Welcoming New Members Critical within First 90 Days of Joining
MADISON, Wis. - One way to increase membership is communicating the message of value to new members within their first 90 days of joining. According to The Point, a CUNA research publication, studies show that financial institutions with a focus on retention and new-member integration in the first three months of a relationship enjoy financial gains as well as highly satisfied members/customers. In one recent study, an 8% higher product cross-selling ratio per household than other financial institutions was achieved, the publication reported. Those same financial institutions also reduced checking-account attrition by 50% as a result of new member orientation strategies, which can include welcome calls and letter of interests. "The conventional wisdom is that `members simply leave,'" The Point said. "That, however, doesn't have to be the case. Credit unions can easily connect with new members, motivate them to stay, and forge long-term relationships with them." The retention rate average for most community banks and smaller financial institutions is about 87%, the publication reported.