Friday, April 23, 2010

Fear versus cautious confidence - how context changes everything

As 2010 proceeds at a cracker pace it's interesting to reflect on the difference a year makes. The context (although not all the content) is completely different.

In financial services public relations, marketing and communication the game has changed - along with the context.

Last year the context was fear. This year it's cautious confidence. One can be paralysing, the other galvanising.

As professional communicators we hold true that "context" is everything

The same statement can mean opposite things depending purely on context. Context (in our world) includes how the audiences is thinking & feeling and what they already believe. It includes, in financial services, what markets and economies are doing, and what we hear respected colleagues say about their business and their expectations for the future.

Last year the context was like a dark blanket thrown over us all - with a few weak pinpricks of light shining through.

Late in 2008 and throughout 2009 I talked with many of you about fear.

Even naming it felt brave.

We all felt it, but (almost to a person) no one wanted to say it out loud. And yet when we finally talked about it, senior executives were palpably relieved that the real context had been named...and we could get on with business...with the emotion out of the way.

Once named, fear lost some of its power

Once explored, we could use our understanding of that context to work out how to communicate properly -to industry colleagues, consumers, media, government and our own people.

The context (in this case a strong shared emotion) was only a problem when it wasn't acknowledged and planned for.

This year's context is completely different
Fear is taking a back seat to cautious confidence. To generalise about what we've seen in 2010 (okay it won't reflect everyone's experience!) in financial services communication:

1. Decisions are being made - both off the back of a long process (delayed from 2009)
2. Aggressive growth plans in are play again - supported by a greater focus on acquisitory (as opposed to retention) marketing
3. Money is moving in retail and wholesale (and the moves have to be explained)
4. Retention is still a focus - although on an industry basis the quality of client communication is highly variable
5. Internal communication is rising in importance - to help keep valued people and to ensure they know how (and want to) execute on strategy.

Markets are up, bonuses may be back and portfolios look vastly improved.

Cautious confidence

Cautious confidence seems the right description for what we seeing though retail investor research and hearing in institutional funds management. It also describes the vibe we hear from consumer financial companies through to industry participants dealing only with others in financial services.

And fear?

As for fear, well it's not left us completely. It's just sitting in the back seat.

With cautious confidence as the context, our messages, tone of voice and methods of public relations and communication have subtly changed.


The bias to act (rather than hold on) is back.

Communication is now less reactive to world economic events and more proactive.

Forwards, with purpose. But ever so carefully.

1 comment:

  1. It was reassuring for me to read about 'cautious confidence'. As a hoax speaker, MC and facilitator, I'm very dependent on the decisions of leading organisations to hold conferences and events, and much of my work has been in the financial services area. So it removes a little of my own fear to read that things are moving with a bit more purpose, and that internal communication is growing in importance.


Thanks for reading. Constructive and relevant comments welcome!