The CUNA Marketing & Business Development Council has released a new white paper that promotes the use of objective measurements to quantify the effect of marketing on a credit union’s bottom line.
“Mastering Metrics: Measure What Matters in Marketing and Business Development” outlines a system that helps determine what “metrics to measure, what information is needed to make those metrics actionable inside and outside the marketing department, and how to work with colleagues in other departments to make those metrics as useful as possible,” according to a CUNA press release issued Monday.
“Calculations for key metrics are presented, including return on marketing investment, wallet share, return on new member acquisition, lift, pull-through, net member growth, frontline sales, business development reporting, and high-level measures of quality of service and status as members’ primary financial institution such as the Referral Performance Score, a rather new measurement,” the release also said.
The paper highlights some recommendations for credit unions from Marketo’s Definitive Guide to Marketing Metrics & Analytics written by Jon Miller.
“Miller recommends a systematic and scientific approach to measure the impact of marketing—to the point of using control and test groups, for example, or varying spending in a media buy across several markets to compare results. In addition, developing a system to record details of marketing campaigns (costs, themes, targeted members, media, response rates, etc.) will provide a useful reference for future comparisons,” the white paper said.
“Another recommendation is to allocate a small portion of your budget, maybe 10%, to launch small test campaigns for the primary purpose of determining ‘whether something works or how to make it work better.’”
There are also three case studies provided from marketing and business development departments that give credit unions realistic examples of the ways marketers develop metrics and share the information with their boards, executive teams and staff.
CUNA Council members can view the white paper on the CUNA Council website.