Product Promotion Strategy – Going Outside the Norm

Client Profile:
Mid-sized financial institution

Situation:
The firm was under utilizing its deposit base and needed to grow its consumer loan portfolio. The
product manager suggested a simple promotion involving a drawing for a vacation to create traffic
loan applications.

Contribution:
A TBG partner assumed the role of leading the Client’s marketing group, and suggested that
something bolder was in order.

• Recommended a high quality “scratch and win” contest involving a series of prizes
  including an international vacation for 4, merchandise and a series of free and discounted
  banking products.
• The contest would operate similar to those conducted by packaged good companies.
  This was only the second financial institution in the U.S. to attempt such a promotion.

Action:
The CEO registered concern as to the appropriateness of such a promotion for the conservative
banking market, but was swayed by the evidence of success in other industries.

• The promotion went forward, supported by focused public relations, paid media, and in-
  branch promotional support.
• Provided detailed pre-briefing on the promotion and detailed customer Q&A to all
  branch managers and staff groups.
• The promotion ran for 60 days.

Promotion Results:

• 17% increase in loan applications over the prior period and contributed to growth across
  a spectrum of products.
• The promotion was declared an unrivaled success.
• The promotion was repeated in an even more elaborate form a year later and was just as
  successful.
• Following a merger with a much larger institution, the promotion, even larger, was
  rolled-out again with similar success.