The bulk of banks and credit unions allocate between 30% and 50% of their marketing budgets to acquiring new customers/members. Another 20% to 40% is devoted to onboarding, upselling and cross-selling, while the balance (10% to 30%) goes toward other initiatives.
42% of financial institutions say they spend between 30% and 50% of their budget in broadcast and offline media channels (e.g., TV, print, radio). 8% say they don’t spend anything in offline media anymore. Half of all survey respondents say they have no intention to make any changes to their broadcast media budget in 2015, while 17.3% say they will increase their investment slightly and 7.3% will increase their TV/radio budget by as much as 20%.
While most financial marketers say they intend to cut back on print advertising, investments in direct mail and database marketing are expected to increase significantly. Only 15.1% of banks and credit unions say they will reduce efforts in this area, while 46.9% say they will be increasing their budgets up to 20% or more.
The typical bank or credit union plans to put about 20% to 30% of their marketing budget towards online media, including web advertising, social media and SEM. Meanwhile, financial marketers are making modest investments in the mobile channel, with slightly more than half saying they will allocate between 10% and 20% of their budget in this area in 2015. Online advertising, search engine marketing and email marketing are the top three digital marketing channels seeing the sharpest budgetary increases in 2015.