Updated: Jun 14
Digital marketing has grown in size, significance and relevance over the years. There are a number of 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
Cost per lead
Online conversion rates
Lead conversion rates
Customer lifetime value
These are just a few popular examples of digital marketing metrics used by fintech businesses and technology businesses alike.
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. Taking a look at a few of the 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 towards 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 is 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% leads increase. If the CTA is an informative free guide or e-book this will contribute to higher leads 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 place a large emphasis on 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 by 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 many times the brand has been mentioned by users.
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 in order 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 in order to grow their business and gain market share. Companies can test and optimise landing pages in order to improve traction and build on the aforementioned key metrics.
Fintech like any other area of technology is constantly on the search for new business within the digital realm. However due to the standard fintech business model, whether it be B2C or B2B, customers can be a lot more lucrative than in other sectors, (say e-commerce for example). A customer who might use a financial product or service is typically going to need to be educated and convinced perhaps more than he/she or a business would, when engaging in more simple online transactions. It is for this reason that the previously mentioned metrics remain imperative and will continue to remain imperative for the future success of start-ups, scale-ups and corporates within this industry.
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