Looking Through App Developer’s Play Book to Improve Member Experience
Currently, apps are in development to make your smart device (phone/tablet) as smart as you…well at least close.
These apps, called predictive apps, will observe how you use your device, detect and learn your behavior, so it can understand your intent and then morph the functionality and content to match the intent.
Let’s say you commonly browse several sporting goods websites but only purchase from amazon. This app would learn this behavior and after watching you surf several websites looking at the same item, the app will go and find the item on amazon and present that content to you.
Some may find this a bit invasive but more often than not, most will find it helpful.
Predictive apps are created by using big data and predictive analytics to continuously and automatically tune the app experience by:
- Learning who the customer (individual user) really is.
- Detecting the customer’s intent in the moment.
- Morphing functionality and content to match the intent.
- Optimizing for the device (or channel)
This same process can be used by credit unions to help customize and improve the member experience. Here is how.
1. Online experience
If your website is built with the online marketing funnel (see graph) you are drawing members through the purchase process. The advantage of the online experience is that you can monitor the effectiveness via web analytics.
Once you identify the web navigational path that leads the user to apply for a loan, you can build the predictive online sales pathway and help guide the user faster and more effectively from awareness to purchase to loyalty.
2. Next best product
There are many ways you can identify the next product for the member.
First, ask your credit reporting bureau if they offer any product predictive scoring models. Experian, for example, offer Market ModelsTM that can help identify members who have an increased demand for loan products.
Next, take the members who you have just identified as having demand for loan products, and analyze the products these members currently have. You may find they have a checking account. Determine how to modify the checking account product that would enhance the loan product. A popular incentive is a loan rate discount if payment is transferred from the checking account. This will help increase the attractiveness of the loan product offer because there is a second perceived benefit on a product the member currently has.
Finally, make certain the loan process is as easy as possible. If the member has their finger on the “buy” button, don’t make them go through unnecessary steps. Have the application propagated with the member’s information so they only need to confirm and accept. You will know if you need to make improvements to your online application process if you only close 40% of the applications you receive. The number to shoot for is 60%
3. Branch experience
Look at the most frequently performed transactions occurring in the branch. Are these the transactions that are helping the credit union achieve their goals? Can you change the process to automate or increase the efficacy of these transactions?
The point here is to use the data to modify the branch experience to what is beneficial to both the member and the credit union.
Of course it would ultimately be cool to append current mobile banking app to promote the credit union’s products and services when it would be appropriate, but until that is ironed out, working on fine tuning the member experience is a great start.
