In the wake of economic instability and shifting financial winds, you’ve likely been a part of several discussions at your credit union or community bank that focus on ways to keep the money flowing. Essentially, you're looking for ways to broaden your revenue stream. Here are a few more ideas.
Go after the low-hanging fruit
Marketing likes to look at checking account penetration rates. But what about debit card transactions? Every time a member swipes that card, you get a cut. When they’re ready to buy, you want members to think of you first and foremost. Not top-of-wallet; top-of-mind.
There are so many disruptors in the payments industry, but that doesn’t mean there’s no money left on the table. Stay top of mind and give members a reason to use you when they spend.
There’s a first time for everything. Embrace it.
A person with no credit history and no other established FI relationship expresses a sudden interest to borrow from your credit union or community bank. What do you do?
Folks, that’s what we call a golden opportunity. Don’t let it walk out the door empty handed.
Young consumers constantly face that pesky catch-22: "You mean I gotta have credit in order to get credit…??" Most are worthy of paying on time if the payments are reasonable and fit within their budget, just like any other borrower.
These first-time borrowers are frustrated! And they’re just looking for an opportunity. When you can step in and fill that void by offering a real solution, you’re welcoming a potentially lifelong and profitable member.
Empower your members
Let your members serve themselves whenever and wherever possible.
Credit unions and community banks spend hundreds of thousands of dollars investing in tools that grant members extraordinary access to their financial data. These are necessary investments meant for member empowerment and self-service.
Yet, many credit unions and community banks continue to process these requests in branch. This takes valuable time and and resources away from other revenue drivers. Productivity is lost.
Therefore, it’s perfectly reasonable to charge a small fee for these types of in-branch requests.
It’s not, “We don’t want to see you, so go online.” It’s, “We want to help you, so go online!”
Encourage members to use the free online tools you invested in for their benefit. You'll conserve time and resources which positively impacts revenue. And for the handful of members that will undoubtedly holdover, a nominal fee is a fair tradeoff for keeping you out of the red.
For more ways to broaden your revenue stream tailored to your financial organization, consider The Growth Accelerator™ program.
