Do Credit Unions Still Remember Why They Exist?
SAVANNAH, Ga. -- Some hard questions need to be asked before credit unions can set out on a path to grow membership such as remembering why they even exist.
Mark Meyer, executive director and CEO of the Filene Research Institute, shared with attendees at the Georgia Credit Union Affiliates' annual convention some key areas to focus on.
"Ask why do you exist, who are you serving and what is your value proposition," Meyer said. "How are [credit unions] different?"
According to Filene research, 8% of members use credit unions as their primary financial institution while 16% use banks and credit unions. Meyer highlighted the data to find out if members are indeed loyal.
As for specific ways credit unions can grow membership, Meyer said things like peer to peer lending, prized-based savings and aggressively serving low wealth households, Baby Boomers, Generation Y and new immigrants are a few strategies.
"[Credit unions] have to get beyond copying the competition," Meyer said. "When you innovate, stop focusing on industry perceptions and competition. Instead, explore the value to the member."