Email Marketing to Online Banking Customers:
Bank of Easton

One question we are frequently asked is “Can I send an email campaign to my online banking customers, even though they have not specifically opted in to email?” Our answer is: “In most cases, yes – with some conditions.”

The intent of CAN-SPAM was not to keep businesses from communicating with their customers. In fact, with some restrictions, the law specifically allows you to contact customers with whom you have an “existing business relationship.” Most of the conditions are clear and make perfect sense; some are a bit “fuzzy.” (View the list here)

The reality is that “relationship-based marketing” not only works – it’s often welcomed by financial services customers. The secret is to keep messages informational, not just promotional. Here’s a perfect example:

Bank of Easton, a small community bank in Massachusetts, recently introduced its e-newsletter to nearly 1,000 online banking customers. Compiled with the help of its agency, Sundin Associates, the newsletter included tips about financial fraud, the local children’s museum, and the bank’s new branch being built. There was also some “soft-sell” mention of mortgages and home equity loans.

The results: an “open” rate of over 46% (recipients who opened and viewed the message), and a click-through rate of 26% (recipients who actually clicked on a link.) What’s really interesting is that the most popular link by far was the new branch construction announcement. (Shows that people are interested in what you are doing!)

Remember that this was the first e-newsletter sent to a relationship-based list, so you would expect an initial 1% opt-out rate. But so far, there has only been one opt-out – about one-tenth of one percent. Combined with the high view and click rate, this speaks volumes about the effectiveness of relationship-based marketing, when it’s done as an informational vehicle. Had the campaign been a straight promotion-only announcement, the opt-out rate would have been higher – but still acceptable.

We see similar successes with other financial services clients. Some view this as “opt-out marketing,” with all its negative connotations. However, with the right program, relationship-based email allows you to communicate with customers through their channel of choice. Financial institutions should not miss this great opportunity to reach their customers. Because we work exclusively with financial institutions, ClickRSVP understands your concerns. Please contact us to discuss your goals – we’ll be glad to share our experience.