WWJD? What Would Jerry Garcia Do If He Were A Credit Union CEO?

1. What Would Jerry Do?
(If He Was a Credit Union CEO)
Ron Shevlin
Senior Analyst
Aite Group

5. Management “lessons” from the Dead

6. What Would Jerry Do?
Capital Strategy
adequacy
Charter
Growth conversions Engagement
Mergers
Regulations Technology

7. What Would Jerry Do?
Strategy
Engagement
Technology

8. What Would Jerry Do?
Strategy
Engagement
Technology

10. “Lack of
preparation, direction and
cooperation have made this
album the most unreasonable
project with which we have
ever involved ourselves.”
“You are now branded an
undesireable group.”
“It all adds up to a lack of
professionalism. The Grateful
Dead is not one of the top acts
in the business as yet.”
www.aitegroup.com
Page 9

12. What Would Jerry Do?
Strategy
•Create new
business model
•Use free to create
network effect
•Vertically integrate

13. What's your strategy?
Superior rates
Branch location
Member service
Other

15. Bad Axe Bank
“We’re one
Bad Axe Bank.”
First Bank of Whynot
“Why bank with us?
Whynot.”
Bank of Little Hope
“If you want to get rich, Uneedus Bank
there’s Little Hope for you.” “Uneedus. More
than you know.”

16. Is service an effective differentiator?
• Service may be what your CU does best, but it doesn’t
mean your service is comparatively better
• Service means different things to different people

17. Disciplines of market leaders
• Operational excellence
– Processes optimized and streamlined to minimize cost and
provide hassle-free service
• Customer intimacy
– Focus on helping customers understand exactly what they
need and ensuring the solution gets implemented properly
• Service leadership
– A focus on the core processes of invention, product (or
service) development, and market exploitation

18. Mapping disciplines to FIs
Operational ING Direct
excellence (US)

19. ING Direct
“To promote customer homogeneity and keep
costs down, ING Direct won't hesitate to fire customers
who demand too much. Better to win over customers
with shrewd marketing and good rates wrought by the
cost efficiencies of doing business online.”
Bank Technology News
December 2005

20. Mapping disciplines to FIs
Operational ING Direct
excellence (US)
Customer
RBC (CA)
intimacy

21. RBC
“In 1999, RBC reorganized into a customer
segment-led organizational structure.
Each primary segment is led by a
segment manager who jointly plans and shares
P&L responsibility with product line counterparts.”
“The future of financial services:
Intelligent growth”
IBM Institute for Business Value

22. Mapping disciplines to FIs
Operational ING Direct
excellence (US)
Customer
RBC (CA)
intimacy
Service
USAA
leadership

23. USAA’s investments in service leadership
• Remote deposit capture
• Member ratings
• Auto Circle
• PFM

24. What Would Jerry Do?
Strategy
Engagement
Technology

25. "I'll show you the bathroom.
This is my prized possession, a CBS: "Ms. Pelosi is a
signed poster of the Grateful huge Dead fan, her
Dead." spokeswoman said."

29. What Would Jerry Do?
Engagement
•Facilitate member-
to-member contact
•Total customer
experience

30. What are CUs doing to engage members?
External
Internal
Source: Aite Group survey of 54 credit unions Q1 2011

32. Benefits of product review pages
• Assisted selling
• Member advocacy
• Better market intelligence
• Member engagement

34. Benefits of collaborative support
• Reduced call volume
• Expanded knowledge base
• Better employee training
• Member engagement

35. What Would Jerry Do?
Strategy
Engagement
Technology

39. Keeping up with technology is a challenge
Source: Aite Group survey of 91 credit unions, January 2010

40. IT priorities are all over the map
Source: Aite Group survey of 83 credit unions, January 2011

41. Aligning strategy and technologies
Purely mobile
Operational
Integrated
excellence
social media
Financial
Customer
advice and
intimacy
guidance
Integrated
Service
social media
leadership
Purely mobile

42. What Would Jerry Do?
(If He Was a Credit Union CEO)
Strategy
Engagement
Technology

43. Measure your online marketing maturity
Online marketing maturity model
PROCESSES Aite Group (eye-tay) is an
Demand Demand Account
independent research and
generation conversion creation advisory firm focused on
LEVELS business, technology, and
regulatory issues and their
Optimized impact on the financial
services industry.
Integrated Ron Shevlin
rshevlin@aitegroup.com
@rshevlin
Performed
http://marketingteaparty.com
www.aitegroup.com