INSIGHT

Turbulent market conditions. Competition. The rapid evolution of customer needs. And, most recently, staffing shortages. These are monumental challenges that your marketing team is facing. If, like most community banks and credit unions, your marketing department is staffed with generalists, it may be time to consider a different approach. Galapagos offers outsourced marketing services for community financial institutions. Outsourcing is a cost-effective solution to engaging the expertise and resources you need to maximize your marketing spend and boost competitiveness. Whether it’s specialized expertise for a one-off project or the resources needed to manage every detail of the annual marketing plan, we deliver the right team and a solution that works.

STRATEGY & EXECUTION

For The State Bank, a Galapagos client in the Midwest, outsourced marketing has played a key role as the bank has come to rely on our specialists as an extension of its marketing team. Galapagos works closely with the management team from The State Bank to establish a clear strategic direction for its marketing. An annual marketing plan and budget is developed which supports both the strategic initiatives and the day-to-day tactical needs of the bank. The approach also allows the flexibility to pivot when market or competitive opportunities arise. This year, for example, we have supported the bank’s teams through a recent acquisition and the conversion to a new online and mobile banking platform.

The benefits of outsourcing marketing functions are numerous. Because this engagement places a team of experts at The State Bank’s fingertips, they are able to save in corresponding payroll expense. There is no costly learning curve typically encountered with advertising agencies who don’t know the banking business. A greater level of consistency and professionalism has been established across all marketing activities and customer touchpoints. Detailed tracking and reporting demonstrate the impact of marketing and underpins a new ethos of accountability. Marketing initiatives are not delayed or dropped because of increased demands on bank staff’s time.

MANAGEMENT

And the work is paying off: In 2019, Galapagos redesigned the bank’s brand to convey the expertise and approach of a billion-dollar bank and repositioned the bank for long-term growth and entry into new markets. Since then, the bank has experienced a 15% increase in brand awareness in its legacy markets. It entered a new market in 2020 and saw the office grow to $98 million in 15 months. The likelihood of customers recommending The State Bank has increased 16% and their propensity to purchase the bank’s products has also increased:

• 14% for checking accounts

• 16% for mortgage

• 13% for financial advice