The Systematic Path to Growth

Our client, a $3+ billion financial holding company with over 70 banking offices in the Southeast, came to us with a need to grow deposits. Splawn & Ward created and managed an ongoing cross-selling campaign designed to grow both customer relationships and total deposits.

A Specific Need; a Unique Plan

Strategically, our client wanted to expand their loan portfolio in a booming economy. They needed additional capital to fund new loans, so they hired Splawn & Ward to help increase retail deposits. As a secondary goal, they wanted to cross-sell additional products to existing customers.

Growth. Productive and Significant.

This program, over several years, generated more than $1,000 in deposits for every marketing dollar invested. Our clients also added relationships with thousands of customers, added deposits to existing accounts and hundreds of millions in growth. The program was designed to produce a specific kind of growth; the results were both productive and a significant percentage of total deposits.

 

Insights from the Data

Analysis of customer data led us to segment our targets based on either current product ownership or certain events. We identified 16 segments based on events triggered by the customer (opening an account, a maturing CD or loan, etc.). We also identified 9 offer-based segments prompted by current product ownership.

Our analysis allowed us to offer the right customers the right offer at the right time.

From Plan to Action

We used a series of direct mail letters, with 2 offer coupons per letter. We were able to target customers with products they did not own but were predisposed to purchase.

After each mailing, contact lists were loaded into Splawn & Ward’s online Contact Management System so bankers could make follow-up contact with offer recipients. Management mandated that 90% of the list receive a personal call. Drawing from our experience, we were able to help our client identify a realistic number of customers that each sales person could call and then delivered the most attractive customers for priority calls.

Improvement through Analysis

The key to every program is to measure, analyze and adapt based on the data that the program produces. We regularly analyzed each segment to determine which were producing good results and which were not. We maintained or expanded on segments that were performing well and changed or eliminated those that were not. Perhaps the most significant lesson we learned through this program was the effect personal contact had on new account open rates. We measured and reported which bankers were making calls and then quantified the benefit that the follow up call had on producing incremental accounts. This gave the bank’s management team the ammunition that they needed to motivate the sales force to make the calls and to enforce compliance. The results reflected the importance of disciplined measurement and reporting.