Harland Clarke: Credit Union Marketing Needs the Power of Good Data
NWCUA strategic partner explains the role data plays in developing an effective marketing strategy.
Strategic Link partner Harland Clarke has a mission to help credit unions engage their members in this new era of technology. The company keeps a close eye on consumer behavior and recognizes the need for accurate data to keep up with those changes.
Today, Harland Clarke supports credit union marketers in their efforts to strategize, execute, and measure their marketing campaigns. Through the company’s Portfolio Analytics service, credit unions can understand how to attract the best prospects, convert them as members, and continue to retain and build long-term relationships for future growth.
There’s no shortage of data that credit unions have access to. Rather, it’s a matter of knowing which data is the best and how to use it to add value and help assess marketing campaigns.
“Harland Clarke helps our member credit unions sort through the confusion about using data to attract and retain the best members. We’re know that they understand data and how to best use analytics in today’s business environment, and the information overload that defines it,” said Vice President of Strategic Resources, Jason Smith.
These four points explain why understanding different types of data is critical and how specific data sets can refine marketing efforts.
1. Understand Account Holders
An analysis of a credit union’s portfolio can help identify current members’ habits, as well as show potential opportunities in the market as a whole. It’s one way to understand how to market products and services that will attract new members.
Not only does better data identify at-risk members, it can also highlight the most responsive account holder segments, helping gain invaluable insight into your current member relationships and future potential.
2. Use Predictive Modeling
Not all members are equal, yet credit unions are in the business of offering products and services evenly to all. Looking at clients through the lens of accurate data offers credit unions a way to assign value to members—it’s not all about account balances.
Through the proper use of data—value segmentation—credit unions can discover the long-term and shorter-term potential of their member base, as well as the market as a whole. A value segmentation study can identify opportunities and risks across two key indicators: purchase propensity—members likely to purchase a new product, and attrition risk—those members who may reduce balances or close accounts.
Indicators such as these can help credit unions define a marketing strategy that is geared to the demographic they’re trying to attract.
3. Focus on Attracting the Right Members
Losing members who aren’t engaged or adding to the bottom line isn’t always a bad thing. Efforts to retain those members are better used on current and new members who will develop long-term relationships with their credit union.
Data-driven insight offers information about habits that allows credit unions to develop integrated marketing strategies for member acquisition, on-boarding, and cross-selling. Engaging members at key intervals with targeted marketing captures the full-profit potential by increasing the number of products used per household.
4. Measure Your Efforts
Metrics are critical in analyzing the effectiveness of marketing campaigns—was it a winner or a loser? Clicks and opens are great, but data that measures response, conversions, average balances, and long-term engagement offer a comprehensive picture of the overall results. And yet, many marketing campaigns are designed without analytics in mind.
It’s critical to have a way to tie outcomes back to specific marketing campaigns. Including the proper data parameters when developing the campaign helps assess what works and what doesn’t, and allows credit unions to refine efforts to repeat their successes or lessen their failures.
In a world saturated with advertising, credit union marketers need a partner who is an expert in data analysis—and how to use it—to drive strategy, assess efforts, judge their success, as well as validate the need for marketing dollars.