Help members turn “life events” into opportunities

Understanding financial data has come a long way in the past 20 years and continues to grow and get smarter.  With millions of different data elements being accessed, compiled, and communicated to on a daily basis, companies are getting smarter about how to aggregate and compile these feeds.

Knowing when members are experiencing life changing events creates a tremendous opportunity to decrease attrition and increase cross-sell opportunities.

Why Members Leave

  • 29% experience a life-event
  • 27% are dissatisfied with fees or a product/channel fit
  • 44% depart over poor member service
  • Nearly all depart in silence
  • Much of this loss is defensible

Using Data

“At WordCom, we have been on the cutting edge of these progressions in data,” said Chris Wachtel, President and CEO, “and we have partnered with some of the best in the world to establish an efficient and effective process for our clients for when ‘life happens’ for their customers.”

By monitoring existing member files, there is a way for a financial institution to know when their clients are going through major life changing events and set up a process to be viewed as a true banking partner.

Turn “Life Events” Into Opportunities

Cross-Sell Opportunities & Retention Opportunities

When a member…

  • Lists their home for sale
  • Goes into escrow
  • Moves
  • Is newly married
  • Is newly single
  • Has a baby
  • Graduates college
  • Graduates high school
  • Retires
  • Has a death in the family

Awareness Creates Opportunity

Nationally speaking, 15% of a customer base will flag on one of the above-mentioned triggers.  Having an engagement process in place to proactively reach out during this time demonstrates commitment to the banking partnership.  It also gives members a heightened sense of member service and creates differentiation from past banking relationships where this type of service did not exist.

Taking a proactive approach in reaching out also allows employees to discover and resolve possible unknown issues and future issues that may be a direct result of this life-changing event.  All of this creates opportunity to reach the main underlying goal of decreasing attrition and creating cross-sell opportunities.

The Process

The process begins with establishing a monthly core or MCIF file transfer to a data management company and continues after every monthly update for processing and monitoring.  The file should be continually monitored against the defined attrition triggers to detect positive hits, segmenting them for possible marketing opportunities.

Positive hits are then analyzed through a 3rd party proprietary algorithm and appended with a flight risk value-score or high, medium, or low to aid in communication interactions.

Positive hits are then split out by branch and should be promptly routed with the high, medium, and low value score appended to branches for immediate action—but the exact trigger that was flagged would not be available to the banker/branch manager to avoid concerns by members.  Branch personal can facilitate direct outreach to the member utilizing a prescriptive digital interaction playbook.

A monthly mail and e-mail communications program should also be developed to capitalize on cultivation and retention.  These communications can take more of a direct approach to the life stage trigger that was flagged.

Finding New Prospects

Not only can these triggers be monitored to create opportunity for current members, but by analyzing an existing member file and identifying a branch footprint, these triggers can be monitored for all prospects that fit the member profile in the branch footprint, creating endless acquisition opportunities.

Sean Mulvaney

Sean Mulvaney

Sean Mulvaney is VP of Product Development at WordCom, Inc. With almost 20 years in the financial services industry, Sean is a Certified Marketing Professional. When not working, Sean loves ... Web: Details