BROOKFIELD, Wis.-Credit unions should intensify the move to mobile in 2012, making sure that people are able to open multiple accounts from any mobile device.
And the mobile channel should deliver an experience that's consistent with other channels.
That's according to the four big CU service providers that participated in Credit Union Journal's exclusive "Look Ahead 2012" roundtable.
"Consumers continue to adopt the online and mobile channels, so those channels should continue to be areas of focus for credit unions," said Mark Atchison, VP- offerings development at Fiserv here, pointing to a Fiserv survey that found one in four online households is using the mobile channel.
A rich mobile experience could make the difference to a valuable member, added Ted Bilke, president at San Diego-based Symitar, a division of Jack Henry & Associates. "If your credit union doesn't deliver services the way your members want to receive them, they can easily find any number of other institutions that will."
To that end, CUs should extend their mobile services to the range of mobile operating systems and offer features like alerts and personal financial management that will converge with the online channel, Bilke said.
In fact, more than ever, credit unions "need to be able to see across channels for a holistic view of the member and the ability to deliver consistent information," said Atchison. "The payoff is a better member experience."
People aren't satisfied using mobile simply for transactions, demanding that financial institutions enable account opening and funding from their handheld device, suggested Sam Kilmer, VP-market development for Lake Mary, Fla.-based Harland Financial Solutions. Kilmer pointed to a Corporate Executive Board (CEB) survey showing that the majority of 18-to-34 year-olds prefer to purchase financial products outside the branch.
"We've always understood that this demographic wants to learn about products online, but now their purchase behavior has clearly moved to online, mobile, phone and mail," Kilmer explained.
"A primary way that credit unions can connect with the new growth segments-Generation Y and the Hispanic markets-will be through mobile banking," agreed Russell Randolph, SVP-global product segment at Atlanta-based First Data. Randolph mentioned a Javelin Strategy & Research study showing that Generation Y earnings will be higher than Baby Boomers' as early as 2018.
"Consumers will expect to receive offers for financial products and services and have the ability to sign up for them all via mobile devices," said Randolph.
Success of Online Channel
Online cross-sales are more successful than branch or phone sales, added the CEB survey.
Kilmer's conclusion: "Credit unions need to offer multi-product online and mobile sessions with members. Your technology needs to handle deposits, payments and new accounts. It needs to coordinate between the mobile, online and branch and with business intelligence tools in order to offer the right product and remember how the member responded."
"Great" mobile payment convenience will allow credit unions to engage with the mobile market, said Randolph. Payment services may include mobile wallets; enhanced transaction alerts; deposit capture; and P2P and bill payments in real-time, all integrated within the mobile banking app.
CUs should pay attention to the difference in channels, Atchison said. "Think about how members will use different channels and deliver capabilities accordingly. Mobile channel interaction is quick and frequent. Members go online for a slightly deeper level of engagement."
