The Rise of Experiential Marketing in Financial Services

The Rise of Experiential Marketing in Financial Services

As content marketers working in the financial services industry, we need to stay on top of the many marketing changes happening in our industry, and in others.
 

One of the big changes taking place outside financial services is the rise of experiential marketing. Let’s explore experiential marketing: what it is, what one company has done very well as well as taking a look at what a financial services firm could do.

What is experiential marketing?
 

Sometimes it’s called engagement marketing or participation marketing, and there’s a good reason for that. Experiential marketing is a very hands-on approach to marketing. It takes place right in front of the consumer – on a street corner, at an event or anywhere consumers might be. But it’s not the same as giving away samples in front of a train station. Experiential marketing is interactive and provides a real experience between the consumer and the brand.

To get a better idea of what this means, let’s look at an example from the retail industry.

The Molson Canadian global beer fridge
 

There’s a good chance you’ve seen these commercials. A crowd of Canadians gather in a public space, drawn in by the sight of a Molson Canadian beer fridge. They’re looking confused and wondering what this beer fridge is doing in this particular space. After all, it’s a spot they’ve likely walked by many times before – and there’s never been a beer fridge there before.

As members of the crowd chat with each other, they slowly realize that the fridge is waiting for people to say “I am Canadian” in different languages. Working as a group, the crowd finds many people who speak different languages, and each steps forward to say “I am Canadian” in their own way. After the 10th language is spoken, the beer fridge open, and it’s free beer for everyone! (Adults only, of course.)

Not surprisingly, the crowd cheers and looks genuinely excited. Although we weren’t there personally, we’d be willing to bet that nobody in that crowd will ever forget that experience. And that, right there, is the definition of experiential marketing.

And for the rest of us witnessing the magic through commercials only? We didn’t have the same hands-on experience, but this is still a memorable campaign. We didn’t get free beer, but we certainly get the message about living in a wonderfully multi-cultural society.

The lesson for financial services
 

As a financial services marketer, the information you provide to customers is important. But for it to have a real impact, it also has to be memorable. Set aside the brochures and product information sheets for a moment and think about how you can create a real experience for your customers – an experience they’re not likely to forget any time soon.

One idea could be to go to an event where you know investors will be and set up a gaming station. Invite investors to play a game where they can choose different financial paths and see how their choices affect their future. For example, a player who hasn’t started saving for retirement can choose an amount to start saving now or to put off saving for 10 years so they can focus on eliminating their debt. They could choose to spend their tax refund on a vacation or on an extra mortgage payment. They could choose, for example, to prioritize retirement savings over saving for a child’s education.

With each path chosen, the player should be able to see the impact of their choices and what might happen if they made a different choice. The reward for playing could be something that ties into the game, like a complimentary session with a financial planner.

Keep in mind that many people like to keep their financial lives private. You may want to skip the crowd aspect of the Molson Canadian beer fridge campaign and create an experience that engages customers one-on-one.

Andrew Broadhead
Marketing
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Andrew Broadhead is Communications Manager at Ext. Marketing Inc., where he creates content that helps financial services firms engage their customers and prospects. Andrew’ ... Click for full bio

China's Push Toward Excellence Delivers a Global Robotics Investment Opportunity

China's Push Toward Excellence Delivers a Global Robotics Investment Opportunity

Written by: Jeremie Capron

China is on a mission to change its reputation from a manufacturer of cheap, mass-produced goods to a world leader in high quality manufacturing. If that surprises you, you’re not the only one.


For decades, China has been synonymous with the word cheap. But times are changing, and much of that change is reliant on the adoption of robotics, automation, and artificial intelligence, or RAAI (pronounced “ray”). For investors, this shift is driving a major opportunity to capture growth and returns rooted in China’s rapidly increasing demand for RAAI technologies.

You may have heard of ‘Made in China 2025,’ the strategy announced in 2015 by the central government aimed at remaking its industrial sector into a global leader in high-technology products and advanced manufacturing techniques. Unlike some public relations announcements, this one is much more than just a marketing tagline. Heavily subsidized by the Chinese government, the program is focused on generating major investments in automated manufacturing processes, also referred to as Industry 4.0 technologies, in an effort to drive a massive transformation across every sector of manufacturing. The program aims to overhaul the infrastructure of China’s manufacturing industry by not only driving down costs, but also—and perhaps most importantly—by improving the quality of everything it manufactures, from textiles to automobiles to electronic components.

Already, China has become what is arguably the most exciting robotics market in the world. The numbers speak for themselves. In 2016 alone, more than 87,000 robots were sold in the country, representing a year-over-year increase of 27%, according to the International Federation of Robotics. Last month’s World Robot Conference 2017 in Beijing brought together nearly 300 artificial intelligence (AI) specialists and representatives of over 150 robotics enterprises, making it one of the world’s largest robotics-focused conference in the world to date. That’s quite a transition for a country that wasn’t even on the map in the area of robotics only a decade ago.

As impressive as that may be, what’s even more exciting for anyone with an eye on the robotics industry is the fact that this growth represents only a tiny fraction of the potential for robotics penetration across China’s manufacturing facilities—and for investors in the companies that are delivering or are poised to deliver on the promise of RAAI-driven manufacturing advancements.

Despite its commitment to leverage the power of robotics, automation and AI to meet its aggressive ‘Made in China 2025’ goals, at the moment China has only 1 robot in place for every 250 manufacturing workers. Compare that to countries like Germany and Japan, where manufacturers utilize an average of one robot for every 30 human workers. Even if China were simply trying to catch up to other countries’ use of robotics, those numbers would signal immense near-term growth. But China is on a mission to do much more than achieve the status quo. The result? According to a recent report by the International Federation of Robotics (IFR), in 2019 as much as 40% of the worldwide market volume of industrial robots could be sold in China alone.

To understand how the country can support such grand growth, just take a look at where and why robotics is being applied today. While the automotive sector has historically been the largest buyer of robots, China’s strategy reaches far and wide to include a wide variety of future-oriented manufacturing processes and industries.

Related: Smooth Tomorrow's Market Volatility With a Smart Approach to Robotics & AI

Electronics is a key example. In fact, the electrical and electronics industry surpassed the automotive industry as the top buyer of robotics in 2016, with sales up 75% to almost 30,000 units. Assemblers such as Foxconn rely on thousands of workers to assemble today’s new iPhones. Until recently, the assembly of these highly delicate components required a level of human dexterity that robots simply could not match, as well as human vision to help ensure accuracy and quality. But recent advancements in robotics are changing all that. Industrial robots already have the ability to handle many of the miniature components in today’s smart phones. Very soon, these robots are expected to have the skills to bolster the human workforce, significantly increasing manufacturing capacity. Newer, more dexterous industrial robots are expected to significantly reduce human error during the assembly process of even the most fragile components, including the recently announced OLED (organic light-emitting diode) screens that Samsung and Apple introduced on their latest mobile devices including the iPhone X. Advancements in computer vision are transforming how critical quality checks are performed on these and many other electronic devices. All of these innovations are coming together at just the right time for a country that is striving to create the world’s most advanced manufacturing climate.

Clearly, China’s trajectory in the area of RAAI is in hyper drive. For investors who are seeking a tool to leverage this opportunity in an intelligent and perhaps unexpected way, the ROBO Global Robotics & Automation Index may help. The ROBO Index already offers a vast exposure to China’s potential growth due to the depth and breadth of the robotics and automation supply chain. As China continues to improve its manufacturing processes to meet its 2025 initiative, every supplier across China’s far-reaching supply chains will benefit. Wherever they are located, suppliers of RAAI-related components—reduction gears, sensors, linear motion systems, controllers, and so much more—are bracing for spikes in demand as China pushes to turn its dream into a reality.

Today, around 13% of the revenues generated by the ROBO Global Index members are driven by China’s investments in robotics and automation. Tomorrow? It’s hard to say. But one thing is for certain: China’s commitment to improving the quality and cost-efficiency of its manufacturing facilities is showing no signs of slowing down—and its reliance on robotics, automation, and artificial intelligence is vital to its success.

Want all the details? Download the ROBO Global Investment Report - Summer Brings Best ROBO Earnings in Six Years or visit us here.

ROBO Global
Robotics and AI
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ROBO Global LLC is the creator of the ROBO Global® Robotics and Automation Index series, which provides comprehensive, transparent and diversified benchmarks representing the ... Click for full bio