TUMWATER, Wash.-O Bee Credit Union is tapping into consumer discontent with banks by making them laugh, and then having a switch kit at the ready.
Lee Wojnar, VP of marketing for the $146-million CU that began in 1955 serving employees of the Olympia Brewery but which has since 2002 served the entire state of Washington, said there has been a healthy influx of new members in recent months.
"We have been running humorous ads on local radio," he said. "They are one-minute spots saying we feel consumers' pain with bank fees."
In the ads, the person talking gets angrier and angrier as he discusses banks and the fees they charge, Wojnar reported. The man's attitude changes, however, when credit unions become the subject. He softly points out that CUs are an alternative to banks.
"We are riding the wave right now and targeting big banks," he said. "A lot of credit unions don't realize this, but big banks do not target local marketing. This means credit unions can pound on banks pretty hard and the bank can't respond because corporate won't let them."
An Opening Act
When prospective members reach out to O Bee CU, they find a switch kit on its website along with an online membership application. The credit union has been using a vendor product called Opening Act for three years now, which Wojnar praised for making switching consumers from banks to his CU "so much simpler."
"The whole process is becoming very electronic and seamless," he said. "Eventually, signatures will be fully electronic."
For the always troublesome process of getting people to give up their present online bill pay provider, Wojnar said O Bee provides help.
"We try to make it as simple as possible because we know the process can be difficult. For those who are hesitant we explain the benefit of moving to a credit union will outweigh the small pain of moving over. They will see better service and better rates right away."
Obee has a video on its website that explains the difference between large banks and credit unions, he said.
The goal of the ads and the switch kits is simple: "We want to be seen as the leader in our local marketplace," Wojnar said. "We are opening a new branch in a section of Olympia that is referred to locally as 'bank alley.' We are taking over a First Citizens Bank branch after the bank closed several local branches. We are redesigning the branch to make it look local, attractive and has the words 'credit union' all over it. We haven't even opened it yet, but it is creating buzz downtown. It is another indicator we are strong and moving forward."
