What we know about the products and services we use is due to branding. Branding is the connection between the company and the customer and is vital for every business of every size in every industry.
A business’ brand is an asset with real value. It links a company’s name, logo, graphics, online presence, and products and services to the customer base. While we’re used to thinking of branding of consumer goods, it is just as important – if not more important – in the financial services industry.
Why Branding Is So Important in Financial Services
The unfortunate truth is that the financial services industry is sometimes not regarded in a flattering light, fairly or not. The good news, however, is that financial services companies that make a sustained effort to improve branding and embed branding ideals into the fabric of their organization can gain fierce consumer loyalty.
How to Strengthen Branding in Financial Services
The most important endeavor with brand-building (whether in financial services or any other sector) is building employee engagement. A spiffy new logo or new marketing campaigns mean little unless employees throughout the organization are on board with what the brand stands for, and consistently provide that to customers. Other ways financial services companies can strengthen their brand include:
- Providing strong leadership that inspires and unites employees
- Keeping channels of communication open between employees and leadership
- Ensuring the brand is relevant to the customer base
- Empowering employees to make “on-brand” decisions in their everyday work
- Hiring people who understand and are willing to practice core brand values every day
- Measuring engagement as well as traditional brand metrics like brand awareness
Excellence in Debt Collection Can Affect Brand Sentiment
You might not consider the connection between debt collection and branding, but it exists. While debt collection doesn’t enter into most customer interactions, how companies handle it influences reputation and customer ratings.
Not only must debt collection be handled with the utmost in compliance and professionalism, but it should also be driven by real data so that the best approach is used with every client. For example, some debt collection agencies offer comprehensive accounts receivable management, and when this is handled with exemplary skill and professionalism, customers are appreciative.
By contrast, financial services companies that use less reputable debt collection companies can permanently damage relationships with customers and lose some customers permanently. Debt collection may not be as prominent an element in branding as a financial services brand’s logo or marketing strategy, but it plays a role. Choosing a debt collection partner should never be an afterthought.
Building a strong brand that inspires customer loyalty takes time and consistent effort. It is about far more than choosing brand colors or planning the next marketing campaign; branding taps into every aspect of business, including employee training and engagement. No aspect of a financial services company should be left out when planning a long-term branding strategy.
If positive brand building is a top goal for your financial services company, TSI receivables invites you to learn more about financial institution debt collection.