SAN DIEGO-The leaders of three small CUs are emphasizing that in 2012 limited asset size does not mean limited opportunities in membership growth, investments and small business lending.
The trio of CU managers, all members of the California and Nevada leagues' Shapiro Group, which is for CUs of $45-million in assets or smaller, say they are pursuing numerous strategies to grow their operations in 2012.
Suzanne Leedale, CEO of $32.6-million SLO Credit Union, San Luis Obispo, Calif., said membership growth can be achieved the expensive way-paying for deposits-or by a targeted approach that includes referrals from existing members and heavy use of social media.
"We hear it all the time, 'everybody loves credit unions.' But if our members love us so much, why don't we ask them to refer their friends and family," she asked.
The first step, Leedale advised, is to define the CU's position. Is the list of products narrow or broad? A small credit union "probably won't have everything Bank of America has, so it is important to prioritize what is critical to the members," she said.
In SLO CU's case, it sought to reach out to younger members. "We created a usable logo for branding and updated our website," she said. "The goal was to get people curious and get them in the door."
Targeting is important, Leedale reminded, noting consumers don't visit a hardware store when they need milk. When targeting younger people, go to where they are, such as a Facebook page for the CU. "Put the focus on what the credit union does well," she counseled. "This especially applies to collaborating and outsourcing."
Eric Bruen, CEO of Desert Valleys FCU, Ridgecrest, Calif., also serves as chairman of the Shapiro Advisory Committee, also noted the power of social media in building momentum following Bank Transfer Day. "Social media is the next wave," Bruen said. "Credit unions need to look at how they can be part of it. Many small credit unions are using Facebook and Twitter to their advantage."
