Not too many years ago, the idea of someone using big data tolearn our behavior patterns might have conjured up an uneasy visionof a George Orwell-inspired world, with mainframe computersspitting out information about our every move. But today's realityis that most of us appreciate it when travel search engineKayak.com recommends where to go on vacation or Netflix suggestswhat to watch on TV. In fact, we expect businesses wefrequent to know our likes and dislikes.

“John,” a millennial who just landed his first professional job,thinks you should know he's in the market for a new ride. Heexpects to receive a text when his credit union has an auto loansale, but he doesn't want to hear about your mortgage rates. Andbecause “Kathy” is a busy working mom with a third grader and apreteen, she wants you to understand why she prefers mobile bankingto a trip to the branch … most of the time. All of your membersexpect you to use what you know about them to connect in ways thatshow your credit union is paying attention to their uniqueinterests.

What consumers don't expect from your credit union is aspray and pray approach to marketing. Not only is that so 2010, itisn't very effective. Baker Tilly often partners with MEMBERSDevelopment Company and its credit union owners on initiatives likedetermining the best ways to use data analytics to reach and engagemembers. Our most recent research shows 79% of the credit unions wesurveyed listed personalization as a moderate to very highpriority. Why? Because they know it's what members want andexpect.

Like most hot, new concepts, it's easy to make a buzzword out ofpersonalization, and some have misused the term to the point thatit's in danger of becoming overexposed before it's fullyunderstood. Of course, the intent behind it isn't new to creditunions.

For years, credit union frontline staff have greeted members byname, remembered when they bought their last homes, or helped themselect car loans. But getting to know members is more challengingin a digital world, with fewer opportunities to talk face toface.

Personalization blends the longing for one-on-one interactionswith data analytics to understand members' needs and respond tothem.

Retail service providers, including credit unions, today need afocused, organized approach to connecting with consumers, somethingAmazon has mastered. Automation has done much to cut costs and savetime, but we fear the ability to keep close member ties has becomea casualty of convenience. Enter personalization – a strategic wayto develop and strengthen the member/owner relationship and fosterengagement across multiple channels.

Launching a personalization program takes effort and commitment.Working together with MDC's 40-plus progressive, large creditunions, we've identified barriers that can hinder your program andshould be addressed at the outset:

Technology: Are we, or our service partner,able to capture and integrate data from our core system, CRM andother sources across platforms? Can our data be trusted?

Time investment: Are we willing to spend thenecessary time to gather and manage needed data?

Strategic expertise: How do we plan to getstarted? Can we turn data into usable information now?

Creepiness factor: Can we tailor communicationsto ensure each member feels cared for, but not preyed upon? Do wehave a good balance between personalization and privacy?

The thought of these obstacles might overwhelm some marketingteams. But it's doable, and like any journey worth taking, it canbe accomplished a step at a time. Here's how:

Set goals. Make sure management and staff areon board and understand the value of the personalization program.Set goals that connect your program to business objectives, suchmeasurable growth and retention goals.

Get started, then refine member data to increaseengagement. Consider this four-stage repeating cycle:

1. Listen: Think about the information collection channelsavailable to you: The call center, in-branch visits, members'online and mobile behavior, and social media posts. Flesh outmember profiles to find clues to better understand their needs.

2. Learn: Consolidate the information from all channels, analyzegaps and seek ways to improve it. Create personas for variousdemographics based on member interactions at the branch or callcenter, along with data collected from members' online and mobilebuying behavior.

3. Strategize: Develop personalization tactics for differentscenarios, such as routine member service matters, questionsrelated to specific products or processes, and assistance based onbehavioral activities. For instance, guide loan officers to preparefor appointments by reviewing member profiles so they are familiarwith the member's past borrowing behavior and credit unioninteractions.

4. Deploy: Develop, prioritize and implement your plans across allchannels while evaluating effectiveness. Make your branch inviting,perhaps including a spot where members can visit, use the internetor enjoy coffee. Equip call center staff with a complete view ofmembers, as well as sales and service information. Be sure onlineand mobile apps greet members by name and use contextualinformation to deliver offers.

Sarah Lietz is director of projectsand marketing for MEMBERS Development Company. She can be reachedat 612-747-1013 or [email protected].

Kurt Schroeder is principal,growth strategies for Baker Tilly. He can be reachedat 612-876-4816 or [email protected].