Technology Is Difference Between Credit Union Extinction and Survival: Editor's Column
The dinosaurs didn’t have the brains or the tools to see it coming, but credit unions do. Fiserv’s Mark Sievewright discussed ISIS among other threats to credit unions last week at the New Jersey Credit Union Leagues’ Reality Check conference. CUNA Mutual’s John Lass told attendees, credit unions are under a serious threat as financial delivery services evolve rapidly, and at least in the ISIS case, credit unions aren’t even at the table. He did add that CUNA Mutual is working on that.
Several interlocking pieces to this puzzle can help credit unions to get to the point that they’re actually invited rather than fighting to be an afterthought.
Another demographic for credit unions to focus on is women. According to the blog She-conomy, American women spend about $5 trillion each year, which is more than half the GDP. Women buy more than half of the new cars, influence up to 80% of all car purchases, 22% shop online at least once a day (there’s that pesky technology again), and 92% pass along information about deals or finds to others. Each of these points can translate into lending and membership opportunities for credit unions.
Leaders of head-hunting firms have indicated that the beginning of the credit union CEO brain-drain is upon us. Top credit union executives will become younger over the next several years and help credit unions to further adapt to the changing financial services environment.