Keep Boomers Satisfied by Getting Personal
Today, the baby boomer population is one of the largest in the United States. In fact, there were almost 76 million Americans born during the baby boomer period, from 1948 to 1960. This means that this demographic group represents about 28% of the United States population, which is considered one of the largest in the United States history. Certainly a group to pay attention to by any business but particularly one that should get the full attention of credit unions. Why?
It has been reported that in the upcoming year there is the potential for more than 5 million boomers to leave their credit unions when they leave the workforce. That is the bad news. The good news is that another report by Forrester Research shows credit unions tied for first place with USAA as the most trusted financial institution, most likely because credit unions have the reputation for putting customer needs first, which fosters loyalty and trust. With the continued uncertain economy, boomers are sure to be looking at financial provider alternatives with which to place their trust. This gives credit unions the perfect opportunity to put in place a strategy to not only retain current members but to also woo potential new ones.
Drawing information from what you already know about your members you can, for example, use the white space on your statement to send an offer for products that help your members better manage their income or health coverage. Highly personalized communications deliver many benefits. They have a proven track record when it comes to dramatically improving customer response. And in doing so, you also reap the benefit of reduced production costs by eliminating the need to produce separate announcements as well as reduce the time required to get the word out. Even the briefest message on the statement can be timed to integrate with a broader campaign, directing members to the website for information on how easy and beneficial it is to belong to your credit union or alerting them to your highly competitive rates on things like certificates of deposits.
Differentiation is critical as you focus on ways to retain and gain members. Having the ability to segment and target personalized content for cross-sell and up-sell opportunities as part of normal communications will accomplish two important things: remaining competitive and succeeding in providing your baby boomer members the information they want.