Consumers Don’t Care About Cooperative Values (Impact Values)! I Just Don’t Buy It!

by Roger Conant, CUTweetTrack

What do I base that on? Well, it’s certainly not based on the slew of credit union efforts aimed at focusing on their cooperative DNA in strategic terms (both internally and in their marketing efforts).

I just don’t believe credit unions, as a group, have tried hard enough.  Or, the ones that tried, and didn’t get instant results, abandoned it, exclaiming “it didn’t work…we tried it! (once)”

For the last month I’ve been doing my best to voice the “cooperative values” cheer in my tweets and with my blog.

And what I am repeatedly hearing from several credit union advocates, whom I deeply respect, is that members, consumers and especially Gen Y, just don’t relate to the cooperative values of doing well by doing good.

Here are some of the things I have heard…

“the idea of member-owned and not-for-profit do not resonate with young leaders” (a take away from a Gen Y panel of 4)

“young people grow to appreciate the cooperative values with time (after they have become members)”

“I don’t believe we can change the DNA of FIs to practice and deliver the cooperative values effectively”

My take…1) with the horrible press about banks, this is a perfect time to put forth the cooperative principles (every other day you read about another bank scandal) 2) the 2012 “year of the cooperatives” produced a bevy of compelling evidence of the “principles” at work and 3) in the future, our democratic “structure” will be the only thing that differentiates us–banks will always have more…more branches, technology and money to promote their brand.

Instead, I’m casting my lot with CUNA strategy expert John Lass, who has repeatedly suggested (politically, he certainly can’t demand it) that credit unions must put forth the cooperative principles as their primary differentiator.

Here is what Lass says.

“Our cooperative principals are the difference-maker for credit unions.” Lass said. “One member, one vote. Credit unions are the only financial institutions offering that kind of individual power and input.”

Has your credit union initiated a proactive effort to integrate the cooperative principles into your front line culture…then your marketing? Have you implemented all or even some of the 7 steps suggested in the excellent CUTimes article by Walt Laskos?  Have you even purchased the .coop URL for your credit union?

I’ll end this piece by addressing those who say Gen Y really doesn’t care about the credit union “social value DNA”!

Take a long look at the recent research from Filene partner Net Impact.

From that research, this finding… “Having a job where I can make an impact on causes or issues that are important to me”, 72% of college students surveyed said it was either essential or very important.

If working for a company having strong social values is important to these college students, then doesn’t it make sense that they would also look favorably on doing business with those same companies?