WILMINGTON, N.C.-Credit unions who do not have a strong Internet presence could lose as much as 50% of all new account openings by the middle of the next decade, according to Bob Giltner, consulting partner at My Rewards, will show credit unions low and no cost ways to break into the online marketplace or strengthen an existing presence there at this year's Grow Show.
"Online activity is a segment that is not fully appreciated. By demonstrating its size, scope and opportunity we will bring some strategic focus to it," he said. "Many credit unions have the functionality to open an account online but they're not using grassroots tools such as being in chat rooms and being in social media to be able to see conversations about opening an account someplace to those explicitly expressing a need."
Aside from the basics of implementing online banking, with specific emphasis on account opening tools, credit unions should look to social networking to tap into a world of financial conversations between friends, family members and total strangers. For example, Giltner pointed out, individuals can simply search for "checking account" on Twitter and every tweet ever posted that mentioned those words would pop-up, giving CUs and other FIs the opportunity to begin a relationship with those who brought up the topic.
"Some financial institutions have people doing nothing all day long except for monitoring conversations on the Internet," he added, comparing the effort to sending staffers into the community to shake hands with potential members. "But we get to shake hands only with people who have a sign on that say 'I'm interested in getting a checking account or thinking about changing institutions.'"
Giltner also plans to touch on a number of other concrete items including the need to tap into the next generation of potential credit union members, most of whom will use the Internet to conduct the vast majority of their financial transactions. Having a strong online presence makes it more convenient for Generation Y members to open accounts; those individuals are more likely to be amenable to changing institutions than their older counterparts," he pointed out.
The bottom line, Giltner maintained, is that the hour-long presentation provides CU management with the opportunity to capitalize on the financial upheaval immediately.
"In this environment you don't need broad concepts and strategies you need to know what you can go back tomorrow and get new members and revenue tomorrow," he said. "We're giving ideas, tools and methods that are low cost that can provide immediate impact in the next 30 days, not big strategies that will be only good for you over the next five years."
