‘New Member’ Onboarding
With this program, a series of postcards are sent to new members encouraging them to take full advantage of membership. New members will receive one postcard per month during the first three months of membership.
Why it works
Individuals join a credit union for a variety of reasons. Some join to establish a regular pattern of savings, some because they need a loan, others because of a SEG relationship, etc. Regardless of why they join, two important factors exist at the time of joining.
- Their enthusiasm for the credit union will probably never be higher
- People are very behavioral with how they manage their finances and they are reluctant to change that behavior once it is established. Historically, individuals return to the same financial institution for the same type of product/ service. For example, the average length of time an individual has their primary checking account at the same financial institution is 12 years, which is why credit unions have a difficult time attracting checking accounts. However, when an individual decides to join a credit union they are at least in part saying, “I am willing to change how I manage my finances.”
Timing is Everything
When a new member joins a credit union they are testing the water. The early stages of the relationship ultimately determine the long-term nature of the relationship. If the new member’s experience during the joining process and early in the relationship is positive, it will increase the probability they will consider the credit union for products/services other than what prompted them to initially join.
Research shows new members make a determination as to what their relationship will be with the credit union during their first year of membership. The decision typically leads to one of the following relationships:
- PFI (Primary Financial Institution)
- Primary Loan Source
- Primary Savings Source
- Supplemental Relationship