Bank of Boston Is Bucking the CD Trend with an Ad Campaign for Mutual Funds
Talley, Karen, American Banker
While rising interest rates have most banks dusting off advertising campaigns for deposit products, Bank of Boston is placing its faith in mutual funds.
The banking company is spending $1 million this winter to talk up its 1784 Funds to consumers in the Boston area.
The print and broadcast campaign was kicked off in January, with television spots airing locally during the Super Bowl, one of the most watched programs of the year. The push continues this month, with full-page ads in daily newspapers.
Using the theme "Investment Services for the Rest of Us," Bank of Boston is courting the area's large working-class population, said Allen W. Croessmann, the bank's director of mutual funds.
"We're conveying that investment
services are not just for rich people," he said.
Mr. Croessmann must also convince Boston consumers that the same statement does not apply to Bank of Boston, which hits been known traditionally as a staid commercial bank.
The bank took a step toward becoming more mainstream two years ago when it rolled out the 1784 Funds - which are name for the bank's founding date.
The 12 funds had $1.4 billion of assets under management as of Dec. 31, according to a ranking by Lipper Analytical Services Inc., Summit, N.J. Bank of Boston distributes the products through 50 sales representatives who cover 300 branches in Massachusetts, Rhode Island, and Connecticut.
Now, after spending the past two years marketing the products through branch promotions to existing customers, Bank of Boston is casting a wider net. …