Coopera issues white paper for credit unions on Hispanic consumer misconceptions
DES MOINES, IA (February 24, 2014) — In a newly published white paper, Coopera CEO Miriam De Dios writes that certain misconceptions about Hispanics may be hindering credit unions’ relationships with their member and prospective members.
“Whether it’s a local credit union or a national food chain, every organization hoping to increase its reach within the country’s large and influential Hispanic market must first understand its target,” writes De Dios. “As with every nationality present in our diverse country, understanding of Hispanic behaviors and values is subject to the influence of preconceptions and stereotypes.”
De Dios cites five myths about Hispanic consumers and credit union service to Hispanic members in the paper. They include:
- Myth #1 – All Hispanics are undocumented.
- Myth #2 – Hispanic foreign nationals cannot be credit union members.
- Myth #3 – A massive Spanish translation effort could take years.
- Myth #4 – Only second-generation Hispanics are open to a traditional banking relationship.
- Myth #5 – Hispanics only want transaction-based products.
The paper goes on to report on the success that credit unions have experienced, specifically in the areas of growth and long-term relationship development.
“In 2013, Coopera’s credit union clients’ Hispanic members were as likely or more likely to have checking accounts and loans than non-Hispanic members,” reports De Dios in the paper, citing research conducted on the success of its clients Hispanic-market engagement strategies. “This debunks the myth that Hispanic members only use transaction-based products. Among Coopera clients, the median Hispanic checking penetration rate is 51.3 percent, which is slightly higher than the 49.9 percent median for non-Hispanics. In addition, median Hispanic loan penetration in 2013 was 34.7 percent for Hispanics versus 34.1 percent for non-Hispanics.”
The white paper, “5 Misperceptions about Hispanics that May Hinder Member Relationships,” can be downloaded at http://bit.ly/NZbceY.
Coopera (ko-pair-a) is a full-service Hispanic market solutions company with specific focus on credit unions nationwide. Coopera’s dedicated bicultural and bilingual personnel work closely with clients to assess their needs and create growth strategies designed to increase Hispanic membership, revenue growth and loan volume. Coopera specializes in developing long-term partnerships with clients as they transition from the early stages of discovery to a best practice credit union. Founded by the late Hispanic community activist Warren Morrow, Coopera is owned by Affiliates Management Company, the holding company of the Iowa Credit Union League and is an exclusive strategic alliance partner of the Credit Union National Association. For more information, visit www.CooperaConsulting.com.