Novel Means of Advertising Bolsters BFSI SectorMarch 14th, 2012 | Posted by in Articles and Opinions
With a view to encourage financial inclusion and to pursue financial security of the masses with insurance schemes, numerous BFSI players whether private or public, are leaving no stone unturned to attract rural customers.
To this end, the BFSI sector is said to have some of the largest ad spends among all sectors in niche areas like online display ads and text message advertising. With an expanding internet user-base and penetration of mobile phones, there is increased emphasis on modes like internet and mobile advertising.
The fundamental factors fueling the popularity of online advertising among BFSI players are the rise of social media and a boom in e-commerce and online retail. Some attractive and novel viral ads of IDBI Fortis are among those that made the best use of this opportunity. Statistics from Google India expect the size of Indian internet advertising to reach $1 billion by 2014, to give considerable competition to print media.
However, a new trend suggests that with increased penetration of internet in India, Indian users are now expecting more vernacular and pertinent communication. A survey, Ozone Media Performance Users Study, conducted by Ozone Media last year discovered that internet advertising in regional languages like Tamil, Telugu, Hindi and Malayalam create greater impact than those in English. Vernacular ads received 30% better response than English.
Thus, it is clear that conveying a message in the customer’s tongue or by considering their cultural/regional nuances, advertising can build an effective bond, leading to a conversion. With a view to put this idea to good use, State Bank of India (SBI) undertook a ‘Home Loan Take Over Campaign in Rest of Maharashtra’ by signing on Vritti i-Media.
Through an audio campaign at 20 district-level ST bus-stands that lasted 20 days and with a single newspaper advertisement, they were able to generate enquiries worth Rs 550 crore. In response, SBI decided to extend its partnership with Vritti i-Media to 80 locations and by a year. By means of messaging that conveyed how loans can be availed and repaid on time, SBI was able to address its problem of non-performing assets arising from non-payments.
Similarly, the company’s digital signage-based outdoor advertising at restaurants and food malls on highways was able to create considerable recall and appreciation for SBI’s car and home loan ads. Being easy to grasp and catchy, it was remembered by an estimated 62% of people present at the food malls.
Though the BFSI market size is huge in India, the actual customer base is low. Thus, efforts to encourage savings among rural people that earn seasonal incomes are paramount. To reach an audience that is barely literate, lives in relative media darkness and has several apprehensions with respect to banking and finance, conveying a simple message in their native tongue is an apt way to build a connect. By employing below-the-line ad activities such as those discussed above, BFSI can create tremendous impact.