Effective Trigger Marketing Solutions for Retail Banks
-- Targeting Residential Movers

Today, most financial institutions view a residential mover or change of address simply as a servicing expense. However, a change of address signals a significant opportunity to positively impact profitability through increased cross-selling, focused account retention and greater product usage.

Recognizing a move as a life triggering event for the consumers' need of additional products and delivering relevant offers that meet those specific needs in an efficient, multi-channel campaign, results in significant improvement in overall portfolio performance.

Research indicates that, even for in-state movers, close to a quarter of that segment will change their financial institution relationship. In addition, industry studies show that the ninety-day period surrounding a relocation exhibits, on average, an incremental $8,000 to $10,000 in spend for homeowners and approximately $4,500 for renters.

Notification of a move represents a significant period of re-evaluation and incremental buying behavior that transcends historical data and trend analyses. A coordinated, multi-channel trigger marketing campaign for movers maximizes portfolio performance as measured by cost effective new account acquisition, increased customer retention, greater product or service usage, profitable recurring charge capture and improved cross-sell rates.

Results depend on timely delivery (within 72 hours of the initial notification) of targeted offers on services and products relevant to a mover. Speed is crucial given the impending onslaught of competitive offers and promotions generated from traditional list brokers.

Offers customized to the geographic and demographic attributes of the mover maximize response to the desired business metrics which can include email harvesting, electronic statement registration, and recurring charge capture.

Follow up by email, IVM, and text message play an essential role in effective in a trigger marketing mover engagement. Repeated attempts to add value through multiple channels breaks through "clutter" and reinforces the intimacy and privilege of an existing relationship. This approach also reaps benefits in new account marketing.

Coordinated communication strategies targeting movers can also leverage affinity and co-branded partners. Email and text message reminders that reward cardholders who visit retail or branch locations convenient to his or her new residence can effectively influence behavior.

A recent study by the Javelin Group cited a corresponding 3.0% increase in deposit balance growth with every one percent gain in customer satisfaction ratings.

Solutions are positioned to meet the specific business metrics of the financial institution, typically prioritized by ROI. Greater product utilization and cross-selling drive new revenues and profitability. Multi-channel communication initiatives that generate retail and recurring charges from recent movers exhibited 300% ROI and a six-month payback on campaign expenditure.

Example: Driving incremental traffic into Retail Bank Branches generating in new DDA and Core Deposit Accounts
Patria's targeted trigger marketing solutions have resulted in the following on behalf of retail banks:

• High Direct Mail Responses for new account acquisition from this targeted and responsive consumer segment.
• Significant percentage of customers opening more than one account when responding to Patria's offering.
• Increased retention and customer satisfaction from existing retail bank customers that have moved and been offered relevant and timely manufacturer and retailer offers that meet their immediate needs and buying patterns.
• Greater activation rates on debit and credit cards by utilizing Patria’s Partner Offer Network that saves movers hundreds if not thousands of dollars on ‘non-discretionary’ products and services such as appliances, home security systems, locksmith services, paint, etc.

Bottom Line:
Patria's proprietary SaaS technology and modeling platform provides tangible results and increased profitability on behalf of our bank clients.