Storytelling has been a fundamental aspect of human communication for millennia, evolving from ancient cave paintings 40,000 years ago to modern digital media. Storytelling has always played a crucial role in how we share experiences, convey emotions, and pass down knowledge.
In the intricate world of finance, storytelling transcends mere communication—it transforms numbers into captivating narratives of growth, challenges, and triumphs.
Raw data alone often cannot convey the full picture. Numbers and charts, while essential, can be overwhelming and impersonal. This is where storytelling comes in, transforming data into narratives that make complex information more relatable.
Whether communicating with investors, employees, clients, or prospects, storytelling is key to effective financial communication.
In this blog, we’ll delve into how visual storytelling can revolutionise financial communications. We’ll highlight its benefits and explore various video types you can use in your financial communication strategy.
Why Should We Say Goodbye To Traditional Financial Communication?
Traditional financial communication methods, such as dense reports, complex charts, and jargon-filled presentations, can be daunting and inaccessible to many stakeholders, leading to disengagement and misunderstanding.
And let’s be honest—they’re boring! This causes stakeholders to lose interest, resulting in missed opportunities to effectively communicate your firm’s unique vision.
But what if there was a way to make financial data not only easier to understand but also more engaging? Enter storytelling.
In today’s fast-paced business environment, visual storytelling offers a compelling alternative. Financial institutions can use storytelling to:
- Conveying intricate financial concepts that need to be easily understood by clients, investors, and stakeholders. By using infographics, videos, and interactive dashboards, they can present complex financial data in a more accessible and engaging way.
- Communicate their brand ethos to establish trust and portray their brand as more than just profit-driven, which helps to attract and retain clients.
In fact, only 5% of people remember statistics, but 63% remember stories. This highlights that humans are not wired to absorb jargon and raw data; we are naturally inclined to understand and keep information through storytelling. It’s how we are meant to communicate.
For example, check out the animated pitch video we created for Crowe UK during the first lockdown of 2020. Their detailed, 15-page credentials deck wasn’t effective for remote meetings, so they needed something more engaging.
This project demonstrates how visual storytelling can make financial communication both more engaging and more impactful.
Benefits of Storytelling in Financial Communications
Builds Trust and Credibility
Financial institutions handle sensitive and complex information. Storytelling makes this information more relatable and transparent, building trust and credibility with clients, investors, and stakeholders.
When our brains encounter a good story, oxytocin is released. This hormone helps us feel trust and empathy, strengthening our social and emotional connections. It makes us feel more connected to the storyteller, making the information more memorable and impactful. This connection leads to stronger relationships and greater confidence in the institution’s integrity.
Simplifying Complex Information
Financial concepts can be intricate and challenging to grasp. Storytelling simplifies these complex ideas by adding context and emotional layers, making them more digestible and memorable. This approach helps the audience better understand and retain key information, whether it’s about financial products, market trends, or investment strategies.
Engaging the Audience
Traditional financial communications are often dry, unengaging, and overwhelming. This is because they typically involve conveying large amounts of data, which can be tedious and hard to digest.
One reason for this difficulty is our limited cognitive load—the amount of information our working memory can handle at any given time. When too much information is presented at once, it can lead to information overload.
This overload makes it challenging for the audience to retain key messages and stay engaged with the content. This is particularly problematic in financial communications, where the data is often complex and dense.
One effective way to reduce cognitive load is through storytelling. By weaving data into a narrative, storytelling makes information more relatable and easier to digest. This approach engages the audience, helping them to better understand and remember key messages.
In fact, a 2022 study conducted by the Harvard Business Review found that advertisements with lower cognitive load—those that are easier to understand and process—led to a 20% increase in consumer engagement compared to more complex ads. This demonstrates the power of simplicity and clarity in communication. By using storytelling you can simplify financial information, ensuring it is both accessible and engaging.
Creating Emotional Connections
Stories have the power to evoke emotions, which can be a significant advantage in financial communications. Emotional connections not only increase engagement, but can help to build a stronger bond between the audience and the brand. This is particularly important in the financial sector, where trust and loyalty are crucial.
Differentiating the Brand
In a crowded market, it can be challenging for financial institutions to stand out. Unique stories can differentiate a brand from its competitors. By highlighting the institution’s values, mission, and vision through storytelling, a financial firm can create a distinct and memorable identity.
This is especially important when to comes to attracting investors. Investors are often inundated with countless presentations filled with strategic and financial updates. Visual storytelling, being inherently more engaging than text or static images, can break through this monotony.
Enhancing Retention and Recall
Stories are 22 times more memorable than facts alone. In communications, this memorability is vital. After all, people are driven to act on what they remember, not on what they forget.
According to research by Greg J. Stephens, Lauren J. Silbert, and Uri Hasson, storytelling can induce a shared contextual model of the situation between the storyteller and the listener. This shared understanding enhances communication and makes the information more memorable. When we hear a story, our brains synchronise with the storyteller’s, creating a shared experience that is far more engaging and memorable than isolated facts.
Humanising the Brand
Storytelling humanises the brand, transforming it from a faceless entity into a relatable and approachable presence. This is crucial in the financial sector, where institutions often struggle with perceptions of being impersonal or distant.
Imagine a bank that goes beyond discussing interest rates and financial products. Picture a financial advisor who shares stories of how they guided a family through challenging economic times, ensuring their children’s education was never at risk.
By sharing these authentic stories about the people behind the brand and those they serve, financial institutions can weave a tapestry of trust and connection. These narratives showcase the human side of finance, highlighting empathy, dedication, and the real-life impact of their services.
Ready to transform your financial communications?
At Content Creatures, we specialise in creating compelling animations and videos that bring your financial stories to life. Let us help you connect with your stakeholders in a more engaging and memorable way.
Types of Videos for Financial Communications
Brand Films
What is a brand film?
This type of video focuses on who you are as a company, highlighting your mission, values, and the unique aspects of your brand. It’s about building a deeper, more emotional connection with your audience.
Why should financial institutions use brand films?
Brand films help financial institutions build trust by humanising their brand.
They can address reputational challenges effectively. This is particularly important as financial institutions are often stereotypically perceived as impersonal and solely profit-driven.
Additionally, brand films enhance customer engagement by differentiating the institution in a competitive market. They create a unique narrative that resonates with customers, making the institution more relatable and trustworthy.
For example, check out the brand film we created for AerCap, that captures their unique story and resonates with their target audience.
Internal Communications
What are internal communications?
Internal communications refer to the various ways a company communicates with its employees. The goal is to ensure that all employees are informed, engaged, and aligned with the company’s goals and values.
Why should financial institutions focus on internal communications?
Effective internal communications help financial institutions foster a positive work environment, enhance employee engagement, and improve overall productivity. By keeping employees well-informed and motivated, financial institutions can ensure that their workforce is aligned with the company’s mission and values. This is crucial in an industry where trust and integrity are paramount, and where employees play a key role in maintaining the institution’s reputation.
For instance, Superunion engaged our services to create an internal communications video for their client, AXA, creating a compelling narrative that resonates with employees.
Investor Relations Videos
What is an Investor Relations Video?
An Investor Relations (IR) video is a type of video content designed to communicate a company’s financial health, strategic direction, and investment potential to current and prospective investors. These videos often include financial performance highlights, management insights, and future growth plans, aiming to build confidence and transparency with the investment community.
Why should financial institutions use Investor Relations Videos?
Investor Relations Videos help financial institutions effectively communicate their financial stability and growth prospects. They provide a transparent and engaging way to present complex financial data, making it easier for investors to understand the institution’s value proposition.
For example, we created this timeline video for our client, Park Square, which effectively illustrates their growth and major accomplishments over the years, making it easier for investors to understand and appreciate their progress.
Explainer Videos
What is an explainer video?
An explainer video is a short, engaging video that explains a product, service, or concept in a clear and concise manner. These videos often use animations, graphics, and a straightforward narrative to break down complex information into easily digestible content.
Why should financial institutions use explainer videos?
Explainer videos help financial institutions simplify and communicate complex financial products and services to their customers. They can enhance understanding, increase customer engagement, and build trust by making financial information more accessible. This is particularly important in a sector where clarity and transparency are crucial for customer confidence and satisfaction.
For example, we created animated explainer videos for Brooks Macdonald to reassure their audience of the firm’s trustworthiness in managing their clients’ money.
Promotional Film
What is a promotional video?
A promotional video is a short, engaging video designed to promote a product, service, or concept. These videos often use animations, graphics, and a straightforward narrative to present information in an appealing and easily digestible format.
Why should financial institutions use promotional videos?
Promotional videos help financial institutions communicate complex financial products and services clearly and engagingly. Financial institutions can also use promotional videos to generate interest in their annual reports. These videos can highlight key achievements, financial performance, and future goals in a visually appealing way, making the information more engaging and accessible for stakeholders.
For example, we created an animated promotional film for Embark Group to encourage the audience to access the full report online.
When thoughtfully crafted, these video types leverage storytelling to present data and messages in a clear, engaging, and visually appealing manner. This approach is especially valuable for financial institutions when:
- Conveying intricate financial concepts that need to be easily understood by clients, investors, and stakeholders.
- Establishing trust and portraying their brand as more than just profit-driven, which helps in attracting and keeping clients
Conclusion
Storytelling can transform financial communications by turning complex data into engaging narratives. This builds trust, simplifies information, and creates emotional connections, making financial details more accessible and memorable.
This storytelling strategy can significantly enhance your ability to attract and retain investors and clients, ensuring long-term relationships.
Transform Your Financial Communications Today!
Since 2014, our team here at Content Creatures has been turning complex messages into engaging narratives through bespoke video.
We understand that in the financial sector, clarity, trust, and engagement are paramount. Our expertise lies in transforming intricate financial concepts into clear, compelling stories that resonate with your audience.
Whether it’s explaining investment strategies, showcasing financial products, or communicating regulatory changes, we ensure your message is not only understood but also inspires confidence and action.
