Author | Chatmeter TeamDate Posted | January 8, 2020

The Local Brand Report: Reputation’s Role In Financial Services

As leaders in local search, Chatmeter has become known for our industry reports where we look at how some of the biggest brick-and-mortar enterprise brands in the US perform online. In our commitment to educating various industries about local brand management and helping them to improve the customer experience and ultimately scale their business, Chatmeter is now analyzing the financial services industry.

The financial service industry has gone through some pivotal changes in the past few years, migrating towards more digital financial solutions. This report examines the current state of the online presence and reputation of the physical locations belonging to 30 financial service brands. The goal of this report is to bring light to the digital reputation of local financial services. We’re exploring how the hyper-focused transition towards digital has affected the in-branch customer experience, the local online visibility of a financial service brand, and what financial service brands can do to better listen and engage with their customers in an effort to tailor their offerings towards solutions that better suit their customer needs.

Our Process

To capture the scope of the financial services industry, we took multiple lists of financial services companies across all micro-industries and narrowed that down to the top 10 retail banks, top 5 credit unions, top 5 tax companies, top 5 insurance companies, and top 5 check cashing companies based on location count.

Key Findings

  • Financial Service Brands are actively updating their listings with an accuracy average of 89% in the past 3-months. Holding or improving this rate is an essential step towards earning customer trust.
  • The average review response rate for Financial Service brands is low at only 12%. When the majority of consumers expect a response to their review within 24hrs, all brands should be striving for a 100% response rate.
  • Financial Service brands have implemented review management for mobile apps but not online review management which leaves them with a limited view of the entire customer experience.
  • Financial Service brands are struggling to keep up with consumer wants and needs. Brands that choose to put customer experience first, will survive the “Age of the Consumer”.

Local Brand Visibility

In order to see a quick assessment of each brand across 3 of the key areas of local SEO, we turned to Chatmeter’s Local Brand Visibility (LBV) scoring system. A brand’s LBV score is an aggregate of the most important metrics tied to reputation, local listings, and local SEO. Customer activity levels, listing accuracy, rankings, and customer ratings all factor into the score. For the purpose of this high-level brand comparison report, we’re omitting the social media activity of the LBV score.

Listing Accuracy

In order to analyze each financial service listing, we used Chatmeter’s Listing Accuracy Report which calculates the average listing accuracy and listing presence. The report takes into consideration the number of duplicate listings, incorrect information online and how many sites each healthcare system has across 143 listing sites.

The average listing accuracy for the financial brands listed in this report is 89%. The highest category is check cashing with 95% accuracy and the lowest category accuracy is insurance with an average of 84%. Listing accuracies of this caliber show that the financial industry sees value in local listing management.

Review Response Rates

Responding to reviews is just good business practice. Taking the time to respond to reviews shows both future and current customers you care. Responding to reviews has even been shown to reduce customer churn by 15%.

Response rates among all sectors of financial services are low. Retail banks averaged a mere 2.9% response rate while the check cashing industry held the highest response rates at 33%.

Recommendations for Financial Service Brands:

#1 –  Optimize Listings For Better Customer Acquisition

#2 – Bring Local Into Your Digital Strategy

#3 –  Analyze Customer Reviews To Discover New Opportunities for In-Branch Experiences

Utilizing a local SEO and reputation management software like Chatmeter can help financial service brands optimize their online presence and improve their in-store customer experience. Adapting to customer needs and creating experiences that drive customer engagement is what will increase the lifetime value of a customer. Financial service brands who achieve this can expect to thrive in an industry where the competition is only getting stronger.