The NAFCU Journal January - February 2018 - 54

MANAGEMENT INSIGHT

Becoming a
Digital Credit Union
By Jeff Rendel

M

any credit union strategic
planning sessions close
with an objective or central
idea that reads something
like, "Expand our digital reach to members," or "Design a credit-unionwide
digital experience" or "Increase members' digital engagement with our credit
union." Add findings from research
in The Financial Brand that displays
growth in omnidigital members (who
do all their banking by phone, tablet and
laptop) is outpacing omnichannel members (they're digital, but they stop by a
branch or call from time to time), and
it's evident that digital engagement with
members is a strategic inevitability.

How are credit unions adjusting their
business models to meet the trends
shaping their members' expectations
and credit unions' ability to serve members? Responses from several dozen
credit unions (of all sizes) indicate that
"going digital" in credit unions is a twoway street: how a credit union engages
with its members and how members
engage with their credit union. Let's
explore common themes and practical
methods from more than 40 credit
unions nationwide.

Engaging With Members

Digital marketing visibly led the way as
the most effective approach to market
to members. Email marketing, customer relationship management (CRM),
marketing customer information files
(MCIF), digital advertising, big data analytics and artificial intelligence carried
credit unions' messages into the tailored
and preferred space of members. Digital
54

marketing proved more successful
than conventional marketing due to its
pinpoint accuracy, economic advantages
and comparative ease of execution.
Digital service brought branch deployment and design into the digital space
as well. Interactive teller machines,
video-centered interactions with off-site
tellers and lobby-based, tablet-powered service brought assistance out
from "behind the counter" and into
relationship-focused consultations that
increased members' ease and convenience. In many cases, walk-in traffic was
most often served digitally: Members
benefited from the simplicity, and credit
unions gained from the efficiencies.
Digital onboarding and feedback
kept credit unions in touch with their
members and aware of service dependability and variations. Digital onboarding helped engage members soon after
account opening and assisted members,
new and long-term, in benefiting from
all features of their relationships. Digital
feedback was instrumental in championing successes in service and ensuring a
consistent, branded experience across all
member-facing platforms.

Engaging With Your
Credit Union

Digital access proved to be much more
than checking balances and paying bills.
Omnidigital members had zero desire
to get banking services from the branch.
Opening accounts, applying for loans,
getting text updates, funding (even new
deposit account funding) and finalizing documents via digital means were

"business as usual" for credit union members. While most members could tend
to finances via a credit union's app or
mobile website, a human connection was
needed from time to time. These credit
unions met members' needs through
extended or 24/7 call center availability
or secure chat features once inside the
mobile or online portal.
Digital education put the strength of
understanding at members' fingertips.
Credit unions built their knowledge
centers to focus on education, recommendations and decisions ("next step"
opportunities to keep the buying process
moving). Knowledge centers were combinations of video tutorials, "what-if?"
scenarios and even games (which always
ended with a message about the value of
the credit union). Of most interest was
the utilization of digital education by all
demographics; not just millennials.
Research has revealed that mobile and
digital members have higher retention
rates, use more products and services,
generate more revenue and are less costly.
And digital-first members are growing
in number. Consider this guidance as
you look to digitally engage with your
members. It's a two-way street that produces financial and experiential value for
your members and, as a result, enterprise
value for your credit union.
Jeff Rendel, certified speaking professional
and president of Rising Above Enterprises,
works with credit unions that want entrepreneurial results in leadership, sales and
strategy. You can learn more about Rendel
at www.jeffrendel.com.

THE NAFCU JOURNAL  JANUARY-FEBRUARY 2018


http://www.jeffrendel.com

Table of Contents for the Digital Edition of The NAFCU Journal January - February 2018

Conferences
From the Chair
Advocacy Snapshot
Washington and Industry Briefs
Growth Strategies
Stepping Into the Future
A Clear Path Forward
Economic Outlook: It’s Complicated
NAFCU 2018 Vendor Directory
Executive Spotlight
Management Insight
Compliance Central
Inside NAFCU Services
From the President’s Desk
The NAFCU Journal January - February 2018 - Cover1
The NAFCU Journal January - February 2018 - Cover2
The NAFCU Journal January - February 2018 - 1
The NAFCU Journal January - February 2018 - 2
The NAFCU Journal January - February 2018 - Conferences
The NAFCU Journal January - February 2018 - From the Chair
The NAFCU Journal January - February 2018 - 5
The NAFCU Journal January - February 2018 - Advocacy Snapshot
The NAFCU Journal January - February 2018 - 7
The NAFCU Journal January - February 2018 - Washington and Industry Briefs
The NAFCU Journal January - February 2018 - 9
The NAFCU Journal January - February 2018 - 10
The NAFCU Journal January - February 2018 - 11
The NAFCU Journal January - February 2018 - 12
The NAFCU Journal January - February 2018 - 13
The NAFCU Journal January - February 2018 - 14
The NAFCU Journal January - February 2018 - 15
The NAFCU Journal January - February 2018 - Growth Strategies
The NAFCU Journal January - February 2018 - 17
The NAFCU Journal January - February 2018 - Stepping Into the Future
The NAFCU Journal January - February 2018 - 19
The NAFCU Journal January - February 2018 - 20
The NAFCU Journal January - February 2018 - 21
The NAFCU Journal January - February 2018 - A Clear Path Forward
The NAFCU Journal January - February 2018 - 23
The NAFCU Journal January - February 2018 - 24
The NAFCU Journal January - February 2018 - 25
The NAFCU Journal January - February 2018 - Economic Outlook: It’s Complicated
The NAFCU Journal January - February 2018 - 27
The NAFCU Journal January - February 2018 - 28
The NAFCU Journal January - February 2018 - 29
The NAFCU Journal January - February 2018 - 30
The NAFCU Journal January - February 2018 - 31
The NAFCU Journal January - February 2018 - 32
The NAFCU Journal January - February 2018 - 33
The NAFCU Journal January - February 2018 - 34
The NAFCU Journal January - February 2018 - NAFCU 2018 Vendor Directory
The NAFCU Journal January - February 2018 - 36
The NAFCU Journal January - February 2018 - 37
The NAFCU Journal January - February 2018 - 38
The NAFCU Journal January - February 2018 - 39
The NAFCU Journal January - February 2018 - 40
The NAFCU Journal January - February 2018 - 41
The NAFCU Journal January - February 2018 - 42
The NAFCU Journal January - February 2018 - 43
The NAFCU Journal January - February 2018 - 44
The NAFCU Journal January - February 2018 - 45
The NAFCU Journal January - February 2018 - 46
The NAFCU Journal January - February 2018 - 47
The NAFCU Journal January - February 2018 - 48
The NAFCU Journal January - February 2018 - 49
The NAFCU Journal January - February 2018 - 50
The NAFCU Journal January - February 2018 - 51
The NAFCU Journal January - February 2018 - Executive Spotlight
The NAFCU Journal January - February 2018 - 53
The NAFCU Journal January - February 2018 - Management Insight
The NAFCU Journal January - February 2018 - 55
The NAFCU Journal January - February 2018 - Compliance Central
The NAFCU Journal January - February 2018 - 57
The NAFCU Journal January - February 2018 - Inside NAFCU Services
The NAFCU Journal January - February 2018 - 59
The NAFCU Journal January - February 2018 - From the President’s Desk
The NAFCU Journal January - February 2018 - Cover3
The NAFCU Journal January - February 2018 - Cover4
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