Internet finance, how to quickly acquire a large number of real target users?

“Just like true love, you never need to chase after it; truly useful traffic is never expensive.”

Since its explosive growth in 2014, the Internet finance industry has gone through a process of returning to rationality from wild growth. During this period, the industry's main way of acquiring customers has been to rely on traffic dividends mainly from search engines . The bidding cost has also skyrocketed from a few dollars at the beginning to hundreds to thousands per new customer now. How to maintain the ability to continuously acquire customers has become the primary problem for each platform.

If you want to acquire customers, you must first have traffic, but traffic is getting more and more expensive, and the purchased traffic does not convert . After it is finally converted, the quality of users is not high and the user stickiness is particularly poor. Internet finance customer acquisition has entered a vicious circle of spending money, acquiring users, poor user quality, spending more money, and acquiring more low-quality users. So how can we acquire traffic more cost-effectively and convert target users more efficiently?

In general, I think we need to do the following two things:

From the user's perspective, recognize the real user contact scenarios behind the acquired traffic

For different types of traffic, convert them according to priority in the most efficient and cost-effective way

Let’s first talk about the misunderstandings in conventional marketing in the Internet finance industry:

• Spend a small amount of money to try each channel , see which one works best, and then invest in that one in large quantities.
• The low conversion rate is caused by poor advertising materials, landing page, and product flow. If these are optimized, the conversion rate will go up.
• Invest more in the channel that brings more user investment , otherwise invest less or not at all

Current status of mutual finance platforms:

Suppose a platform has a cumulative investment amount of 10 billion, 1 million registered users, and 100,000 investment users.

How is this 10 billion made up? Is it evenly distributed or does it obey the 80/20 effect?

The actual situation must be the latter. Among the 100,000 investment users, more than 10,000 contributed 8-9 billion yuan in investment.

Therefore, a major feature of the Internet finance industry is that there is a group of users who are very small in size but support the total transaction amount of the platform and are the core of the Internet finance platform.

question:

The ultimate goal of Internet finance platforms is to go public. To gain the favor of the capital market, they must demonstrate explosive growth. The so-called growth is measured by the total transaction amount. So how can we achieve rapid growth in investment amount in a short period of time?

Simply put, there are only two methods: one is to let users invest more money, and the other is to attract more people who can invest money.

The first method should be adopted, but don’t have too high expectations, because some of these core users may want to buy houses, get married and have children, and their children may go to school, etc., which makes it very difficult to achieve. So the first method should be done, but don't have too high expectations.

The second method: get more traffic and then get more high-quality users. This is also the method that most platforms have been vigorously promoting, and they have also encountered many confusing places, such as:

• Where are high-quality users and how can we reach them?
• We have purchased a lot of traffic, but the user quality is low and the stickiness is poor. How can we improve user conversion?
• Are the users who invest coming for marketing activities such as red envelopes and cash back? If the activities are stopped, will the users be lost?

Rethinking: What kind of traffic did we actually get with our advertising budget?

Scenario 1:

User A (who knows nothing about the Internet finance industry) sees an advertisement for platform A while watching a video on the app. If he is told that he will receive a red envelope worth 888 yuan after registering, what will be his reaction? He might wonder what platform A is, and search on Baidu. He found many platforms similar to A. After weighing the pros and cons, he chose platform B, which has a larger brand and is more stable.

Scenario 2:

User B is very familiar with the Internet finance industry, knows its operating model and investment methods, and has also invested on the B platform. He saw an advertisement for Platform A on the app, but he had already invested his spare money in the bank and Platform B every month.

Scenario 3:

User C is very familiar with the Internet finance industry and has been paying attention to various products, but he has never dared to put any real money into it. One day, while reading the news, he saw platform A. Based on his trust in the medium, he started to register and learn about platform A. He found that it was very suitable for him and invested in it for a while.

Scenario 4:

User D is a classmate of User C. The two were discussing how to make some extra money during a chat. D asked C how he did it. C said that he put all his spare money into platform A, which offered good interest and no problem with recharge and withdrawal. After hearing this, D searched various major Internet finance platforms, but felt that since his classmate had invested in platform A, he would have someone to discuss with if he had any problems, so he started investing in platform A.

Let’s go back to the question we started with, “What kind of traffic did we get with our advertising budget?”

Traffic feature 1: Traffic from the education market

From scenario one, we can see that at a stage where the marketing audience is not familiar with the Internet finance platform and the Fengjin brand has not yet been deeply rooted in people’s hearts, such traffic (advertising budget) is undoubtedly making wedding dresses for others and the budget utilization efficiency is very low.

Traffic feature 2: guiding and stimulating traffic based on user needs

As can be seen from scenario 2, when users have no demand, we need to provide a large number of benefit points, repeatedly reach out to users, and guide and inspire them to invest in the platform. The final conversion rate of this type of traffic will be very low, and the cost-effectiveness will be lower compared to the resources consumed.

Traffic feature three: conversion traffic after brand building is completed

From scenario three, we can see that users highly identify with and trust the platform brand. Once such users have financial management needs, the traffic we purchase will reach such users and will naturally convert them into our loyal users.

Traffic feature 4: Conversion traffic after old users and KOL influence

From scenario four, we can see that users transfer their trust in relatives and friends to platform A. Such users will take the initiative to learn about platform A and try it out. Reaching out to these users will also enhance their confidence and strengthen their decision-making conversion.

To summarize, based on the "user investment decision path" in the figure below, we can have a deeper understanding of the traffic we obtain:

To sum up, among these four types of traffic, we are most eager to obtain the third and fourth types. For the first type, we hope other friendly companies can help us to do it. We also need to obtain the second type of traffic, but its priority comes second.

Faced with such a situation, returning to the original purpose, how can we more effectively increase transaction volume?

The core competitiveness of the mutual finance platform - focusing on operating old customers:

Loyal users on the Internet finance platform often recommend users with similar characteristics to them, so they are more likely to become loyal users of our platform and contribute greater transaction volume.

Therefore, when facing the core user group, it is not impossible to increase their number to 100,000 or 200,000 and contribute to investment if we provide them with better services, more attractive activities and greater benefits. Back then, Wukong Finance grew its number of users from 100 to 1 million in 80 days through friend invitation activities, and its monthly transaction volume reached more than 1 billion afterwards. Haidilao and Xiaomi in the physical industry have both achieved success by providing the ultimate service to old users.

At the same time, regardless of whether the users recommended or introduced by old users register through SEM or application market channels, their real traffic sources are actually loyal old users on our platform. This part of the traffic source is also the exclusive traffic of our platform. Compared with the traffic from search engines and advertising spaces (general traffic), only we can use it and other products cannot use it, so it is more cost-effective.

Suggestions for old users:

• Establish a dedicated customer service team and a refined service system to ensure the experience of old users
• Regularly hold exclusive activities that suit the characteristics of old users to enhance their sense of belonging
• We will implement more recommendations and concessions for diamond and black diamond users to maximize the results of their fission.

Strengthen branding, but don’t rely on conversion rates

For users, the funds used to purchase financial products may be money for buying a house or getting married in the future, so they will be very cautious and the decision-making costs will be high. If we want users to make long-term, sustainable investments in our platform, we must make them trust the platform. We must build our brand to give them confidence and make them feel that our platform is safe and trustworthy. At the same time, brand building is a long and arduous task that requires long-term work. The effects of brand promotion in the first half of the year may be reflected in the second half of the year, so brand investment cannot rely on short-term conversions. Its value lies in the long-term future.

Guarantees for closing channels, product experience, customer service, etc.

After the fission of old users and brand promotion, users will be exposed to financial products through closing channels such as SEM or application markets. Therefore, in this link, it is necessary to ensure that users can search quickly and accurately, so as to further improve user conversion. When we convert new users through the fission of old users and brand promotion, we must ensure the usability and stability of the product so that users can use our products conveniently without leaving.

Of the above three points, if we do well in points 1 and 3, we will run faster in the short term; if we do a good job in branding, we will run further.

Mobile application product promotion service: APP promotion service Qinggua Media advertising

The author of this article @jizhao compiled and published by (Qinggua Media). Please indicate the author information and source when reprinting! Site Map