The Reality of Marketing for Business Lenders

Marketing for business loans is unique.

It’s expensive, conversion rates  are low and there are nuances that take a lot of time to learn. 

In typical marketing campaigns, your best prospects are the ones who want your product most. In ecommerce for example, the person frantically searching for your product is often your ideal target.

Business lending flips this upside down.

The prospects who want loans most urgently? Frequently the ones lenders want least (higher risk, desperate situations).

The prospects lenders want most? They're not actively looking—they already have banking relationships or don't need financing.

Then there's the funnel reality: Even truly interested prospects face a 90%+ rejection rate at many lenders.

Imagine running Google Ads knowing that after you generate a lead, there is a 90% chance it will get turned down. 

Your targeting, attribution models, conversion tracking, and campaign optimization strategies all need to account for this reality.

This isn't traditional customer acquisition. It is highly tactical and requires understanding of targeting, credit risk, regulatory constraints, and the delicate balance between volume and quality that keeps lenders profitable.

My advice for lenders: Be deliberate, dig into the data and make sure your team is focused on the bottom of the funnel, not the top.