What is a credit union? Each organization has their own terminology to describe what they provide to members, much of it similar to other credit unions. There's the standard definition: credit unions are member-based, not-for-profit co-operatives providing financial services. But, what is a credit union? This in fact is probably one of the most difficult marketing challenges credit unions face today.

With so much competition from community banks, larger-national banks as well as other credit unions, consumers still don't necessarily understand the difference between a bank and a credit union. If consumers really know what a credit union is, why wouldn't they become members? What's more, if they do grasp the meaning of what a credit union is, they may not necessarily understand many credit unions have broad fields of membership.

Then, there is the convenience-factor. It is perceived as a hassle to change financial institutions and credit unions need to be better at not only promoting the simple switch, but at proving that there's long-term benefit in doing so. Another convenience-factor is the misperception that few credit union branches means there is lack of access to funds. In fact, with shared branching there are more ATMs and access to funds than some banks. Helping potential members understand this point will help increase the yield of new members.

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So, how do you explain what a credit union is without using the standard definition? By identifying target audiences and utilizing member stories to show in real life terms what a credit union is. There are stories not yet told that have grown out of credit union membership. Think about your member base. Who are they? And, what stories are you able to tell about them? Who is the oldest living member? Who is the youngest member? Interview these people and tell their stories. Rather than list out the benefits of membership, feature a member who has truly benefited from their membership. Rather than feature the low rate on auto loans, tell the story of how the credit union's loan helped a college student buy a car so they could travel between their part-time job that helped pay for their education and the classes they attend at school. Rather than highlight mortgage loans, tell the story of how the credit union helped a single mom purchase the first home for her family. The idea here is to get the message across about your products and services through the stories–so you are not overtly talking about "buying something" but are focused more on your members' values. Not only will this approach reinforce current membership, it will help reach new members by aligning with key life milestones.

Credit union marketing must focus on the member. Seems elementary however many campaigns have fallen short in delivery. When developing programs and messaging, ask "what are the member's needs?" and "what does the member want to know?" Take a look at your marketing collateral, advertising, public relations, and Web site. Do they all focus on what the member needs to know? Do they tell potential members what they need to know? If they do not, then these marketing vehicles are not working hard enough for your efforts (or dollars spent).

Are you talking to your members? If you didn't have an immediate answer then you need to re-evaluate your marketing efforts and potentially do some homework. Research is key to knowing what your members want and need. When was the last time you asked your membership what they needed? Their answers may surprise you and the loan program you were about to launch may become a home equity program instead. Tailoring products to your member needs helps focus marketing efforts, marketing dollars, and allows for marketing success.

Develop your marketing strategically. Many organizations, not just credit unions, implement "one-offs" that are not integrated into a larger marketing strategy. "One-offs" are projects that don't serve the greater message of the organization and focus solely on one specific product rather than a program that ties your marketing together with a common thread. Developing marketing programs should be part of your strategic marketing and communications planning rather than "one-off" ideas tied to specific products or services. Typically marketing initiatives are not successful when implemented as "one-offs." Focusing on an integrated program that is steeped in similar brand messaging, look and feel, and organizational core competencies helps to unify all marketing activities. Next time someone in your organization suggests developing a print ad or an in-branch brochure, ask why. What is the goal? And, who is the target? As you start to implement programs, "one-offs" will fall to the wayside because the organization will have a marketing direction.

Setting marketing goals for credit union growth will allow for the move to successful marketing programs. Effectiveness is seen in the percentage of members using credit union services. How many members use more than two services? What services are not being used and why? If you are averaging two services per member, set the goal to increase that to three or four services and set the appropriate marketing programs to help you achieve the goal. Planning is an ongoing process, one that should involve the executive team to help guide its success.

What constitutes successful marketing programs? The devil is in the details and details lead to success. Start with an overall annual marketing plan to map out goals and then break down your key programs by quarter. This will help focus efforts during given times of the year. Don't think of planning in terms of individual projects with budgets attached–do think in terms of sales through customer values. Don't take on programs or activities that are beyond your bandwidth–do consider working with outside resources that maximize your internal capabilities. Don't mistake marketing projects for programs–do take time to plan out marketing programs well in advance. Focus equals attention to detail. In the end, asking the right questions will hone your marketing planning. Who are you targeting? What do they need? What's the best method to convey our stories? And finally, how successful are we? When someone can answer what a credit union truly is–that's ultimate success.

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