relationship is likely to be. “Quite frankly, it makes those training sessions a whole lot more interesting when you’re talking about something beyond the required bank regulation training that some folks have heard 10 to 15 times,” says Greg Ohlendorf, who is president and CEO of the $150 million-asset community bank. Here, we share four tips to do it right — and reap the rewards. The simple answer is retention: Focusing your efforts on sweetening the customer relationships you already have. Whether you're selling products to customers, ideas to your boss, or yourself to an employer, we're all in sales. CCG is a full-service financial marketing agency focused on providing actionable, knowledge-driven customer initiatives. Throw your sales goals out the window. The cross-sell ratio goal is calculated on new customers during the first 90 days with the bank. So how do you meet revenue goals? “Too many banks still sit back and wait for the customer to walk in the door, and that doesn’t work today,” says Lynn A. David, president of Community Bank Consulting Services Inc., which has offices in St. Louis, Mo., and Midway City, Utah. ➢ Make sure your marketing always answers the customer’s number one concern: “What’s in it for me?”. 2. “We have learned from the issues surrounding Wells Fargo that we have to be careful in what we do around sales and goal-setting,” says McDougald. Apply “verbal nods” to the conversation Use filler words to avoid the dreaded silence! Maybe a customer is bored sitting in an airport or a waiting room and decides to open and read that email because he or she has nothing else to do. Take the initiative to talk to customers and ask questions. “It is going to take some time to get customers to engage [with marketing messages]. Be persistent 1. The bank pushes out scheduled messages to customers through different channels, including direct emails, Facebook, LinkedIn and Twitter. We’ve seen what works and what doesn’t, and we’ve put together a recipe for doing it successfully. Watch this video to learn how to sell a product. 10. How best to effectively sell your product For small businesses, getting their products to a wider market can be hard, but James Caan has some helpful tips James Caan (See sidebar. Solving Customer Problems 1 Let the customer talk. 3. Beth Mattson-Teig is a writer in Minnesota. However, smaller banks offer small closed-end loans--those which have an expiration date and a standard monthly payment. —Greg Ohlendorf, First Community Bank and Trust. 5 Steps to Effective Cross-selling By effective, we mean putting time and resources toward the right things. SA Peters Marketing and Consulting Inc. The downside is you do have to invest money in creating a brand, paying a manufacturer to produce a product, and buying in bulk. 4. And use as many direct channels as possible to reach out to your current customer base, including email, direct mail, statement inserts, banner ads on your website, ATM messaging, outbound calling efforts, etc. For example, if a bank offers seven personal checking accounts, and through reporting finds four types of checking accounts were not opened, the bank can remove those from the brochure. Asking the right questions helps the employee get to know the customer and … Then, you'll have to meet with clients, understand their financial needs, and work to solve them by providing your bank products. “So, we just have to be diligent about keeping that up without being intrusive.”. Because people are banking in many different ways, it is important to reach out to customers across many different channels, including traditional and digital channels such as email, website and social media. “We don’t know which message and which format is going to grab their attention, or which particular day,” explains Ohlendorf. Cross-selling, the strategy of selling multiple financial products to existing customers, is easier said than done in the banking industry. A recipient may ignore that message the first 10 times it is put in front of them before they engage with it. For loan officers, these are often the easiest products to sell to a potential borrower. Leverage your data. - Make, and maintain, eye contact as they approach your wicket. You’ll need to experiment with different marketing ideas to understand your target audience and market your product to them. 5 Secrets to Selling Products Online 1. Your tellers are the front line of your cross-selling strategy. Asking job candidates to complete a personality profile test is one way to identify potential sales superstars. of what a customer might need,” Peters says. - Greet them promptly. Many community bankers agree on the strategies that don’t work: aggressive, high-pressure sales tactics. Do you write checks, or do you primarily use a debit card? This cross-sell generally triples the profit of the account and forms the basis of most banks’ efforts. Help customers get what they want, and your bottom line will take care of itself. Cross-selling, or persuading customers to purchase additional products, is one of a bank’s most powerful and efficient revenue-boosting tools. Customers want value. Asking the right questions helps the employee get to know the customer and understand his or her financial goals and needs. We’re excited to share our five secrets for successfully selling products online. “Finding a way to get messaging to customers is very, very important,” says Ohlendorf. 7. Our free whitepaper helps you: Want to build a stronger connection between your brand and your customers? ➢ Use your customer data to determine the most logical product/service combinations for your customers. Ask questions Hire good salespeople This should be through email, direct mail, statement messaging, SMS texts and as part of the online and mobile banking platforms. “Customers are coming into the branch less and less. Yet, many banks do not cross-sell effectively. Helping customers purchase products that help meet their personal banking needs. Confidence and ease are key traits in staff members leading these conversations. Grabbing your buyer’s attention and opening the door to more fruitful sales conversations is the key to effective sales prospecting. “[The goal] is not to sell them things they don’t need just to meet a number. Build on a Solid Foundation selling a big success. The formula is fairly simple: if you do what someone successful does, you'll be successful as well. They have daily opportunities to ask customers about their needs, and then offer appropriate product or service solutions. To be successful, it has to focus on customer needs. Choose the right niche 3. Community Bank Consulting Services Inc. provides its clients with a simple Excel spreadsheet tool to document points of contact with new and existing clients and what, if any, products were sold in that interaction. The simple answer is retention: Focusing your efforts on sweetening the customer relationships you already have. Take a look at your website, your brochures and your marketing and see if you are telling enough stories and using enough emotional wording plus visuals in your approach. This is good cross-sell. 1. Your attitude must be: "We have got the skills and the answers that you Mr customer are looking for. Find out what is different. The data helps to identify people who are not effective at cross-selling based on the opportunities that they had, allowing the bank to provide more training, support and tools to those individuals to help them improve. Make Your Customer The Hero Customer Experience & Customer Engagement Agency, Customer-Centric Agency & CRM Support Services, Email Best Practices Yield Higher Open Rates, Profits, Client Sees Lift in Email Performance, Customers, Using Newsletters To Build Customer Loyalty & Profits, How to Choose the Right Personal Finance Topics for Your Audience, Digital Banking in 2020: Navigating Trends and Transformation Through Strategy, Financial Services Content Marketing: Building the Case for Value-Added Content, 6 Strategies to Strengthen Your Refi Marketing Campaigns in 2020. New customers are still likely to desert you in droves — at rates as high as 50 percent within their first year. 2. You can generally sell private label products for a lot more than generic products. 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