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In 2008 Kevin Kelly, the founder and editor of Wired, suggested the 1,000 true fans theory. Attract a thousand loyal fans to your Fintech startup or any other company – and you will make money. However, this may seem unrealistic for a Fintech startup.
Li Jin, the co-founder of Variant Fund, lowered the original target to 100 loyal customers. Companies can succeed by giving their most loyal fans more value at a higher price, she says. While this number of customers sounds quite realistic, it is difficult to attract 100 brand followers in a highly competitive environment. You can achieve this goal with a clear marketing strategy for Fintech startups. Let’s take a look at the most efficient ways to acquire your first 100 customers.
Related: 7 Things to Consider Before Launching a Fintech Startup
Typical issues faced by Fintech startups
Recruiting the first 100 grateful customers is difficult. The market sets strict requirements for newcomers:
EThe industry has a low barrier to entry
According to Statista, the number of startups in the US, EMEA and Asia Pacific has almost tripled in the past 4 years. Consumers love mobile banking apps, so investment in Fintech companies is on the rise. Project ideas for the financial sector are more relevant than ever.
Users do not entrust sensitive data to unknown apps.
Users rely on financial apps that have a large audience and positive reviews. While the App Store and Google Play check each platform for safety and quality before publishing, not all people buy new products.
A startup needs to come up with a brilliant Fintech marketing strategy to interest users and convert them into loyal customers.
A company doesn’t know how to turn customers into leads.
To make a product visible and in demand, startup founders need to understand their target audience and know how to convert one-time visitors into leads.
An efficient sales funnel introduces a product to users and leads several customers to purchase. An advanced Fintech marketing strategy helps to create interaction scenarios with each type of customer to guide them through the sale until they buy a product.
To acquire its first 100 customers, a company must use a proven fintech marketing strategy. So, here are five ways to acquire new customers:
1. Use personalization to communicate with your target audience
According to Epsilon80% of users prefer brands that offer personalized services.
Project initiators must remember that all customers are unique, tailor software solutions to specific purposes, and personalize marketing messages. Specialists interview users to find out their problems and segment them into groups.
This division of the target audience will help to build more personalized communication with customers. Powering fintech startup marketing with AI allows you to create targeted text messages and product/service recommendations.
Related: Launching a Fintech Startup? Here’s how we built ours
2. Convince customers with strong words: Build a content promotion strategy
When users look for software solutions to financial problems, they search the Internet. By entering keywords, they find relevant material. Marketers can use people’s desire to learn more and compare apps to build a content promotion strategy.
The most important thing is to find keywords that answer customer concerns and create useful content. Write an article comparing different services and positively publicize the benefits of your financial software. Create a top investment apps list that lists your product. Tell a story of a customer who fixed a problem with your app and describe its functionality.
Various content will encourage potential customers to try a free version of the product, sign up for a demo, or buy a discounted plan.
3. Provide the visual component of a Fintech app
Many studies confirm that product branding has a direct impact on the decision-making process. Navigation, colors, styles and focus on customer values determine whether people buy a digital product.
Everything is important: the message of the text, the font size, the distance between elements and the color of objects. The right combination of these encourages customers to take targeted actions.
Engage experienced UX/UI designers with knowledge of key psychological principles when creating a landing page. They place priority buttons so that users can easily find and click them. An advertised object must reference a call-to-action element.
4. Make gamification in financial software your trump card
Gamification has caught the attention of non-gaming app makers. According to Yu Kai Chou, customers feel successful when using apps. This mechanism works just like psychological triggers, making it easier to deal with serious financial programs.
Gamification can become a lead magnet. Customers would certainly be interested in a Fintech platform integrated with a fitness tracker. A bank can give an interest rate of 3% for meeting a fitness goal of 10,000 steps. An offer of investment education in a simulated environment also sounds appealing.
By cleverly advertising game features of financial products (avatars, quizzes, rewards, infographics, etc.), you surprise customers and win new customers.
Related: 6 great content marketing examples for fintech startups
5. Use Referral Fintech Marketing
In 2012, Nielsen found that 92% of people trust word of mouth more than traditional advertising when making purchasing decisions. The situation has not changed: Nine out of 10 buyers rely on reviews from their friends, acquaintances and other users.
Use referral marketing to reach the target of 100 customers faster. It is a powerful mechanism for acquiring new customers. Ask your first users to share positive impressions about your brand with their acquaintances, and offer them a nice bonus (a monetary reward, an individual discount, etc.) in return.
Engaged customers will tell a story about the value of a product/service better than a marketer. They reveal the benefits of the brand from the user’s perspective. Take a short survey to find out what rewards your customers want. Work with them until you have the right number of loyal customers.
It won’t be easy to get your first 100 customers, but we’ve brought you five of the most effective ways to do it. Start small, test ideas and use different combinations of marketing Fintech activities. Through trial and error you discover a working formula for success.
