I posted this fall about the need for CU marketers to first educate the general public on the definition of a credit union before going out with more product-specific messaging.
Part of that education process may require an inward glance. How is the credit union talking about itself, both internally and externally? Is there vocabulary (i.e. jargon) that, while commonplace for CU-industry vets, is confusing or even off-putting to the average consumer?
Take the word “member,” for example. What kind of a response does this characterization of your customers elicit?
For a consumer unfamiliar with the credit union setup, the word may signal exclusivity, causing them to move right past the organization’s promotions.
For another, it may create unfair or even unflattering associations – say a fee-laded gym or a movie rental membership that cost them hundreds of dollars in unused benefits?
It’s true the word “member” has its roots in good intentions. After all, credit unions do treat their customers like members of the family, extending themselves when others won’t.
But it takes both time and the nurturing of a relationship for even a credit union member to understand why the moniker is fitting.
In order to use the word most effectively, it may make sense to temper its use in introductory marketing and save it for an audience familiar with the credit union philosophy.
3 comments so far
1 Dianne Taylor // Dec 10, 2009 at 10:29 am
Georgann,
Thanks for the insightful comments. I would just add that many times marketing staff are expected to work their magic to bring in new members. The responsibility resides with everyone–Board members, CEOs, credit union staff and those of us who work for trade associations. If each of us talked up the credit union system and encouraged one or two people to join a credit union in 2010 we could have some significant credit union growth.
Coupled with an engaged Board that plans for the future of the credit union and and a well-trained staff that delivers service and product information to current members, we could really make some progress.
2 Kate T // Dec 10, 2009 at 11:28 am
I read your brief article, after seeing it in my Google Alert set up for ‘Credit Union Marketing’. I agree that the word member is off-putting. Once you are one you know there are no dues, the club is not that big of a deal. I’m not really a big fan of clubs and organized membership-based organizations, though I relate dearly to the credit union philosophy. “Member” is not a great word, at all. Customer is what most people are accustomed to. I’ll fly with that, and target “Member” materials only to use the word member.
3 Jeffry Pilcher // Dec 11, 2009 at 8:48 am
Over the last 10 years, I’ve helped hundreds of credit unions with their marketing campaigns. Many of these promotions were squarely concentrated on growing new members. One thing is certain:
The words “member” and “join” are both obstacles in the consumer’s eyes.
Consumers want something — a new car, for instance. But they need an auto loan first. Then they find out they need to join and become a member? So they think, “I have to join and become a member in order to get the auto loan I need to get the car I want… Sounds like a hassle.”
No one sets out to be “a member at a credit union.” That is not a goal that fulfills any of their needs. Membership in-and-of-itself has no value. Membership merely gives people access to the things they really need — checking accounts, home loans, etc. Inasmuch, many people view “membership” as an additional and unnecessary hurdle: “I can just walk into my bank and get X without having to fill out another form.”
Some consumers worry that they will be rejected. They worry that “membership” might have some qualifications they don’t meet.
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