The love letter file: displaying and distributing case studies about satisfied customers is a powerful marketing technique that doesn't coast a dime to assemble--but can pay big dividends.

• Author: Saeks, Ford
• Position: Fundamentals: Customer Testimonials

Although we've never met, I'd be willing to bet that a major portion of your business comes from referrals--satisfied customers who talk about your services and products to friends, colleagues and family members.

Why not harness the power of those satisfied customers and use it to help new prospects decide whether or not to do business with you?

There's no better way to showcase your services and build credibility than through customer testimonials, case studies and endorsements. These can be used in your bank branches, your marketing materials, your Web site and in your advertising.

Converting credibility into clients

Building trust and credibility are major factors in the buying process. Although the use of customer testimonials may seem ridiculously low-tech in today's world of big-budget marketing campaigns, it is a proven and successful method that works for banks of all sizes. If you're not featuring customer testimonials in every, aspect of your marketing, you're more likely to lose sales unnecessarily.

Imagine how easy it would be to differentiate yourself from the competition if a prospect came into your offices and saw a "wall of fame" display area. The "wall of fame" approach is simply a prominent area or wall space dedicated to framed letters, photos and testimonials from satisfied customers. I know one loan department whose team takes a photo of every couple approved for a home loan. These couples are standing outside their new home with a big satisfied smile. The department attributes an increase of at least 20 percent in loans to this technique.

Imagine the effect of photos and testimonials from your largest business clients on your lobby wall or Web site. Think about how much more effective your Web site would be if you included testimonials on your homepage, "About Us" page, and on the services and accounts pages. Why not have a testimonial submission form on your Web site where customers can go and send you their feedback?

Don't forget testimonials in your traditional marketing materials either. If you're sending out a direct-mail post card announcing a new service or longer Saturday hours, include a couple of customer testimonials. Don't try to cram in too many; just one or two wellwritten, specific endorsements of your bank will suffice in most cases.

Testimonials can really punch up your print, TV and radio advertising too. Look around and see how often TV and radio commercials feature testimonials, or how often you...