IQR to credit unions: big data analytics will boost payments strategies
GOLD COAST, AU (July 28, 2014) — In a session titled “Consumer Expectations in Payment Trends,” IQR Consulting President Rahul Nawab today told World Credit Union Conference attendees that Big Data analytics is the key to delivering consumer-focused payment solutions. Nawab was joined in the session by the CEO of payments processor The Members Group, Shazia Manus.
“Credit unions have a huge advantage in the race to deliver relevant digital payment solutions – and that’s access to data,” said Nawab. “By combining their own proprietary member data with that from sources like social media and credit bureaus, credit unions have a significant leg-up against non-financial institution competitors.”
The most important benefit of Big Data analytics, according to Nawab, is that these strategies keep the “member at the heart of financial services.” Understanding more intimately how members behave allows cards and other payments teams to provide laser-focused personalization – whether that’s in the development of new products or the cross-selling of existing products.
Nawab illustrated his point by sharing several case studies, including one in which his company helped a U.S. financial institution build target customer groups based on purchase behaviors. By analyzing credit card transaction frequency in specific merchant categories, IQR’s analysts were able to segment customers and then offer customized incentives for the growth and retention of each customer type.
“Data analytics is all about mining existing sources of information to arrive that the best possible decision – whatever the question may be,” said Nawab. “Today, those questions happen to be most often centered on payments.”
About IQR Consulting IQR Consulting is a leader in portfolio and financial analytics, reporting, statistical modeling and campaign management. The analysts at IQR are experts in the use of segmentation as a means for highly targeted marketing. With accurate and actionable insights and analysis, IQR helps banks, credit unions and casinos leverage data assets to increase profitability and to better compete against larger institutions. For more information, visit www.iqrdataanalytics.com.