In November 2016, the Indian government launched its controversial “demonetization” plan.
To make Indians less cash dependent, shrink the black economy, reduce corruption and boost growth.
The immediate result?
People spent hours in lines at ATMs without any guarantee there would still be money at the bank’s machines.
This resulted in 219 million Indians opening bank accounts and over 14 million downloading banking apps. Within a few months, digital payment use surged up to 80 fold among India’s 260 million smartphone owners.
During this time, Federal Bank, one of India’s largest banks, introduced Lotza, a mobile payment interface that enables cashless transactions between friends or at the point of sale.
Before launching Lotza, the bank faced two big challenges on how to:
- Persuade millions of clients to download the app
- Educate them on how to use the new features and keep up on the latest upgrades
Sunny KP, Head of Digital Banking of Federal Bank, shares how they overcame those challenges and the strategies they used in their mobile app marketing journey.
1. Hook Users With An In-App Offer
After launching Lotza, Federal Bank realized that to help users understand the app’s value, they had to communicate directly with them in the app. To do so, they used Insert, an in-app marketing platform that allowed their digital marketing team to quickly launch campaigns in the app.
The first campaign Federal Bank ran in Lotza was an in-app cash back offer that drove users to the point of sale and educated them about a new feature.
Mobile App Marketing Strategy #1: To increase app usage, invest resources into developing new features and communication directly with users in the app. Coupons and in-app offers are two great ways to incentivize users to use new features and services in the app.
2. Reference Real-life Holidays In The App
To personalize the user experience, Federal Bank created an in-app campaign around Diwali, one of India’s biggest holidays. Messages had a festive twist in their language and imagery, as Diwali is a particularly vibrant celebration.
Mobile App Marketing Strategy #2: Special offers for the holidays are a great way to connect with users and make your campaign relevant to their lives. It doesn’t have to be a holiday though. It could be a newsworthy event, for example Tax Day, or any other date that has particular meaning for your app business.
3. Give Users An Update They Will Love
For Federal Bank, and many other apps, making sure that users have the most updated version of the app is crucial. Businesses spend time and money on improving the app, but if users don’t upgrade, it’s a missed opportunity.
To encourage upgrades, make sure that you offer specific value based on user behavior. Perhaps you have a service in the new version or more features they’ve shown interest in. Convey the value in your request to update.
Mobile App Marketing Strategy #3: Asking for an upgrade from a first-time user or right when the user launches the app can decrease your conversion rates. Instead, ask when the upgrade is relevant, like when a user has been in the app for awhile or is in a part of the app that has been improved in the new version.
The Impact On Conversions And Updates
As a result of the Bank’s new mobile app marketing strategy, they were able to achieve a:
- 19% conversion rate when promoting the new payment service
- 21% of users updated to the new version of the app
India’s growing digital banking culture creates opportunities for app companies that allow businesses to react quickly and personally to an increasingly mobile audience.