Banks, credit unions and retailers have seen tough times oflate. Specifically, bankers–and even some credit unions–are seeinga gloomy period ahead due to credit losses and the liquidityrestraints due to the need for more loan-loss reserves. Forbusinesses, much like consumers, liquidity is paramount tosurvival. Growing the balance sheet with low cost deposits willsustain an organization through this period, but credit unions lackthe soft sales skills to matriculate a member encounter into asale.

Our desire to exceed board expectations led us to consider theMSR as more than an order taker, and many organizations beganchanging the culture and compensation structure; many going tosalary plus commission. Yet, changing the compensation plan may notlead to the desired behaviors. To succeed long term, a businessmust balance sales and service with an honest desire to help eachperson improve their financial lives. We are fortunate, however, ascredit union employees are a trusted lot, yet we've growncomplacent in our sales education and training of ouremployees.

Faced with the challenges of declining net interest margins,return on assets, loan yields and the like, many financialorganizations have cut expenses. That tact, in the short term, willhelp improve financial performance, but what do you do nextquarter? And the next? Increasing sales is part of the long-termanswer. Most companies are spending huge amounts on advertising,yet what happens when your advertising hits the mark? Let's supposeyour latest rate ad generates tons of lobby traffic and members andprospects flock to your branches. What will your MSRs do with theseopportunities? This, my friends, is the moment of truth.

To maximize your advertising dollars, and bridge the liquiditygap by raising more low-cost deposits, your employees must do somefundamental things very well.

First, they must engage your members. Most customers feelintimidated in a bank or credit union branch. That's precisely why94% of the members walk to the teller line, then right back out thedoor. The titles we use don't help either. Ask anyone if they knowwhat an MSR or a branch manager does, and you'll get a wide varietyof answers. For these and other reasons, we must engage folks whenthey take the time to come into our branches.

Consider what our employees do with their time throughout anaverage day: answer phone calls, serve members, answer e-mails,make outbound calls, send letters and attend meetings. Now considerwhat types of activities these are–proactive or reactive? Ourmembers need our help in understanding their financial lives, andthey need to trust us so they will divulge this personalinformation.

Instead of reacting throughout the day, why not attempt toestablish a meaningful relationship and gain the trust of thosealready in the lobby? Advertising is supposed to lead people tomake a purchasing decision, but it won't put the pen in theirhands. Branch employees need to interact with the folks who wait inthe teller lines, so our members can get to know who we are andwhat exactly we do. This lobby marketing approach will, over time,produce instant appointments that lead to deeper financial profilesof your members, which helps make financial recommendations andsales possible.

Second, show them how to save and make money–don't just tellthem. I remember when I received my first job offer aftergraduation. The salary sounded good, but I kept considering otheroffers until I saw an offer letter with the salary in print.Something about that visual link to my future income wasmeaningful, and I accepted that written offer.

Seeing different financial scenarios in print, laid out beforeus, helps sear the advice in our brains long enough for it to makean impression, and, perhaps, long enough for us to make a decision.There are many financial tools which can help our sales people tella story of the various financial roads, yet often our staff is notaware of these tools or not adequately trained to use them.

The clearer we can make the financial options for our members,the more likely they will be to purchase from us. The primaryobjective is to place the information in front of each member tohelp them make a decision. This altruistic sales approach wastransparent to the member, and their trust helps aid the sale. Inthe end, the financial tools create a sense of urgency (cost ofaction versus inaction) in the mind of the member and producedsales results.

Finally, ask for the business. I recently conducted branchmystery shops for 10 local banks and credit unions. All 10financial organizations pride themselves as being pro-smallbusiness, yet not one asked for my business account. I was greetedin almost every branch, then handed brochures on various businessaccounts. The financial decision was entirely left up to me. I wasnot asked for my phone number, and only one person seemed excitedabout my new company. After approximately 15 minutes at eachoffice, I left without being asked to open my account.

The branch employees are trained around products; some betterthan others, yet how many receive actual sales training? The coresales behavior of asking for the business is too often omitted fromour sales conversations. Most credit union employees are friendlyand helpful and others do a nice job of explaining the features andbenefits of any number of products but allow the prospect to walkout the door without asking for the sale.

Michael J. Mickler is the principle of Sales &Service Consulting Inc. He can be reached at 904-571-0777 [email protected]