Editor’s Note: After credit unions were for the first time rated below banks in terms of customer satisfaction in a recent national survey, CUToday.info has launched expanded coverage over what may be driving the change. As part of that series, Anne Legg is examining a series of service-related issues and also offering free resources to CUToday.info readers. The first in this series can be found here, while the second is here.
By Anne Legg
The four key drivers of member dissatisfaction and flight are: 1) Friction in the member journey, 2) The Amazon Effect, 3) Disruption, and 4) Lack of an innovation capability. This article will cover what actions to take to retain members and improve member user experience (MUX).
Action 1: Perform a Current State MUX Assessment.
Behind every amazing MUX is data, oodles, and oodles of data. The first action a credit union should take to improve its MUX is to gather the data around its current MUX data condition. Without a clear understanding of the data available and how to leverage it to build the MUX, it isn't very easy to create impactful member retention and growth strategies. An effective current stat MUX assessment framework includes the following areas.
Member Focus
- What does our customer/member need and does the credit union? Does the credit union fill that need? How effectively?
- What is the current state of your member journey analysis?
- How are you removing the member friction?
Credit Union Member Data Vision
- What are your strategic capabilities? Do they provide the credit union with strategic agility?
- What is the current state of the credit union’s data strategy?
Talent Data Consumption
- What is your credit union’s data culture? Is it nimble enough to transform?
- How does the credit union use data to transform the credit union?
- How does the credit union talent consume data? Is it only a select few?
Data Maturity
- What is our organizational data maturity? Is it more in infancy or hitting puberty? escribe the current state of data governance?
- What is your current organizational technology stack? If it is like most, it has strengths, but having an objective party provides analysis is critical to understand the current state.
Action 2: Create a Member-Centric Action Plan
Using the outcome of the organizational assessment as the foundation, the next step is to build the action plan. Like with all large initiatives, there has to be a vision statement for MUX. An example of a MUX statement is "to create revolutionary member relationships, today and tomorrow." As with all vision statements, it is anchored on a process, benchmarks and goals.
Here are five guidelines to building a customer focused data business created by SAP, a European multinational software corporation. I've modified the approach for a credit union.
1. Member Data strategy
This strategy should focus on maximizing the value of the data assets to improve the lives of the member.
2. Culture, people and process
An entrepreneurial mindset that is both innovative and accountable.
3. Member ecosystem
Connecting the member and partners to build a real, impactful data network.
4. Technology
Connecting data systems to deliver a new level of quality, connectivity, speed, and scale.
5. Execute fast
Start small and focus on credit union member outcomes.
To learn more about current state assessment, please click https://www.anneleggthrive.com/services to enter your email to receive instructions on how to access free, exclusive CUTODAY current state assessment deck and explainer video.