ANN ARBOR, Mich. — As bank customers are displaced because of financial sector turmoil, analysts are saying it is more important than ever for credit unions to keep a tight control on member satisfaction and manage their external images.
CUs could face a steep resource challenge as Americans flee banks and a flux of new members come in to the perceived safe haven of credit unions, said Xavier Quenaudon, VP-product development at CFI Group. As one recent white paper suggested, credit unions continue to have a high member satisfaction rating, much higher than larger banks, but that rating could start to suffer if economic challenges and a swelling in member rolls begin to put a strain on service levels.
"We've seen that credit union members, when they are more satisfied, bank more with credit unions and have more products with them," Quenaudon pointed out.
CUs need to stay apprised of which areas are strengths and which need shoring up when it comes to keeping members happy, and they can do that through comprehensive surveys and analytical tools such as CFI Group's own Credit Union Monitor Solutions.
"More and more organizations tend to rely on web-based surveys, inviting members to come to the website to fill out a survey," said Quenaudon, noting that Internet surveys are more flexible and user friendly than automated phone surveys. "That data feeds our analytical system, which not only calculates the [satisfaction] scores, but also mathematically identifies where the weaknesses are."
When those weaknesses are identified, Quenaudon suggested that CUs should attack one at a time, beginning with the areas that will boost member satisfaction most efficiently. As those weaknesses become sources of strength, the institutions should start to see the changes reflected in the bottom line.
"It really enables managers of credit unions to look at the holistic situation and understand what needs to be done to get better word of mouth and higher share of wallet," Quenaudon said of Credit Union Monitor.
Boosting a credit union's positive image in the community as a whole can be much tougher, he noted, as surveying non-members is impractical and many image-realated marketing efforts lack ROI data. Quenaudon suggested engaging the community through a variety of social media efforts to continue the dialogue.
"Blogs are becoming more and more popular in terms of improving, or destroying, the brand and image of the company," he said. "That's a medium you do not control but you can influence to some extent by having a good relationship with your members, keeping an eye on what is out there, and proactively communicating."
CUs should also feel free to concede their weaknesses while reiterating their constant commitment to improving service.
"You can't hide anymore, and since you can't hide, you might as well be proactive," Quenaudon said.
