5 Best Practices to Help Financial Institutions Follow Compliance Regulations
BY BLUERUSH | PERSONALIZED VIDEO
Video is taking a bigger role in marketing plans, the value of video marketing technology is indisputable. 80% of video marketers say video has directly helped increase sales, and 95% of video marketers plan to increase or maintain video spend.
As we shared recently, due to heavy compliance regulations financial institutions wanting to maximize the full potential of personalized video have additional challenges specifically geared toward financial marketing compliance.
Although many are starting to use video in their marketing plans, many financial services marketing, and compliance teams are worried about getting it right. It’s a tightrope walk to ensure the complex array of legislation, is respected when communicating with prospective clients or existing customers over digital channels. Here are some compliance best practices to help.
1. Truth in video marketing: Be clear, concise and honest.
It’s easy to oversell a claim or describe your latest product in overly enthusiastic terms. However, providing false information or withholding information about products or services should never happen. Making false or unsustainable claims not only violates the unfair, deceptive, or abusive acts or practices (UDAAP) provisions of the Dodd-Frank Act, it also goes against the requirements of numerous other consumer protection laws.
To prevent this, Marketing teams should offer information customers actually want in a format that is compliant, concise and clear.
And when you strike the right tone with your customers from the get-go – that you have their best interests at heart– trust forms naturally.
2. Be consistent and easy to follow.
To get the biggest reward from your personalized video messaging campaign, prioritize consistency. Legal compliance fosters a discipline in marketing teams that carries over to style, story, language execution and monitoring across an entire campaign. By focusing on compliance and brand, businesses strengthen brand identity and generate trust with clients and customers that discourages churn and encourages conversion.
3. Leverage video marketing tools.
No one expects banks or FIs (financial institutions) to be experts in video production. Instead seek out the expert marketing tools and video platforms that make production, publishing, and measurement of personalized video messaging communication EASY.
The right tool can help you deal with all the compliance issues for approval, retention, and supervision of video content. By providing a templated and automated compliance review system, your platform removes bottlenecks and the laborious work of creating individual personalized messages.
This also avoids the possibility of ‘off-message’ communication. You can create more higher quality videos without drastically increasing staff time usage, training, and cost.
4. Sell to all customers.
More videos mean more selling opportunities. But marketing and compliance review teams still have to make sure they include all the information and disclosure documentation required by law when sending videos, emails, and other outbound communication.
Whether it’s a checking account, loan or other financial product, legislation requires that customers get all the necessary information on what they are being offered. This often means that messaging has to include a lot of details. Video messaging makes it easier to communicate large amounts of information in a digestible format that not only saves time and energy, but that also encourages customer connection and trust. While you’re providing ALL the information, remember to include ALL your customer types. Pick images and graphics that include a variety of ages, races, and genders. This helps ensure your marketing complies with fair lending regulations and keeps customers feeling like you are connecting with them on a personal level.
5. Measure and Optimize.
One of the best ways to ensure ROI – is to constantly measure and analyze user response data. Customer feedback and conversion rates, for example, provide marketers with the information they need to tweak and adjust campaigns to limit churn, achieve targeted results, and succeed at video marketing.
Analytics and a marketing feedback loop are key to help marketing and compliance teams determine what content to distribute, when, where, and how often.
Financial Marketing Compliance – You can make it happen!
By following these best practices, banks and Financial Institutions can maximize the possibilities of video messaging technology, limit costs, and make the task of legal compliance easier.