top 10 emerging trends for credit unions presented by: sean mcdonald
TRANSCRIPT
Top 10 Emerging Trends for Credit Unions
Presented by:Sean McDonald
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Today’s Goals
• Discuss the EVOLUTION REVOLUTION• Identify the Top 10 Trends happening in our
industry• Where do we go from here?
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The EVOLUTION REVOLUTION
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Top 10 Trends
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• New Target Markets• CHANGE Management• The Digital World• Cross-Selling/Building More Meaningful
Relationships• Branch Evolution
Top 10 Trends (con’t)
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• Getting Relevant• Increased focus on VALUE PROPOSITIONS• Attracting & Retaining Top Talent• Leadership Changes (people AND
practices)• You’re either KEEPING UP or BOWING
OUT
Membership
• Who is joining credit unions?• With the intro of community charters in 1998,
potential membership has increased but actual membership has not grown as expected or hoped for.
• In 1980, the percent of potential membership that joined credit unions was 47%. By 2013 that number had dropped to just over 8%.
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ALLOW ME TO INTRODUCE….
A FEW OF YOUR FUTURE MEMBERS…..
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Some Challenges….
• Younger generations simply expect different things from their financial institutions
• We must adapt to the changing marketplace…..NOT the other way around
• Remember Google before it became a verb?
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EVOUTION INVOLVES:
• Taking new trends and methodology seriously• Getting VERY familiar with new technology• Understanding that certain things will have to
be let go• Realizing that we must be hiring the best and
brightest employees NOW so that we’re prepared for the future
• Mitigating challenges associated with change
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WHY IS CHANGE SO HARD?
• It’s a “comfort thing”• Humans are designed to evolve and change as
the environment demands BUT most of this is done unconsciously.
• It’s only when we start to consciously resist that the problems arise. Our “flee or fight” instinct comes into play.
• So how do we introduce change in a non-threatening way?
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INTRODUCING CHANGE
• Concentrate more on the WHY than on the WHAT (more on this later!)
• Provide as THOROUGH an explanation as possible. (Yes, you do have to justify your decisions to the people that you expect to implement them.)
• Provide RESOURCES and TIME but….• Clearly state EXPECTATIONS.
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Thoughts….
• The marketplace is simply too competitive. If people don’t get what they expect, they will look elsewhere.
• “The World Is Flat”• But we don’t have the money for all of
this!!• I bet that you do!
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The DIGITAL World
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TACTICS
• Digital Marketing• Cross-Selling• Social Media• Mobile• Convenience• Be RELEVANT to the generations• ???????
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Are These Dead??
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It Depends…..
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Most likely, yes, if they look like
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Branches are evolving to look like
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More Tactics…..
• Introduce potential members to the credit union industry by going where they are….
• This isn’t “Field of Dreams”• Speak their language….a more modern
way of communicating• Define VALUE and W.I.F.M.• Get personal!
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The Next Generation….of CU Leaders• Credit unions are now staffed by people in a
variety of age groups.• As our more seasoned employees start to
retire, they are being replaced by younger professionals.
• Younger professionals tend to embrace change more so than their more seasoned counterparts.
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What Do They Want?
• These young businessmen and women are keenly interested in working for companies with clear missions, visions, and values.
• They want to be “in the know.”• They want advancement opportunities and
continuing education opportunities.• But there is a dangerous trend going on – many of
these younger professionals are not getting what they expect or desire working for some credit unions.
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What Does This Mean?
• The future of your credit union is at stake!• Gone are the days of people staying at the
same job for decades. • The average person just starting their career
will change jobs more than 10 times until they retire and, on average, will work in 3 different industries over the span of their careers.
• Credit unions must endeavor to keep these smart and talented young professionals.
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A Parting Thought on Budgets…
• It is very disheartening that, when times get tight, the two budgets that are cut first are the most important: training and marketing.
• How can you expect your business (in this case your credit unions) to prosper if you are not training your people to become better and are not marketing your services to existing or potential members?
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THANK YOU!!
ABSURD! Leadership
“Where ABSURD! Is A Good Thing”
www.ABSURDLeadership.com
Your Full Potential, LLC
Staff & Management TrainingConsultingStrategic Planning
www. [email protected](201) 920-9328
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