ABA Banking Journal - September 2007 - (Page 36)

COVER STORY A RVEST BANK Outreach keeps paying dividends I t’s not often that a small regional player in today’s markets introduces an international payment instrument of its own design, but, then again, Arkansasbased Arvest Bank has been pioneering new approaches to banking the Latino market for years. The introduction last fall by the $9.2 billion-assets bank of a special ATM card, called Unidos, was just the latest innovation. Immigrants can send these cards to friends and family back home as an alternative to sending international remittances. The recipient of the card—two can be issued per account—can access a special sub-account of the U.S. accountholder’s account that contains the amount that the sender can afford to let them have. The cards can be used in ATMs anywhere that Cirrus and Pulse serve, internationally, which sets them apart from some competitive products that can only be used for getting money to a specific country. Transferring cash this way is frequently cheaper than money orders. (These cards can also be used at the pointof-sale, in the U.S.) The account requires a one-time setup charge of about $6, and there are no charges for monthly maintenance, monthly statements, or transfers. A $2 fee, plus any local charge, applies to withdrawals at non-Arvest ATMs. A bonus is that the checking account required to send Unidos cards makes the person opening the account an Arvest customer, and this makes them eligible for free payroll check cashing at the bank. The cards have sold so well, not only to Hispanic immigrants, but to people of many nationalities, that Arvest is actually considering shifting to a name that isn’t specific to any particular ethnic group. Arvest’s Unidos card allows people in the U.S. to send funds internationally through the ATM system. Serious commitment to Latinos But that doesn’t mean that Arvest won’t continue going the extra step to reach out to Hispanic customers. Indeed, Manuel Ocasio is living proof of that commitment. He is Hispanic Marketing Director 36 SEPTEMBER 2007/ABA BANKING JOURNAL for the four-state Arvest organization. Ocasio, a career soldier prior to retiring and moving into banking six years ago, has been with Arvest for about a year. He works with the various Arvest local banks to help them reach out to Hispanics in their markets. One very effective tool has been offering seminars, beginning with a general seminar concerning banking and finance, followed by more specific subjects. “It’s a slow process, but it’s a very effective process,” says Ocasio, “because it works by word of mouth.” This communication works most effectively among Latinos, Arvest has found. Ocasio helps Arvest teams get out into the Hispanic community and build connections. While Americans culturally tend to go to specialists when they need advice, Ocasio says that many Hispanics tend to seek out the opinion of one trusted, respected advisor for many different matters. “It’s usually an elder or a respected business person in the community,” says Ocasio. But this effort to reach out to those people cannot be a cynical attempt to win over opinion leaders. Nothing, not even language ability, by itself, is so important to the Latino market as trust, Ocasio has learned. “Trust is the biggest factor in marketing to Hispanics,” he says. “You have to be genuine. If they feel that you are coming to them solely for personal gain, they will blackball you.” Another step that Ocasio takes is presenting radio programs he’s developed for this market. Ocasio’s typical format is some chat about banking products and services, blended with local community news and issues of interest. Again, this drives word-of-mouth exposure for the bank. Critical to serving this market, according to Ocasio, is understanding that Latinos come from many countries and cultures—21, by Ocasio’s count—and ARVEST BANK continued on page 38 www.ababj.com/subscribe.html http://www.arvest.com http://www.ababj.com/subscribe.html

Table of Contents Feed for the Digital Edition of ABA Banking Journal - September 2007

Contents Editor's Column Briefing: Why Money Sense is a Top Priority Briefing: Sleight of Mind Briefing: Snapshot: What the First Half Tells Us About the Second Half Briefing: ABA Resources ABA Chairman’s Position Briefing: Get Away and Get Ahead: ABA's Banking Leaders Forum Community Banking: Trim the Fat: Winning the "Battle of the Buck" Community Banking: Pass the Aspirin Cover Story: Meeting the Challenge of the "Unbanked" Bank Marketing: Don't Miss the Boom! On the Job: Time to Power Up Your Presentations? Insurance Sales: The Art & Craft of Cross Selling Tech Topics: The Price is Right? Tech Topics: Security: Protect Information First Tech Topics: Hackers for Hire? You Bet'cha Tech Topics: Case in Point: Tellers Scan, Too, at First Federal Compliance Clinic: Adverse Action Clarified The Economy Banker’s Mart To Advertise/Index of Advertisers

ABA Banking Journal - September 2007

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