Marketing Goal
Increase low-cost core deposits by increasing the number of commercial checking accounts and building relationships with this profitable segment.
Target Market
Starting with existing customers, WordCom would receive a list of all current commercial customers who do not currently have a checking account. The targeted mailing list for new prospects could be rented for multiple-use, with phone numbers where available, and would consist of businesses that are selected by specific sales volume (small, medium, and/or larger businesses) in a defined market area. Businesses can also be selected by industry type, or conversely, certain sectors can be excluded (using SIC code designations). Market areas can be assigned to specific calling officers by zip code (or other geography) and their name/phone/fax/email info can be used in the mailings.
Program
Since the business owner/executive is the most challenging prospect to reach, the bank needs to develop an on-going program that is a combination of mailing and telemarketing that will directly support the efforts of the bank’s commercial calling officers.
- The Message: Existing customers should have their relationship acknowledged and new prospects should be told of the convenience and local roots of the bank. All communications need to be quick and to the point, since business people typically scan their incoming mail for something that may be of interest/value to them.
- Timing: This should be viewed (like retail checking) as a year-long, ongoing marketing program. The same business prospects should be mailed to multiple times over the course of the year.
- Mailing Package: Customers should receive a personalized letter package, and the business prospects should receive an attractive and cost-effective four-color postcard or self-mailer.
Results
This challenging market will yield low numbers of new accounts, but has potential for significant account balances. Response rates for new account openings among prospects could range from .3% to .8%, with double the openings for existing customers.