Article
The top 6 reasons why FIs should brand ATMs
Customization leads to increased awareness and revenue-generating opportunities at a time when FIs must use every channel to build their brand.
May 26, 2015
ATM Marketplace is pleased to present new blogger Cummins Allison, a provider of full-function ATMs, in addition to check, currency and coin-handling solutions. The company's regularly posted blog will feature the thoughts of various contributors on all matters ATM.
by Bob Gibson, Vice President, Cummins Allison
Today's financial institutions must use every channel available to build their brand — from brick-and-mortar branches to mobile apps and call centers — and according to research by Cummins Allison, the ATM channel remains one of the most important ways FIs interact with their customers.
In fact, a study by Dieringer Research Group found that more than 80 percent of FIs view ATMs as a "very" or "extremely important" customer touch point. Likewise, 74 percent of customers said that convenience of ATM locations was important in selecting a financial institution.2
ATMs are a valuable tool for any FI looking to strengthen brand awareness, increase customer loyalty, and drive additional revenue opportunities. A strong ATM channel strategy — including machine branding — is a must.
Here are six common things that properly branded ATMs can do for an FI:
1. Increase machine use
Branded ATMs draw attention to machines and stimulate new business. A nonbranded machine blends into the background and might easily go unnoticed. Branding calls attention to the machine and increases traffic.
2. Differentiate from competitors
FIs can set themselves apart with attention-getting ATM signage and surrounds. A strong visual identity can promote usage — even with noncustomers — and positively impact the FI's brand.
In a study by Stratacache, "Understanding the Role of Digital Signage in Retail Banking," 77 percent of U.S. respondents said that banks that employ digital signage are more innovative than those that don't; and banks that are perceived as innovative also scored higher in customer satisfaction.
3. Promote customer awareness and loyalty
ATMs are a convenience that customers of financial institutions have come to expect. Branding aligns the customer with the organization. According to a recent Gallup study, customers who are aligned with a brand give it twice as much share of wallet.
4. Clarify and support the brand promise
ATMs let you use visual storytelling to connect with your customers. Compelling images can communicate your brand promise — and they also allow an FI to cross-sell other products, thus increasing revenue.
ATMs can and should serve as an additional channel to deliver marketing and product messages.
5. Reinforce the connection to customers
ATMs are an additional — and highly effective — vehicle for the delivery of an FI's marketing messages. A deliberate, targeted message can strike a chord with the customer to drive new or repeat business.
6. Enhance cross-channel continuity
Nonbranded ATMs can detract or dilute an FI's marketing and messaging efforts in other channels, effectively diluting customer loyalty. Effective use of ATMs enables seamlessness and coherence in branding and messaging, and helps to eliminate the "noise" that can interfere with an FI's direct communication with its banking customers.
ATMs continue to be a popular and frequently used banking channel; indeed, in a recent FindABetterBank.com survey, 59 percent of respondents said that they use an ATM at least once a week.
Branding ATMs can help an FI to ensure that every interaction reinforces its thoughtfully developed messages and services, boosting loyalty and generating new opportunities.
