BATTLE CREEK, Mich.-OMNI Community CU is giving away $3,000 to drive new checking accounts, incent debit usage, and promote use of its switch service that's deepening relationships.
OMNI is encouraging members and non-members to switch to its checking account and debit card with a drawing to win $250 in free debit card purchases each month for a year. Those who also take advantage of the credit union's free switch program, where OMNI helps members make the changeover, receive an extra entry into the "OMNI Pays in Many Ways" giveaway, which will be held the first part of January.
The campaign already is producing results, with new checking account openings up 36% from the same period last year. Chris Overbeek, chief marketing officer, sees the latest round of bank f ees and associated media coverage presenting CUs with a big chance to become the PFI for many more members. "This opportunity has come so quickly that we did not establish a budget for the campaign. This is a unique time, one that has never been presented in history."
Despite focusing on debit, with all the anti-bank sentiment there, the real focus of OMNI's effort is on deepening relationships with new and existing members. The campaign, Overbeek pointed out, has many elements designed to get members to become more active users of the credit union. For example, members who open a new checking account are not eligible for the $3,000 drawing unless their checking account and debit card are active at the time of the drawing.
But the switch service is where OMNI feels it can have the biggest impact on strengthening member ties. Overbeek said the credit union has found that the number of relationships an individual brings over is significantly higher when they use the free switch service. "We have not tracked this closely yet because we know there will be a lot more activity now than when we introduced the switch service a year ago. We want to wait and give this some time after we see a great deal of activity."
OMNI encourages new checking members to use the switch service by giving them an additional entry into the $3,000 drawing if they let the CU help them make the change. Overbeek said the switch service seals the deal on a deeper relationship, as the CU actively works with new members to do most of the switch work. The four forms that make up the service-account opening, direct deposit, automatic payment, and account closure-are not online and the credit union prefers to keep it that way.
"Let people do this on their own and they will switch fewer services compared with when we work with them," suggested Overbeek, who said the two- to four-week process in which MSRs track the progress of the switch and notify members gives the credit union multiple opportunities to cross sell. "During this time we have a great deal of insight into the members' financial situation with all of the information they provide us to make the change. We run a credit report at the start, so all of that gives us an excellent financial snapshot of the member so we can recommend products and services they really need."
The $259-million OMNI has added one call center representative to manage the growing switch service workload. MSRs start the process but send the information to the call center, which does the rest. Updates on a member's switch are dumped into a "tickler file" MSRs access and report back to members on the progress of the changeover.
Advertising & Donations
Advertising to date has been only to members who do not have an OMNI checking account. Direct mail, targeted e-mail, and billboards are planned.
Also, for every new OMNI checking account opened during the promotion period, the credit union will make a $5 donation to Bronson Children's Hospital. Another $5 will be contributed for each member who takes advantage of the switch program.
