By Jake Engel
Brands have power.
Take Spotify or Netflix. These brands challenged how music and movies were delivered, challenging the long-held idea that selling physical CDs and DVDs was the most efficient and effective way to deliver media. In fact, they not only challenged the idea – they succeeded in putting their rivals to rest and redefining the category.
Or Peloton. The global fitness sensation that took the challenging parts of going to the gym – the drive time, planning exercises, and looking presentable in case you run into your gym crush – out of the equation. The company went on to put effective and motivating fitness in millions of consumers' living rooms.
Brands are disrupting industries every day right in front of our eyes. The disruption doesn’t happen quickly. Or easily. But when the most successful brands see a real problem to solve, an opportunity that’s more complex than making minor product adjustments, they have the power to redefine how consumers interact with not only their brand, but with the problem they are tackling.
A Problem to Solve
And when it comes to the financial services industry, there’s certainly some problems for us to solve.
Americans are financially sick. Nearly half of the country admits to losing sleep over money regularly. Depression, anxiety, and stress levels continue to rise.
In 1776, when the first bank was founded, the industry began with an idea – a vision – of providing Americans with safety, security, and confidence around their finances. But in an industry that’s all-too-often centered around products over people, the banking system is doing just the opposite for many of our customers and members. Many of the large institutions are creating programs that encourage overspending, failing to educate and inspire financial health, and charging astronomical rates to our most vulnerable friends and neighbors.
And that’s just not right.
Time to Say Enough
It’s time for the financial services industry to say enough. To be sick and tired of Americans being financially sick and tired. And to finally do something about it. The reality is, banks and credit unions across the country have the power to help.
But what if there’s more to the solution than simply creating new products, eliminating fees, or lowering rates? What if the answer lies in that exact word – story.
Many of the brands that are disrupting their industries aren’t completely turning their products and services on their head. But they are positioning their approach to the industry in a new and different way that helps their customers feel more comfortable and confident. They are telling their story through a welcoming, inclusive framework that allows consumers who are nervous – and sometimes scared – to interact without fear or anxiety.
One Theory to Consider
Take the rise of Orangetheory, for example. The personalized, heart-rate based classes led by motivating, upbeat coaches inspire nearly one million members every day across the globe. Their members show up ready to work and the coach guides them every step of the way – timing their intervals, cheering on every step and rep, and learning about their lives and goals. This brand takes the confusion, stress, and pressure out of fitness and meets humans at the level where they are.
Why can’t banks and credit unions show up the same way for those we serve? (Hint: We can.) When our consumers walk into a location, call the contact center, or visit the website, they want to be coached, guided, and celebrated. In life, we ask for advice daily. Think doctors, dentists, pharmacists, teachers, realtors, hair stylists, designers, therapists, and even friends.
The Unfortunate Answer
But why is it that people go to experts in their life to ask for advice and coaching for nearly everything – except money? Unfortunately, the answer is all-too-often shame. So, how do we solve that? We need to tell better stories.
Americans are living scary, challenging, and confusing financial lives behind closed doors. In fact, when asked privately by researchers at Nonfiction, 37% of Americans admitted they have gone to sleep hungry because they didn’t have enough money for food. 5% have eaten food from the garbage.
And another 12% have stolen something due to financial constraints.
Do we really expect that someone trapped in a life of financial shame and uncertainty is going to proactively show up to their financial institution and ask for coaching and direction? Probably not.
We Have the Resources
We have the employees, the resources, and the knowledge to help these people. But are members and customers hearing and experiencing that in every interaction? In ways where they feel comfortable asking for advice? And in ways that they see us as not predators, but their biggest financial coaches and cheerleaders? If not, there’s never been a better time to switch the storyline and put them at the center.
Five Things to Consider
Here’s five ways things to consider when refreshing your brand, experience, and story in a way that resonates with today’s sick and tired American:
Start Every Interaction Intentionally
Do the greetings that your employees use feel transactional or human-focused? For instance, swap transactional language like “How are you?” or “What can I do for you today?” with “What’s new?," “How’s life?,” or even “How are you feeling?” to open the door to conversation. When those we’re serving feel the opportunity to share what’s new, exciting, or even scary in their lives, they often will. These insights can help your team coach them, monitor their progress, and build a relationship leading to lifelong loyalty. Just by asking the right question.
Find Ways to Track and Celebrate Milestones
Progress means something different to everyone. Take Orangetheory and Peloton for example – these two brands deliver post-workout metrics to members daily. For some, seeing the calories burnt adds fuel to their fire. For others, it’s the average speed on the treadmill. And for some, it’s simply being able to show a workout summary to friends or family that recognizes they showed up.
Encourage your team to dig deep into what motivates each member personally. Maybe for one person, their personal banker needs to check in monthly on their savings goal. For another, it’s your employee setting a calendar reminder to email them on the day of their new home closing that they shared in conversation. Delivering individual experiences isn’t easy – but it’s effective.
Explore Motivational, Aspirational Messaging.
While many banks and credit unions lead their brand and advertising messages with product and rate, consider adding life and wellness focused language to your vocabulary. What’s the benefit that members will experience? Try infusing inspiring words like inspiring, confidence, momentum, next, more, life, well, and healthy. While sharing about a 5% APY Certificate Special sounds appealing to a financial services executive, “a healthier, happier relationship with your money” might capture and inspire another audience.
Align with Leaders Outside of the Industry
It’s easy to consider your competition the next financial institution down the street. But what if you re-imagined a financial institution’s role in society as an organization working to improve your audience’s holistic well-being? Explore leaders like Whole Foods, which is working to redefine healthy eating lifestyles; Lululemon which tells the story of movement in everyday life, and WeightWatchers, which is refining their message to focus on goal-oriented language.
Deliver a Cross-Channel Branded Experience Think about ordering pizza. For some, ordering online is a no-brainer. For others, they call the store directly. And for others, it might be a dine-in kind of night.
Every one of these consumers deserves to have a positive experience. And one that feels similar when they choose to interact with you in another way in the future. Do members visit your branch locations and see beautiful, modern lobbies, then call the contact center and hear drab funeral home music? Do they work directly with a banker to apply for their auto loan and have a quick, seamless experience, then receive confusing system-generated follow-up emails?
It’s easy to focus on one issue – “we’re going to improve the digital experience,” or “let’s train our contact center to be friendlier” – but it’s important to look for alignment in experience across the board. Because, in real life, people choose to interact in different ways at different times.
A Unique Position
As an industry, we’re uniquely positioned to be a cure – or at least a portion of the solution – to America’s financial sickness. And oftentimes, asking the right question, delivering the right message, or being consistent with brand experience is enough for members to begin to feel comfortable to open up about their struggles and wins with us. And that’s the moment when we can do something to help.
It’s time for credit unions to show up as places that people can feel comfortable coming proactively for advice and direction. For coaching and mentoring. Places that help create lives of financial health and well-being. And a place where they can put their guard down, be vulnerable, and walk away with newfound motivation to chase down what’s next.
Jake Engel is AVP of brand communications & strategy at Financial Center Credit Union, Indianapolis, and oversees corporate communications, PR, and brand experience. With nearly a decade of brand management experience, Engel has spent his career working to reframe credit unions as proactive wellness providers. A lifelong Hoosier, Engel resides in downtown Indianapolis and serves on the Board of Directors of Home Repairs for Good and coaches for Orangetheory Fitness. He can be reached at jengel@fcfcu.com.