Case Study for Agency
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Franklin Bank Case Study

Situation

Originally a savings and loan, Franklin Bank converted to a commercial
bank. The bank had only three branches when it converted, putting it in
a precarious position in its ability to compete against the gargantuan
networks of its big bank competitors.

Marketing Challenge

Franklin Bank lacked a significant product point-of-difference. The
bank asked the agency to help it develop a positioning that would
differentiate the bank and help identify a product line with which it
could profitably grow.

Application of Solutions

After conducting a series of focus groups the agency and client
concluded that the product to be featured should be a non-interest
paying business checking account. Research had also uncovered that
small businesses felt disenfranchised by the mega bank merger mania and
hated the increasingly high service fees they were being assessed. The
agency recommended the bank be positioned as “The New Thinking in
Banking for Business” with a promise of friendly, attentive service and
lower bank service fees. The creative was targeted to attract
business-checking deposits by using direct humorous comparisons to its
giant competitors.

The agency also recommended that the vast majority of the relatively
limited marketing dollars be focused on one medium (radio) to enable
the Franklin message to cost-effectively build over time. A continuing
series of different “breakthrough” radio spots have been on air since
the campaign’s introduction, creating a sensational area-wide response.
A select amount of dollars was earmarked for a highly targeted print
campaign acted as a compliment to the radio.

Results

The results for the bank have been exceptional. Non-interest paying
business checking deposits have grown from under 5 million to almost
300 million. Bank profits have increased. Ongoing research managed by
the agency tracks the continuing effectiveness of the campaign. Other
bank product lines have also benefited with dramatic growth of money
market deposits on the liability side and “Express Cash” loans for
small business on the asset side. “Express Cash” also has over the past
six months enjoyed the benefits of a print and direct mail campaign
developed and implemented by the agency.

The radio campaign has received enormous national recognition, having
been honored twice by the American Marketing Association with an
“Effie” award for marketing effectiveness. Also, two national
organizations, The Financial Communication Society and Bank Marketing
Association, have recognized Franklin Bank’s communication program
twice as one of the nation’s most effective bank advertising campaigns.

The agency also implemented an employee recruitment campaign. Because
of the bank’s exponential growth, and the low unemployment rate, the
bank has had difficulty recruiting enough staff using traditional
classified advertising. The agency developed a radio spot that
successfully targeted new tellers while at the same time maintained the
tone of the campaign. To this day, many tellers at Franklin Bank cite
the recruitment radio spot as the impetus for their employment at
Franklin Bank.

Finally, because of the phenomenal long-term success of the Franklin
Bank campaign, other banks have sought out the agency for similar help
in their marketing efforts.