Channel Convergence

For most credit unions, the member experience is largely defined by a familiar pathway: retail interaction. While many credit unions might not think of themselves as retailers, all can probably agree that the main way members have traditionally engaged with credit unions has been through a brick-and-mortar presence and the employees who work there.

Over the past decade, consumer expectations for the retail experience have changed. Why? Because there are now two clear experience pathways: retail and e-tail (online). At one point, it was enough for the two experiences to be complementary. Now, however, consumers expect convergence.

You can thank Apple® for much of this shift. When Apple began opening retail stores in 2001, the company married tactile features that allowed customers to interact with products with the convenience features of shopping online. This marriage of retail and e-tail created a new consumer experience and continues to redefine consumer expectations.

While not every business is as naturally suited to this convergence as Apple, it’s fair to say that every industry has been impacted by the shift in consumer expectations. When members visit your credit union today, many of them compare their experience at a branch to their experiences at non-financial retail venues. The comparison may be subtle or even subconscious, but it’s there.

The good news is that learning from Apple’s success can help you improve the member experience at your credit union without significantly depleting your capital.

First, visit an Apple store both in person and online. Pay attention to how you are approached, how the product is displayed and how the transaction is performed. You’ll notice that there are no lines or cash registers: you are greeted by an employee using an Apple product to help you find what you need and complete the transaction. You’ll also find areas of the store dedicated to classes and user interaction. The online and physical components are constantly (and smoothly) integrated. Rather than a transactional experience, the stores provide an engagement and resolution experience that builds confidence in the offering and affinity for the product.

Second, visit your credit union online and at a branch while paying attention to the same types of things. Then consider how you could remove the barriers between teller/MSR and member to improve interaction and engagement. Examine whether your online presence and physical presence work together to help members move from product education to engagement. How do your members gain information, evaluate what you’re offering, make a decision to choose your product (such as a loan), “purchase” the product (in your case, apply for a loan), and advocate your product by telling friends and family about their experience? If your retail and e-tail presence are inconsistent or incompatible, you’re missing an opportunity to deepen member engagement and loyalty.

You don’t have to be Apple to deliver a compelling experience to your members. You do, however, have to be willing to think about bringing the best aspects of different channels together in unique ways to showcase what you have to offer. In the financial services realm, credit unions already have the best product – they just need to help members experience it.