A well-organized communication is the foundation of every efficient and transparent collaboration. During this crisis, its importance becomes immense for both employees and clients of the companies. As panic spreads across the world, FinTech is here to communicate the real damage level and debunk the myths—and to overcommunicate on this topic, if necessary.
This article has the second part: Communication Strategies for Client Retention: Best Practices
Why is communication vital for companies to survive the outbreak and stop client attrition?
The whole world is going remote, and company leadership is responsible for creating a comfortable physical and information environment during this emergency move. They can help workers form a concise idea of how to deal with each task and project, as their efficiency is endangered with a forced change. Are they all experts in remote collaboration optimization and conveying strategies? My guess is that not all of them are—and recent research proves my viewpoint. Only 8 percent of companies know how to organize distributed work skillfully, according to this study. When it comes to a massive remote work outbreak, the remaining 92 percent becomes extra vulnerable to retaining their current organization structure and velocity. The bear market only overburdens these companies, forcing them to switch to conservative or extra-conservative strategies and phase out positions because of vast client loss.
What is left off-screen?
Two other reasons for client attrition are an abrupt shift in the way clients were serviced before the crisis and a lack of information about what’s really going on. The adoption of digital services will be accelerated, although it can’t be the reason for a regress in client adoption and servicing.
A shift like this does not always mean losses and damage. Fintech is at the forefront of the crisis, helping people manage their finances and survive the situation with minimal loss. During the crisis, it’s going to play an important role in stabilizing both the information and economic spaces via extensive communication on a first-priority basis.
“The recent market volatility has thrown a curveball to many investors and highlights the importance of financial advisors’ work — especially during times of turbulence. We are incredibly grateful for the heroic role that you continue to play in helping push back against the fear every investor is feeling, and allow logic, reason, and data to drive decision making. The work that you do as a financial advisor has never been more valuable.” — Aaron Klein, CEO at Riskalyze
Too often, fear drives investors into bad decisions. What can relieve the fear are determination and solidarity, which originate from lots of communication and proactive guidance.
What communication strategy will help mitigate the crisis in Fintech?
The task for Fintechs today is to convey instructions on how clients should reach their goals during crises in the shortest amount of time. Try to walk in your clients’ shoes and you will see — every day, they are bombarded with bursts of shocking news and information (and disinformation) about virus spread, damages, ways how to avoid the disease and survive in the panic, and so on. They also receive tons of recommendations and instruction from other service companies, so they can hardly concentrate, which brings forth anxiety.
To overcome the problems described above, your strategy should have two focuses: avert panic and instruct customers concisely. Let them feel the same comfort and service that they had before the crisis and communicate the message that your service will be intact.
A few words about value
In a crisis situation, people refrain from unnecessary things. This sharpens competition between the providers of similar services as the attention spans of their customers shorten and they choose to focus on only one option. And if the services are equal, customers are likely to choose one that delivers more value.
“The situation with the virus has put all innovations on hold… We’re to retain our current clients by providing them with more value than we’ve ever provided.” — John Michel, CEO at CircleBlack
That’s why you should pay attention to your value delivery strategy as well as a communication strategy. Here are several ideas about how to make this work. One of the traditional value-added services is personalization and customized client relationship. That is actually what financial advisors do. This role is supposed to show flexibility and tech-empowered advice and prevent mass panic and economic crisis escalation.
The world we live in today will show whose priorities were worth it. We’ve seen a wide variety of different growth vectors of Fintech companies; now we’ll see whose bets pay off, whether in chatbots and communication, AI, personal touch for premium clients, or anything else.
This crisis won’t stay for long. However, it’s a stress test for an industry showing what value the world really needs Fintechs to deliver. Together we will get past every pandemic and crisis!