When economic weather patterns shift, and uncertainty clouds the forecast, financial institutions must reconsider their marketing strategies. Persistent economic challenges, such as inflation fatigue and fluctuating interest rates, continually shape consumer behavior. These factors create barriers for potential home buyers and borrowers, making it essential for financial brands to adapt to the current climate.

At JXM, we understand weather-related challenges and have experience helping financial brands adjust their strategies to align with the current market climate. By focusing on relevant messaging, product-market fit, precision targeting, and customer engagement, financial institutions can still find opportunities amidst uncertainty, even in times when overall consumer confidence is low.

Staying True to the Economic Weather Report

Customers value honesty and relevance, which can be reassuring in an uncertain climate. For instance, when brands show they understand the factors contributing to consumer rate weariness and inflation fatigue—such as rising living costs, stagnant wages, and general economic uncertainty—it helps customers feel recognized and reassured. Crafting positive (never fear-based) messaging that acknowledges or speaks directly to these concerns is refreshing and helps build trust among a cautious customer base reluctant to part with their funds.

For example, promoting the benefits of Home Equity Lines of Credit (HELOCs) as a more stable alternative to credit cards for significant expenses, such as replacing appliances or covering unexpected medical bills, can help consumers avoid the pitfalls of variable-rate debt. Similarly, encouraging the use of fixed-rate Certificates of Deposit (CDs) to secure guaranteed returns, rather than leaving funds in low-to-no-interest checking accounts, offers a safe option for consumers looking to protect and grow their hard-earned funds. Both examples share one thing in common: they look out for the consumer’s best long-term interest.

Be More Than a Fair-Weather Friend

To keep current customers through tough times and well into brighter days ahead, trust is paramount. Financial institutions that show appreciation for existing customers may be rewarded in kind. Rather than solely pursuing aggressive growth through new customer acquisition alone, protecting and serving an existing customer base can actually help you identify and explor new avenues for growth within it. 

Acknowledging long-standing relationships and offering personalized solutions deepens trust and helps build a protective “shelter of contentment” around current customers. Like any shelter, this one requires attention and upkeep. It’s strengthened by goodwill—through understanding individual financial situations—and reinforced by products and services that genuinely meet a customer’s needs, such as personalized savings plans or flexible loan options that account for the current economic climate.

Keeping your brand at the forefront of your customers' minds, especially those patiently waiting for mortgage rates to bottom out, will benefit your brand in the long run. When the time comes for them to refinance or buy, they will be more inclined to stay with the financial institution that looked out for them in stormy weather than turn to a new mortgage partner.

Cut Through the Fog with Precision Targeting

One thing is sure amid uncertainty—with leaner budgets and heightened competition, efficiency is key. Along with adjusting their messaging, financial brands can benefit from rethinking their targeting strategies. Instead of relying on targeting models from years past, JXM’s media team recommends employing fresh data-driven targeting strategies to maximize marketing efforts.

Leveraging AI and machine learning to identify high-potential customer segments and predict behavior can help brands allocate their marketing spend more effectively. Enlisting a media and advertising partner skilled in sophisticated stacked targeting can help your ads reach the right eyes while dramatically reducing media waste.

Data Doppler: Zeroing in with Zero & First-Party Data 

Financial institutions also benefit from continuing to invest in zero- and first-party data to ensure their marketing messages are highly relevant and targeted.

Zero-party data refers to information that customers intentionally and proactively share with a brand. This could include personal preferences, purchase intentions, or feedback provided through surveys, forms, opt-ins, and customer profiles completed during account opening. Since this data is willingly offered by the consumer, it often contains deeper insights into their desires and motivations, allowing brands to tailor their messaging with precision.

On the other hand, first-party data is collected directly from customers through their interactions with the brand’s platforms, such as website visits, app usage, purchase history, or email engagement. This data is invaluable because it is based on actual behavior and engagement, giving brands a reliable foundation for personalizing marketing efforts.

By understanding who is still spending and what they are spending on through these data types, brands can create highly targeted campaigns that resonate with specific needs, whether it’s promoting debt consolidation options, retirement planning products, and other financial services or signaling when it’s a good time for the “wait-and-see” customer to refinance.

Creating Certainty in an Uncertain Future 

While economic uncertainty certainly seems daunting, it presents opportunities for financial brands willing to pivot and innovate. Financial institutions can maintain and even grow their market share by focusing on customer-centric strategies that address how people feel amid an uncertain market and providing solutions that safeguard their finances. 

Help Your Brand Rise Above the Clouds with JXM

At JXM, we are committed to helping financial brands navigate today’s market challenges with effective and adaptable strategies. Discover how our hands-on approach, personalized strategies, and unwavering commitment to excellence can help your financial brand rise to the top.

Ready to transform your business? Click here to get started with JXM today and experience the difference.