Marketing strategies for online lenders

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Date: 22 July 2021

Bag of money labelled loan on a laptop

The onset of COVID-19 has had a severe impact on the global economy. As the health crisis goes on, business owners around the world continue to struggle. To survive, they need to understand how to manage sales and branding and comply with the restrictions and regulations governments are enforcing to manage the pandemic.

Businesses, like online lending platforms, should adopt dynamic strategies to withstand the situation until the worst of the crisis is over. Online lending services are better placed to navigate the situation since all the processing and transactions are done online.

Utilise SEO

SEO helps small company owners develop efficient, stable, and accessible websites that rank higher in search engine results, bringing more potential customers to their sites and ultimately increasing conversion rates.

While funds are limited, it's not essential that you spend large sums of money on paid advertising. In fact, many firms have retained a greater profile without spending too much by using SEO.

The goal of SEO is to improve qualified traffic rather than generate website traffic. This means those users who do find their way to your website are more likely to want to know more about your product or service.

Many online lending platforms are looking to expand during the pandemic. Some think that spending money on SEO is risky. However, search engines employ advanced algorithms to offer the exact results people are looking for. As long as you provide useful content, you can certainly compete against your fellow online lending platforms and even larger ones.

Paid advertising stops operating as soon as you pull back your money. On the other side, SEO will continue to bring visitors to your lending platform as long as you've developed a solid SEO strategy.

Empathise with your customers

Be empathetic, sincere, and considerate when interacting and connecting with clients - especially during the pandemic when customers may be experiencing financial or emotional distress. Companies can establish a foundation of goodwill and sustainable emotional relationships with the customers by actively showing empathy and care throughout this crisis.

For instance, businesses with a physical presence can promote less physical interaction by offering free home delivery, putting physical-distancing markers in the shop, and offering contactless delivery options.

Online lending platforms can expand their payment options. Paying by credit card has been an option for years. Cashless transactions are available on all online lending platforms. However, while possible, it's difficult without a bank account. Offering mobile wallets that don't require clients to link their bank account as a payment option can be an excellent way to show your empathy towards your customers without bank accounts.

Practice email marketing

Email marketing allows lending platforms to inform their email list subscribers about new loan products, promotions, and other services. It can also be a means of educating your clients about the value of your brand.

Nearly 50% of individuals tend to open an email with an interesting subject line. This means you have the chance to capture people's attention by being creative with your subject lines.

In addition, 85% of consumers claim that they prefer to open personalised mails. With a personal email message, you can expect to increase customer loyalty. For maximum effect, personalise both the subject line and the body of the mail.

Level up on social media

As a brand, you must sell your loan products through numerous digital channels such as Facebook, Twitter, and Instagram. Many businesses were using these platforms before the pandemic. However, since the pandemic people interact with online ads more frequently because they are spending more time on social media platforms and mobile devices. With advertisements, the online presence of your business is boosted, attracting more potential customers in the future.

During COVID-19, social media has become a refuge to consumers, especially those who are in isolation. Social media allows lending companies to reinvent how they engage with current and new customers, providing a better experience and stronger customer loyalty.

Using hashtags can be very effective. Make your own hashtags and have fun with them. Add them to every post you publish. But more than that, invest in your visual content. Many consumers are attracted to the graphics before the caption or copy.

To boost your audience engagement and brand image, you can regularly publish posts, conduct online contests, use paid advertisements and sponsored posts, and promote limited-time loan offerings. Facebook advertising, for example, is relatively affordable for online lending businesses. Moreover, it can help you highlight any updates like loan promotions or deals you may be offering exclusively during the pandemic.

Final thoughts

The world will continue to experience the effects of COVID-19 for the foreseeable future, putting more financial strain on those whose income has been affected by it.  Accessible online lenders are in a position to help these people. They can borrow money to help them manage emergency expenses or cash flow difficulties, quickly, easily and without any hassle. To reach more potential borrowers, lending businesses should continue to explore flexible marketing techniques that can still be applied even after the pandemic's over.

Copyright 2021. Featured post made possible by Sally Trase of Start Grid/Searchtides for CreditNinja.

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