These caught my eye this morning before I downed my second cup of coffee:
"Economist Identifies Offbeat Industries for Loan Growth" - American Banker
"Banks Use Science to Crack the Genetic Code of Spending Habits" - Bank Technology News
Change is inevitable, even in retail banking.
Face Your Fears: Read the Blog | Archives | Tell a Friend | RSS
10/24/2011 | Should You Fear These Headlines?
These caught my eye this morning before I downed my second cup of coffee:
09/27/2011 | Attend For Free: Colorado Open Thinking Summit (October 5-6)
We have also been given the opportunity to provide two people the opportunity to attend for free and would love to see you there.
Simply complete the short form below and tell us what innovation means to you and your credit union and why you want to attend the Open Thinking Summit.
You can also help by spreading the word and sharing this opportunity with your credit union friends in Colorado on Facebook, Twitter, LinkedIn. You could even give them an old fashioned phone call or send a text or email. Whatever the case, shout out to them and let them know they have a chance to attend an amazing event for free.
You have until 11:59 PM PST on Friday, 9/30/2011 to share your thoughts. On Monday, 10/3/2011, Bryan and I will announce who will be attending the Open Thinking Summit for free. We will decide based upon your answers about innovation and attending so have fun, be creative and destroy the box!
07/08/2011 | "Fail Fast and Fail Cheap"
For the past few weeks I have had the line "fail fast and fail cheap" in my head.
06/23/2011 | Is Your Credit Card Twitter Cool
AMEX thinks theirs is and showing it with real tweets from card holders. It's all part of their membership rewards points program they are calling "The Social Currency". AMEX is simply sharing the stories of their card holders as more people are likely to listen to others experience than an organizations marketing.
In fact, 78% of people make buying descisions from listening to stories/referrals from friends and family vs. the 22% who make buying decisions from direct advertising. Maybe AMEX is onto something with this social currency thing... is your financial institution?
06/15/2011 | F Social Media… It’s About Social Commerce
You may or may not know that Facebook has a social currency called Facebook Credits. Facebook touts credits as, "The safe and easy way to buy things on Facebook."
These credits can be purchased with real life dollars and used in Facebook social games like Farmville, Mafia Wars, etc. One can even purchase credits while waiting in line at Wal-Mart. While you personally may not be into growing virtual crops, many are. But I digress as that’s not the point.
The point is that Facebook is starting to diversify and experiment with currency even though it may still be virtual currency for a virtual world. This is the one of the first steps in the evolution of social media into social commerce.
According to Business Week, “If only one of every five Facebook users adopted Credits to buy things, Facebook would be as big as PayPal. And once Facebook makes us comfortable with Credits, it could then transition to a "traditional" global bank, storing your financial assets like gem points in Bejeweled Blitz.”
Facebook understands the need to evolve and change to survive and be more than a social network. How will this evolution affect your credit union or community bank?
06/13/2011 | Walmart Should Be Feared
An American Banker (AB) story today by Sara Lepro and Sean Sposito caught my attention this morning. It's was more of a jolt than a double expresso.
05/12/2011 | A Time To "Winovate"?
Like so many of you, I have been following all the Finovate action coming from the West Coast this week. While my preference would have been to be there, live and in person, it just was not good timing. Twitter and the Finovate loyalists keep me and hundreds of others, well informed. Kudos to NetBanker, their supporters and all the presenters for what appears to have been a fantastic event.
Innovation within the financial services industry is on a roll. Technology firms, start-ups, marketers and technologists, recognize that retail banking, as we know it, has changed little in the past 20 years. From a consumers’ perspective, banks and credit unions are about as exciting as the dry cleaners. They go there, take care of a chore and then move on. New players in the industry hope to change this perception by building a variety of services, products and channels that shake up perceptions and challenge the retail banking establishment. Great, I’m all for it.
I noticed, however, a common thread in the Tweets; an emphasis that those presenting at Finovate were “solving consumer problems”. Of course there is nothing wrong with that. But, as retail bankers, shouldn’t we be working to help the consumer avoid problems? We, no doubt, want to take the chore out of banking and empower consumers. Technology alone won’t do that. As an industry, we need to find that blend of purposeful technology and human interaction that let’s us better anticipate consumer need, so we’re engaging consumers in meaningful ways making them feel empowered and in control of their finances, and ultimately avoiding problems.
Innovation in the FinTech space, should lead to “winovation”, where all players in the retail banking space win, and so does the consumer. Technology alone will not do the job.
05/05/2011 | U.S. Auto Incentives in April Reach 5-Year Low. So what?
Consumers taking on auto loans in April were faced with the fewest new car incentives in five years. A report released by Autodata Corp. shows that automakers reduced spending on discounts and incentives by 14 percent in April to an average $2,320 per vehicle.
So why am I telling you this? Because I don't think bank or credit union lenders follow the auto industry. Instead, they focus on the "mechanics" of lending, and frankly, I think that is a mistake. American's have great passion for vehicles, yet that passion is typically not reflected or seemingly shared in the bank or credit union lending or marketing departments. Instead, we focus on the loan rate, credit policy or application process. We're conditioning consumers, your members, to view credit unions as undifferentiated commodities.
Why not bring some passion and excitement to auto lending? I am talking about going beyond educating your audience about how to buy and borrow. I'm talking about demonstrating that you also have a passion for cars and trucks. What is the typical payment on a Ford 150? Does a hybrid live up to the hype? What is the most popular vehicle your members purchase? Have you ever sponsored an on site car show (aside from Enterprise)? Do you help your members sell their old car or truck, so they view you as a resource? Have you ever posted current nationwide car incentives on your website? Obviously I could go on and on (and I gladly will if you want to reach out to me).
People want cars. People need loans. They connect emotionally with the vehicle, but not the loan. As consumers, we all love that new car smell or the thrill of driving off the showroom floor. These are experiences that are meaningful to us. So let's bring some passion to your auto lending efforts and show members that we also enjoy the open road and an open sunroof on a warm summer afternoon.
05/03/2011 | Are We Putting Our Heads in the Sand
Shawn Temple shares his fear with us and what keeps him awake at night.
Are you like an ostrich sticking your head in the sand to avoid change in the financial industry? Do you share the same fear as Shawn? Shout back and leave your thoughts and comments to join the conversation.
04/27/2011 | Swings of a Pendulum: Satisfaction Up
I was reading an article in the USA Today: Consumer satisfaction with banks up for first time in 3 years and it got me thinking (smell smoke) about how public opinion swings like a pendulum. Over the past few years BANK has become a word that didn’t sit well with consumers. Blame the banks for everything. This isn’t the first time in history people had a strong dislike for their banks. The swings of public emotion can be seen in business as well as politics. Think of the difference in political opinion and mind set between what propelled President Obama to be elected and the Tea Party taking over the House two years later. Swings of a pendulum have to hit extremes before they change directions and head to the center.
So now that the bank satisfaction pendulum may be turning did community financial institutions do all they could to spread the word and bring new members in? Has the tide turned? Is it too late? I personally don’t think so. I think there is a change happening: change in opinion, change in technology, change in patterns, change in the way banking is done. Change brings opportunity. Technology bridges the gap on what credit unions and community banks can offer their members/customers. Everything you can do (big banks) I can do better.
What are you doing today to take advantage of this? Cut spending on new technology? Slashing your marketing budget? Sticking to the way you have always done things?
I have the unique opportunity to talk to people in the credit union movement on a daily basis. The ideas flow freely. Many of the frustrations I hear are taking the ideas and putting them into motion. The fear of the last few years has paralyzed a great opportunity for growth. It’s not too late. What great ideas have you talked about that you should be working on now? What do you need to get started and put them into action? What are the barriers to change? Have you looked at some of the dedicated partners in the community that could help? There are some really smart people out there with a passion for helping you grow. Could you work with another institution in your area to move it forward?
What can you do today?
Geezeo is a diversified FinTech firm that offers online financial management (OFM) tools, personal financial management (PFM) and web-based marketing platforms to financial institutions. A pioneer in the art of engagement banking, Geezeo develops technologies that drive growth and retention online and offline. Learn more about Geezeo...
PTP NEW MEDIA passionately helps you engage, connect and interact to grow relationships through integrated marketing communications. It's about offline, online, internal and external communication channels working hand in hand. We help you tell your story and look forward to sharing our passion with you while destroying the box together. Learn more about PTP NEW MEDIA...
CUinsight.com is your one stop place for all things credit unions. We are an independent media source providing the credit union community with news, information and resources. A place to connect with partners and others in the credit union movement. CUinsight.com is built on bringing credit unions together.