Best Practices in Investment Banking Marketing

Investment banking can retain more clients by streamlining its client base and approach through an effective marketing strategy.

FREMONT, CA: Marketing in investment banking is a unique challenge. No matter what audience you're targeting, whether a startup is looking for a private placement or a corporate finance team seeking buyout targets, you must stay visible and cultivate relationships. They include financial institutions, management teams, and people who might refer you to them.

Aside from those challenges, you may also need to spread the word about various services - mergers and acquisitions, valuations, capital markets, and IPO.

According to statistics, despite these challenges, investment banks have increased by nearly 20 percent since 2015.

Even without a reputation or resources, investment bankers can develop and execute excellent investment banking marketing practices through the following strategies.

Determine your focus: Putting together a great strategy, including marketing, begins with deciding where you wish to play - what market segments, types of clients, and services. Trying to beat bulge-bracket investment banks on every metric makes it exponentially more difficult.

Boutique and middle-market investment banks win by specializing instead of competing with Wall Street banks. Advisory firms that provide sophisticated asset management services look beyond platitudes to the network and knowledge that expertise offers.

It is unique for boutique firms to provide clients with customized counsel and creative solutions to complex problems. A deep understanding of your industry will place you in a position of authority and trust, making it easier to win clients and build expertise.

Develop your positioning and messaging: Deeper networks in specific industries mean you've already developed relationships with relevant buyers (corporate development teams, private equity firms) and can likely learn more about them. Consequently, you can assist a management team in running the most thorough search, finding the most suitable acquirers more efficiently, engaging them quickly, and identifying the best long-term fit (at a great price).

You can provide highly relevant guidance that will prevent your clients from making an unforeseen mistake in one of the most stressful transactions of their lives.

 An effective marketing campaign ensures a consistent message across all tactics - from the website to one-on-one interactions - that reinforces who you are and your unique selling proposition.