Updated: Jun 14
Digital marketing has grown in size, significance and relevance over the years. There are several digital marketing metrics that fintech’s should be looking to incorporate into their businesses to measure their marketing efforts effectively.
Popular methods of digital marketing include:
Web traffic sources and leads
Brand awareness
Cost per lead
Retention
Online conversion rates
Lead conversion rates
Click-through rates
Customer lifetime value
These are just a few popular examples of digital marketing metrics used by fintech and technology businesses.
So what are digital marketing metrics and why are they important? Digital marketing metrics are the values used by marketing teams to track the performance of their marketing campaigns. They are key drivers in determining the success of a company’s customer journey lifecycle and sales and marketing strategy overall. Looking at a few examples above, we can analyse how fintech companies are measuring their digital marketing success.
First, let's look at web traffic sources. Organic, direct and referral are three key web traffic sources. Organic search is traffic from search engines that is earned, not paid. Direct web traffic is any traffic that comes from an undefined referrer and referral is traffic that finds a website through any means other than through a major search engine. Knowing the difference between plus other traffic sources is a vital component of the success of any fintech business.
It is also important for fintech businesses to look at website traffic leads, retention, conversion rates, and lead conversion rates. Fintech businesses operate in a highly competitive market and must gauge what percentage of their web traffic is returning to the website and out of these return visitors, how many are converting to paid customers. Landing page conversion rates are a great starting point. Within fintech, it is said that if businesses have an optimised landing page with a clear call to action and a data capture plan, this will contribute to around a 2.2% lead increase. If the CTA is an informative free guide or e-book, this will contribute to a higher lead increase, anywhere from 5 - 28%.
Brand awareness is also a key factor within the fintech space. Fintech businesses, especially those operating in the B2C market, will need to emphasise brand awareness. It is important to drive positive associations around a company’s brand, sparking consumer interest and, in turn, customer loyalty. Brand awareness can be measured using metrics such as the volume of direct traffic to a website and search volume data. You can also use social media to identify how often users have mentioned the brand.
Cost is a more obvious bottom line digital marketing metric when measuring a fintech company’s online marketing performance. It is important for fintech businesses, especially early-stage startups, to evaluate their cost per acquisition. They need to understand the long term value of their customers and how much they are willing to pay to acquire those customers.
Effective content always lies at the heart of a successful tech business’ digital marketing strategy and fintech is no exception. Good content will often determine the success of an online marketing strategy.
The key metrics to look for when it comes to content are factors such as the number of new visitors to a website, average session duration, page views and most visited pages. Understanding how online visitors behave based on content is a key understanding that fintech companies must have to grow their business and gain market share. Companies can test and optimise landing pages to improve traction and build on the aforementioned key metrics.
Fintech, like any other area of technology, is constantly searching for new business within the digital realm. However, due to the standard fintech business model, B2C or B2B, customers can be much more lucrative than in other sectors (say e-commerce, for example). When engaging in more simple online transactions, a customer who might use a financial product or service will typically need to be educated and convinced perhaps more than he/she or a business would. For this reason, the previously mentioned metrics remain imperative and will continue to be imperative for the future success of startups, scale-ups and corporates within this industry.
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