Technology Ramps Up Enterprise Car Sales Program at Schools Financial CU

SACRAMENTO, Calif. -- Schools Financial Credit Union is now increasingly using online communications with members to inform them of new products and special lending programs because monthly measurement of service satisfaction proves it reinforces loyalty.

Schools Financial CU (www.schools.org) is one of the top 25 credit unions in California ($1.1 billion-in-assets/115,000 members) and used cars sales rank in the top five for value products, said SFCU, those surveys show.

According to Nathan Schmidt, vice president of marketing for SFCU, members have become much more comfortable shopping and doing business online, and that has made the CU more technology driven in communicating with its members.

"Monthly inserts in statements have been replaced with efficient e-mail blasts to members announcing current loan rates and real time links featuring vehicles that will be available at special used car sales promotions," said Schmidt. "Members appreciate previewing images of the exterior and interior of available used cars online, as well as being able to select the cars that will best fit their budget by using a monthly payment estimator on the website." SFCU's IT system can segment distribution to reach out to certain geographic addresses and target members who have already been pre-approved for a loan.

SFCU is one of the over 1,000 credit unions that partner with Enterprise Car Sales to ensure that members get a great car at a great price. Brook Gilchrist, national marketing manager for Enterprise told Credit Union Times, "Credit unions are a huge part of our business, a very big part. I'd say we work with most, if not all the top credit union auto lenders across the country."

Enterprise has 7,500 frontline cars available at any given time, she said. By "frontline" Gilchrist explained, she meant that out of the 700,000 to one million Enterprise fleet of rental cars they pull "the cream of the crop" for resale through its CU partners. They can also move inventory from different locations. But more importantly, those cars are backed by a 12-month limited power train warranty and a seven-day or 1,000 mile buy-back guarantee. All cars are subjected to a 100-point safety and mechanical inspection that's performed by an ASC-certified mechanic.

Gilchrist said that Enterprise understands the 'trust' factor that exists between CUs and their members and does everything to assure that any concerns about buying used rental cars is overcome. And sales are accompanied by a one-year roadside assistance contract.

That attention to detail resonates with Schmidt, who said, "Members really appreciate Enterprise's trademark no-haggle pricing, which eliminates the negotiating aspect of car buying, and the repurchase policy if the member changes his or her mind."

There's always a wide range of high-quality, late-model used vehicles priced below the Kelly Blue Book, the consumer-pricing book for used vehicles. Combined with Schools' best financing options for used cars, members get a great deal, he said.

Cathy Pilgrim is the group sales marketing manager for Enterprise in northern California (nationally, Enterprise has 54 marketing reps that work with their CU clients). Pilgrim said she works a yearlong sales strategy for SFCU that includes everyday sales, special event sales and some special tie-ins that may offer an incentive or a lower rate. "We have to achieve member satisfaction in order to please our clients and uphold our reputation as well as that of the credit union," she said.

From the SFCU website a link takes members directly to (www.cuautodeals.com) where they can search for car model types by zip code. Enterprise is now running its "Spring it On" sales event, featuring the Nissan Altima four-door sedan (a Blue Book Retail Value of $18,540 for $16,999, or $1,541Below Blue Book).

--cburger@cutimes.com