Managers at the $716 million Fort Worth Credit Union learned a thing or two over the Christmas holidays about tweaking a loan product that had a long shelf life. The result: a whopping 400% increase in loan volume in two years.
"It was amazing what a little 'spruce up' can do on a product that has been around for 10 years," said Rochelle Drake, vice president-marketing.
With the help of its agency, Third Degree Advertising of Durham, N.C., the Texas CU went to work this year going online with applications, introducing eye-catching graphics, billboards and direct mail for its "Holiday Fast Cash" product employing a "wind up" theme using imagery of wind-up toys and messaging that played upon the urgency of the holidays.
The result was "Fast Cash" loans topping $2.1 million for 2010, up from the $440,000 in 2008 with the average loan at $1,910 compared to $748 two years ago.
The Holiday Fast Cash loan is a personal/signature loan with a maximum of $15,000. The member has 12 months to repay at a special low rate of 7.9%. Members are able to apply online and get instant loan approval in 30 seconds.
Deliverables included three versions of direct mail, the first being a letter and minute application to bring in the repeat loans from current members. The second piece was more extensive, using variable data and die-cuts to catch member's and non-members' attention. And the third was a postcard to both members and non-members, Drake said.
"One important thing we found in making this product appealing relates to the member need during a tough period in the economy with fewer companies giving out Christmas bonuses," she said.
As part of the campaign, Third Advertising said its various collateral material included outdoor boards, drive-thru banners, teller counter posters, promotional boards plus newspaper ads, statement stuffers, and online ads.