There are more choices than ever when it comes to banking and lending. In fact, according to the FDIC, there are nearly 5,000 banks in the United States and more than 5,000 credit unions. This complex landscape has made it harder for institutions to be competitive and retain members. Credit unions need to ensure members know that they are valued and that their needs are being met.
Scenario #1: A young couple is planning to move into a new home. This couple happens to be searching for potential houses and condominiums in the community where a credit union is located. With data-driven marketing, a credit union can get access to a New Mover list to target this duo and make them an offer for a personal loan, letting them know that their big move isn’t a pipe dream, and that they are a new welcome member of the community. Data-driven marketing is a process by which strategies are built on insights pulled from the analysis of member interactions and engagements to form predictions about future behaviors. It has become a necessary tactic for credit unions to pursue.
Credit unions have access to a plethora of information about consumers. They have the transactional data that members provide when they open accounts and apply for various loans and products. This first-party data is a great place to start. Then credit unions can then layer on third-party data from a trusted resource such as Experian to fill in the gaps. Together, the data will give credit unions a more holistic understanding of their member’s needs, wants, lifestyle and what motivates them.
Scenario #2: Grandparents who are part of the local community are looking to potentially open a certificate of deposit as a gift for their grandchildren. Credit unions in the area can apply data-driven marketing to run a targeted campaign focused on potential members who might have grandchildren and provide them a targeted invitation to apply for a certificate of deposit. This would provide grandparents with an opportunity to provide a wonderful gift for their growing family. As you can see, by using data-driven marketing, credit unions will know what approach to take when targeting both existing and potential members.
By leveraging the vital information that data-driven marketing provides, credit unions can strategically plan their marketing campaigns, better service distribution channels and acquire new members while keeping the existing ones. This type of marketing will bring personalized messaging down to an individual member level. Credit unions will be able to better market relevant offers to potential members who are looking to buy a new house or open a certificate of deposit for their family. Analytics in some cases can even predict the future; credit unions can now know when a member is ready to take out a loan for things such as college tuition, home improvement or a vacation.
Get more out of existing data
Experian’s Customer Data Engine can help credit unions securely managing first and third-party data, create a single view of customers, better target customers, manage marketing campaigns, and measure campaign effectiveness. Leveraging the right tools and data can help credit unions make better decisions to reach both customers and prospects more effectively and ensure they set themselves apart from the ever-growing competition.
Up your deposit game
Experian’s Deposits offering powered by ConsumerView® can help community-based financial institutions compete in the data-driven landscape and stretch their resources further. Winning deposits in the face of extreme odds means relying on the strategic application of your data. Depth of insight and rich coverage is crucial to your institution’s future, helping you define your most ideal prospects and customize a message that will resonate with them.
Community banks and credit unions are indispensable members of their local community. Their firsthand knowledge of the community allows them to customize financial products for their customers, create local jobs, and reinvest in the local community. Experian’s solutions can help them grow and become more effective in the changing financial services landscape.