Credit unions are financial institutions that are considerably smaller than banks. They have an operating model that is similar to banks with the distinction being that they are non-profit entities. As a result, members of a credit union enjoy privileges such as lower loan rates, better savings rates, and lower fees than national banks.
Since they cater to a specific and small group of people, credit unions are known for providing great in-person customer experiences. With a lesser number of financial products than banks, these institutions excelled in delivering an enriching experience to each and every member who visited their branch.
Credit Unions: The Impact of COVID-19
With the arrival of COVID, credit unions suffered a major crisis in the form of zero branch footfall and a below-par digital ecosystem. As the whole financial industry pivoted towards digital to tackle the pandemic, credit unions are still struggling to adapt to the change and deliver the same in-person personalized experiences via digital.
a. One of the major areas where they need assistance is in managing customer data. Customer data exists in the form of offline files, CRM data, transactional data, etc. They are scattered or silo-ed in various places. This makes it difficult for marketers to track a member’s journey with the credit union.
b. Most credit unions have a digital presence for namesake purposes. Conducting business online was the last thing on their minds until COVID struck. Therefore, these institutions need to make use of digital tools that can help them weather the crisis by developing a robust customer-centric digital ecosystem.
Credit Unions: Driving Personalized Digital Experiences using a CDP
Looking at the challenge of managing customer data – If the silo-ed data could be brought together in one central location and unified, it becomes easy for the credit union to get an overall view of each member. The unified view helps in getting an in-depth understanding of each member’s journey with the credit union.
Addressing the digital ecosystem challenge – A digital SaaS-based tool is the need of the hour that can seamlessly integrate with both legacy and point solutions of the credit union. It can then solve the above challenge of data unification and present a holistic view of each credit union member. Marketers can therefore 1:1 tailor personalized messages and offers and orchestrate them on the preferred channels of members.
The ideal solution to the woes of a credit union is none other than a Customer Data Platform (CDP). A CDP can solve the above-mentioned challenges easily for credit unions and help them boost their digital ROI in no time. Here is how a CDP can benefit a credit union:
a. aggregate and unify member data in real-time with data from other channels and marketing tools such as the website, call center, agent systems, etc.
b. Using a CDP’s identity resolution capability, marketers can resolve each individual credit union member in real-time across different sources and systems
c. Segment members in real-time based on their engagement level. Specific segment conditions can be created to understand user preferences to divide and target them
d. A CDP driven by AI can help orchestrate individual real-time personalized customer journeys on the right channels at the right time with the right message
e. An omnichannel customer experience can be delivered across multiple channels and devices
If you are a credit union marketer and are looking to ramp up your digital efforts, it’s time that you start off with a CDP. A CDP-led real-time personalization strategy can work wonders for your institution with respect to doubling or tripling your digital engagement and conversions. It will enable you to deliver the same great in-person experience, digitally.
Looking to understand some specific CDP use cases for your credit union? Do connect with us here.
By Bijoy K.B | Senior Marketing Manager at Lemnisk