3 ways FinTechs are missing the mark, with marketing.
Not enough time, people or resources, yet it all must get done.
No wonder #FinTechMarketing has nearly 80% of business owners shaking their head in dismay, and less than 20% pouring a Red Breast to celebrate a successful campaign.
All of us are on board with be better and do better. But, when it comes to the mystery of marketing, where does one (with zero time, people and cashflow) even begin?
As we get stuck into the 3 bigger ways #FinTechs are missing out with marketing, there is a random one that I’ve seen only a couple times in the last 5 years, but is by far one of the most dangerous and costly.
It is this; to bring in a marketing resource, and then Wash. Your. Hands. Of. It.
Business Owners of the world, who shudder at the thought of touching marketing, let alone, getting up close and personal with it; this is not cool, or responsible, or smart.
Right, 3 ways FinTechs are missing the mark, with marketing.
1. Commercially grown-up marketing, or bust!
If you are not anchoring your #FinTech marketing efforts, firmly inside commercial targets 12-mths out, you’re hamstringing yourself before you rock up to the starting line.
A grown-up Marketer will insist on knowing your incremental revenue targets 12-months out. Here’s why.
Your 12-month, incremental revenue target tells me almost 60% of your marketing strategy.
Let’s use an example to illustrate the point. FinTech_A has a revenue target of €600k over the next 12months. In this example, that means April 18 through to March 19.
Marketing insight one: your marketing budget.
Your marketing budget for the year is €60k spread across the year.
Consider that, 10% of your total revenue, amortised over 12-months is your required marketing budget. That means, if you want >€5m in incremental revenue over 12-months, and you would struggle to find 25k to invest in marketing in that year, then chances are, you’re living more in a fantasy, and less in reality. Although, nothing that a wee bit of clarity can’t resolve.
Marketing insight two: size of your marketing effort this year.
The average transactional value of a client over 1 year is needed. In this example, let’s say that value is €100k.
There is a Buy:Ratio – 1:20. It states that for every 20, perfect-for-you-clients that you get in front of - 1 will buy you. (Where did that come from? Us, doing this for 100 years. Turns out when you focus on fixing one problem over 100 years, you get to see a few patterns yourself.)
So in our example, a €600k target, means a €60k marketing budget to locate 6 clients who each buy a €100k widget.
The size of our marketing plan is then 1:20 or 6: 120. That means, we want to put you in front of 120 perfect for you clients in order to get 6 to buy you. Of course, this is calculated for a 12-months period.
If we break it down further, (keeping numbers whole), we find that we want marketing to be a freaking wizard at doing the following:
40 prospects per quarter
14 prospects per month
4 prospects per week
1 prospect per day
How do I know this? I’ve been doing this for 100 years. I’m specialised in working with business owners, who have a marketing dept. of one – and doing this for so long, means you get to spot the odd pattern or two.
2. Manufacturing momentum is different to maintaining momentum
I get that you’re proper busy, and sometimes, being present to an idea or concept that lives outside of your bubble is almost impossible to do.
However, when it comes to marketing your #FinTech, I would implore you to give this 30 seconds to sink in.
The 5 phases of momentum:
1. Motivated to find Momentum:
“I’m finally in enough pain, that I’m going to go figure out how to start turning the ship towards the possibility of momentum.”
2. Manufacturing Momentum:
This means going from ground zero to 1. This is about complete clarity of the next 12-months, and a set of tools in place with which to build your launching pad. In our experience, this is a 16-week timeframe.
3. Maintaining Momentum:
We’d typically see words in here like farming. The chaos cleared, the machine was built, and we proved it works. This phase is about ensuring the production levels organically climb from 1 to your first 10 clients. This can be an 8 to 16 week block.
4. Maximising Momentum:
When you have done this, doors are open and opportunities are made available; kind of like having 6-months liquidity in the bank. When you don’t have it, it usually costs you far more than zero in missed opportunities.
5. Monetising Momentum:
This is where your marketing cost center, starts to pay for itself, before it washes itself, before it becomes a profit center. I’m not kidding. I’m doing this already with one client.
If you’re about ready to manufacture some momentum, and you’re not quite sure how to go about that, we’ve got a free 90-minute bespoke-to-you, workshop for that.
3. 16-weeks is the new one-off email
There are campaigns and there are tactics.
There is your audience in inertia, and there is your audience in flow.
There is a one-off email, and there is a 16-week strategic plan of attack.
All I ask is that you are mindful there is a difference and don’t confuse an email newsletter, as a freaking marketing campaign. It’s not!
A marketing tactic is a lot like a reaction.
It’s an unconscious, unplanned, unleveraged one-off kick.
Now, I’m not going to stomp my foot and get all hand on hip, on my horse here, but come on? A one-off tactic is barely going to nudge your inert audience to do anything.
Sure there is a place to be tactical in certain situations, but dismissing tactical marketing attempts as failures because it didn’t meet the expectation of a calculated, strategic plan of action, consistently applied over 16-weeks, warrants a smack with a tuna-fish.
A marketing campaign is one of 3 fundamental building blocks for leverage.
It is consciously planned and devised to maximise the best possible outcome while ensuring it sets up the marketing idea due to come right after. And if it’s under our watch over at Teach a Brand to Fish, it will be consistently applied over three sets of 4-weeks, before we return to you the makings of a marketing machine.
For us, the 16-weeks almost always plays out like this:
Weeks 1 to 4:
Commercial Clarity, Market Research, Brand Refresh, Website, Sales Funnel, Sales Collateral, Online Presence.
Weeks 5 to 12:
We’ll run a 4-week campaign, that we optimise in real time, back-to-back until your campaign has run its’ full 12-week course.
If you fancy a conversation over posh coffee, then you’re cordially invited to rock up to our offices in Rathmines and do just that.