SAN DIEGO - The traditional model for marketing is not as effective today, forcing credit unions to develop "member-centric" methods of generating account growth.
That is the message from one analyst who is calling on credit unions to dump the traditional product-centric method of marketing-building an advertising campaign around a CD or a car loan, for example-to the use of emotion and passion.
"Find what your members are passionate about," advises Jim Campbell, president and CEO of Clarksville, Tenn.-based Banc Services. "It might be golf, family or church, but focus on those things and you will see significant results."
The first six months of the CU-member relationship are the most important, Campbell continued, "especially if the person made a move from another financial institution. Anything we offer during those six months is an opportunity to add anchor services that strengthen the relationship with members."
The natural follow-up question, he acknowledged, is "How do we do that?" His response: get away from the tired product/price/place model and make marketing member-centric.
Campbell's advice, which came before NAFCU's annual meeting:
* Go where your members are
* Evaluate the role of data
* Strive for engagement, not loyalty
* Measure what matters to the members
* Inspire and seek input from employees
"There are various ways to get feedback from members. It is important to get this feedback more than once a year or by a global 'How are we doing?' survey. You want to know how the member felt about an experience with your credit union."
And tying the latter two bullet points together, Campbell stated: "Happy employees mean happy members and a very effective organization. Employees are the ones talking to the members, and referrals can be very powerful. Credit unions are the best in town, but does every credit union give world class service? Ask your members what they think. There are lots of tools out there that allow credit unions to touch their members and thank those who are loyal."
Do not be afraid to start small, Campbell counseled. He said ongoing surveys and employee empowerment are very low cost options that go a long way.
Member experiences should be treated as a competence, not merely a function, he explained. Members should be made to feel "special" to be at the credit union.
"Embrace the entire relationship," Campbell said. "This requires lots of training of employees. Try recording successful responses to situations on an employee-accessible Intranet. This makes training an ongoing thing, not a one-shot deal."(c) 2008 The Credit Union Journal and SourceMedia, Inc. All Rights Reserved.http://www.cujournal.com/ http://www.sourcemedia.com/
