Jim KaschJune 5, 2015

UNDERSTANDING GEN Y

IT’S MORE THAN JUST DELIVERY CHANNELS AND

SOCIAL MEDIA

Identify Need

Seek Advice

Independent Research

Inquire / Apply

Judge Response

Open Account

Judge PerformanceSHARE!

Identify Need

THE GEN Y BUYING PROCESS

1. Seek Advice - Serve Advisors Well2. Independent Research

1. Branding – Use Professionals!2. Marketing – Use Professionals!3. ID (Information Delivery)4. Product / Service Design

3. Inquire / Apply1. Ease of use2. Educate

4. Member Service1. Staff Training2. Delivery Channels3. Follow Through

ROADMAP

Gen Y cares what their parents thinkSeek advice from respected relatives, friends, co-

workers, and other advisors (even strangers)By serving the parents well, credit unions have an

opportunity to be considered

SERVE ADVISORS WELL

Note: Being considered does not mean credit unions will always earn the business. This is only the opportunity to try.

Your website Look bigger than you are Professional, clean, direct

Social media Connect with others like them

Consumer reviews What’s out there for your credit union?

Yelp! CreditKarma.com Epinions.com Gobankingrates.com

INDEPENDENT RESEARCH

What’s in a name? Lister Hill – The Hill

They see through phoninessThe brand should be relevant

Meaningful to the area or the field of membership Imagery, colors, styleUse professionals

BRANDING

Listerhill Credit Union

Marketing is the most neglected discipline in the credit union

Get professional helpUse the tools available to youMake the investments

Demonstrate the value to the CEO/CFO Marketing is 50% art / 50% science

Know your audienceAttributes

Local Socially conscious Unique

MARKETING

They see through phoninessThey don’t want to be sold toThey want experiencesThey love storiesThey trust others, not you (yet)

NO SUCH THING AS MARKETING TO GEN Y

Google Chrome: Dear Sophie

Apple Christmas

Once referred to the credit union, Gen Y will research your organization. First stop: online

Your website is your fi rst (and sometimes only) opportunity to impress them Ask a 25-year old for her impression

Clean, informative, specific, easy to navigate“Put the money on the screen” to look bigger

INFORMATION DELIVERY

KISS Simple design, simple features, easy to understand, easy to

use, easy to demonstrate value “Why do you need five different checking accounts?”

Value Rates must be competitive Fees must be fair

Gen Y will pay fees for services rendered (NSF vs Courtesy Pay) “Why do I have to pay you for returning my check?”

Growth of prepaid cards 3 x 5 Schedule of Fees

PRODUCT / SERVICE DESIGN

They should be able to talk to you; they shouldn’t be required to talk to you

Online loan application and automated decisionsOnline membership Electronic signatures and document deliveryMust be simple and clearFast turn-around

Credit committee?

INQUIRY / APPLICATION

Squirrel feeding The credit union difference should resonate with Gen Y,

which values small businesses, cooperative markets, and not-for-profit business models

Share these things a little at a time – can’t overload them “We’re not for profit” “Our money helps locally”

Personally relevant education Seminars and webinars

Credit Reports, etc. Buying cars

One-on-One counseling

EDUCATE

Sales training is important, but it should be objective-based

Centered on enabling the member to make his/her own decisions

Deep product knowledge is a mustKeep it simple

STAFF TRAINING

Electronic account access is critical Breadth and depth of offerings ATM and shared branch networks

Branch support is important Many tipped based workers

Telephone support 50% of DCU members call monthly

DELIVERY CHANNELS

Be accurateEvery need is managed independently; there is no

automatic loyaltySay as you do; do as you sayBe honest and transparentBe availableManage social media sites actively

FOLLOW THROUGH

Don’t hideRespond

appropriately and quickly

Hope to be included in the conversation

SOCIAL MEDIA

AMERICA’S CREDIT UNION

AMERICA’S CREDIT UNION