There are over 10,000 FinTech startups registered in the United States and over 26,000 across the globe — your business has a lot of competition!
A well-planned marketing strategy can help you stand out from other startups (and established FinTech businesses) and win over your target customer.
Are you new to the world of FinTech marketing? If so, this guide was created with you in mind.
Read on to learn some common marketing mistakes FinTech startups make. You’ll also discover seven steps to creating an effective FinTech startup marketing strategy.
Top 3 FinTech Startup Marketing Mistakes
Before discussing the things you should do when marketing your FinTech startup, let’s address three of the most common mistakes you must avoid if you want your business to succeed:
Mistake 1: Trying to Cater to Everyone
In the beginning, it’s tempting to say that your business’s target client is anyone who will give you the time of day. However, if you make your marketing materials so basic that they cater to everyone’s needs and preferences, you’ll find that you’re not catering to anyone at all.
Mistake 2: Isolating Sales and Marketing
Your company’s sales and marketing teams need each other and must work together.
For example, the sales team needs to know what the marketing team is doing to bring in leads, and the marketers need to know the specific insights sales reps are picking up on when communicating with potential clients.
Mistake 3: Skipping Social Media
The serious nature of your FinTech business doesn’t mean you can’t utilize social media.
Approximately 60 percent of the world’s population uses social media for an average of 2 hours and 24 minutes per day. If you ignore social media altogether, you’re missing out on opportunities to connect with these users and introduce them to your company’s products or services.
How to Create a Better FinTech Startup Marketing Strategy
Now that you know the biggest marketing don’ts, we can move on to the FinTech startup marketing dos. Here are seven essential steps you should take to develop an effective strategy for your company:
Step 1: Focus on One Customer Segment
Initially, focus your marketing materials on one segment of your target audience.
Think about whom you want to reach. Then narrow it down to identify the segment that will benefit the most from your product or service.
Let’s say you’re promoting a beginner-friendly investment app.
Generally, you probably want to reach anyone interested in learning about investing. That’s still a pretty large group, though.
Maybe you’ll narrow it down to young professionals who are just starting their careers and want to make intelligent decisions with their salaries.
By targeting this smaller group, you can make a name for your company as the best one for young professionals who are new to the investment world. Later, as word of your product spreads, you can start branching out to reach new segments of your target market.
Step 2: Choose One Distribution Channel
In addition to choosing one customer segment, it’s also helpful to choose just one distribution channel.
Depending on your target audience, you may decide that it’s best to promote your business to your ideal customers directly (this is known as a direct distribution channel).
Conversely, you might also choose to cater to businesses that will then promote the product to their customers or clients (this is known as an indirect distribution channel).
Step 3: Execute 1-2 Tactics Well
Another problem with trying to cater to everyone with your marketing strategy is that you’ll likely get overwhelmed by all the different marketing tactics you need to use to reach those people.
Who can keep up with a blog, YouTube channel, podcast, as well as profiles for Facebook, Instagram, TikTok, LinkedIn, Twitter, and Snapchat?
Luckily, you don’t have to.
Instead of spreading yourself thin trying to establish a presence everywhere, focus on executing 1-2 marketing tactics well.
Choose your business’s tactics based on the segment of your audience you want to reach. For example, young people are most likely to be using Instagram and TikTok, so it will pay (literally) to make marketing on those apps your priority.
Step 4: Test, Don’t Guess
Experiment with different post types, formats, writing styles, etc., to see what resonates most with your audience. Pay attention to how people respond to these tests, too, so you can make informed decisions for the future.
Step 5: Monitor Metrics Carefully
It’s not always easy to tell what post type performs the best just by looking at likes and comments (although those metrics definitely matter). Monitor other valuable metrics like shares, saves, and video completion rates, as well as demographic data like audience location, gender, and age range.
Step 6: Repeat What Works, Discard What Doesn’t
Use the results of your tests and careful metrics monitoring to identify what works and what doesn’t. Then, refine your marketing plan based on this information. Repeat the tactics that work and stop spending time and resources on the ones that don’t.
Step 7: Work with Professionals
FinTech startup marketing can be challenging and time-consuming, especially when you’re working with a small team, and everyone is already wearing multiple hats.
If you’re overwhelmed by the idea of creating and testing a marketing strategy, don’t do it alone. Reach out to professionals for help setting goals, creating content, and monitoring outcomes.
Outsourcing gives you more time to dedicate to other aspects of your business and helps you see results from your marketing efforts sooner.
Improve Your Startup’s Marketing Strategy Today
As a business owner trying to stand out in the FinTech sector, you need every advantage you can get. That’s why we put together this guide.
The seven steps shared above can help you create an effective strategy that produces results and can easily be expanded as the company grows.
Do you need professional input on your approach to startup marketing? If so, fintech marketing agencies can be a great way to supercharge your impact.
Contact Fintech Cotent today to get started!