If you’re in fintech, you know that there’s a huge wave of new, innovative companies hitting the market. For the most part, this is great news for customers.
For them, it means shiny new CX, convenient integrations, the ability to have more insight into their finances… But it can also mean more hesitancy.
When so many new companies appear and vie for customers at once, it can be tough for people to know which ones are worthy of their trust and finances. Especially with the high stakes of today: a possible economic downturn, extra-tight budgets and not much room for financial error. And as exciting as the fintech wave is, not all companies are equally trustworthy.
Fintechs are now tasked with building relationships with a customer base that’s unfamiliar, skeptical and likely more financially conservative than usual.
And this is precisely where the power of trust, transparency and social proof comes into play to bridge the gap.
For those that can harness those elements to build their reputation and relationships, increased conversions is just the start. So, here are five things you need to keep in mind when setting out to win customer confidence as a fintech.
1. Your industry credentials likely won’t mean much to customers
Fintech companies are effectively starting from scratch when it comes to building a reputation with their mainstream audience — but it doesn’t always feel like that.
When your fintech team features some veterans from the finance industry, that might garner some credibility with investors and peers — but with the wider market, your brand is still unproven.
You’ll need to give customers evidence that your company is not only trustworthy, but the best option for them amidst a sea of shiny new fintech options. The groundwork you put into proving your reputation now will help carry your relationships going forward. This is especially true when it comes to younger audiences like Millennials, whose trust in financial institutions was shaken by the ‘08 financial crisis, and Gen Z who are notably less brand-loyal and expect a seamless, tech-first experience.
2. Verified social proof can be the most effective tool in your kit
When you’re making any kind of big financial decision, (say, you’re buying a new vehicle) what’s one of the first things on your to-do list? Checking out the reviews. It’s a critical step with 64% of US consumers saying they’re ‘often’ or ‘very often’ influenced by customer reviews during the journey to purchase.
There’s a reason why we tend to consult the experience of others: we often get real, unbiased accounts of what kind of value, service and support we can expect. Reviews let us discover great companies — and they help us avoid spending our money on suspect ones.
So when it comes to customers looking to entrust their finances to a banking or investment firm, you can bet on the fact that they’ll do their research.
In fact, on every stage of the buying journey, from the very first ad they see all the way through to the retention emails down the line, customers are likely going to want to verify trustworthiness before they commit to a (potentially long) relationship with a financial company.
This is where fintechs stand to benefit from cultivating a strong base of verified reviews with Trustpilot. Not only do they get the customer-attracting, churn-reducing power of a solid TrustScore (or star rating to the not yet initiated), but potential customers know that real people are behind the reviews — not a coordinated marketing scheme.
And not to mention, companies that don’t take advantage of building a visible, trusted stable of reviews put themselves at a competitive deficit.
Measuring trustworthiness via reviews isn’t slowing down — in 2021, the number of total reviews written annually grew by 20%.
3. It’s a critical time to be choosing financial providers
Making high-stakes financial decisions is never easy.
But now, in the midst of a potential economic downturn, customers are especially hesitant to choose a financial service provider — especially given the new wave of fintech companies they aren’t familiar with.
Customers are having to cautiously choose amongst a massive range of financial service providers. And when every company is claiming (nearly) the same features and offering similar rates, finding the right one seems like a tall task.
And research shows that having more options isn’t always better — in fact, a surplus of options to choose from can actually inhibit customer behavior, causing them to make no choice at all. It’s called choice overload and it’s rampant in the digital age.
But this is exactly where platforms like Trustpilot provide companies an opportunity to offer some much-needed guidance. Trustpilot company profile pages aren’t just where reviews are displayed — they’re where companies can start interacting directly with customer feedback and ultimately start relationship-building.
4. Cultivating trust boosts SEO
Before you can win the trust of customers and boost conversions, you have to be visible.
This is an underrated benefit of having a growing number of verified reviews — search engines love it. Customer reviews equal user-generated content that both cultivates trust with curious would-be customers and gives you more outlets to appear in search results.
Embedding review content within your site at crucial moments in the buyer’s journey can make a massive difference as well with 63% of US consumers indicating a good Trustpilot score makes them more likely to trust a brand. Seeing someone’s review snippet of a great support experience can make a visitor click that Sign Up button with a little more confidence.
5. The bottom line is just the beginning
Building relationships starts with earning trust — but it doesn’t end there.
If you can make it easy for potential customers to find you, trust you, and see the value in your offering — you’ll see not only increased conversions, but increased user retention. Confident choices lead to longer-lasting relationships. When your customers are more certain that they’ve chosen a reputable company that’s right for them, they’re less likely to keep an eye on what your competitors are offering.
And not only that, the feedback that you gain from an increasing amount of reviews can offer rich, actionable insight on how you can better shape your company’s platform, service and/or support. It’s hearing it straight from the people that matter most.
All in all, success in financial services is defined by strong, lasting relationships. And that starts with instilling trust from the very first touchpoint. So, why not start today?
If you haven’t already, set up your Trustpilot company profile here.