A Monday Motivational Moment

Greetings....

Hope you all had a GREAT weekend.  Friday night was the start of high school football...my son's Senior season!  While the game didn't turn out on our winning side, it still provided plenty of fun and motivation for next week.

While sitting in the stands, I read the back of a t-shirt from a fellow Northmont parent.  It was a quote from a long-time Northmont soccer coach that had coached hundreds of area youth and unfortunately passed away recently.

The quote made me stop in my tracks and think about a lot of things...and the reach for greatness was one of those items.

So, for Monday morning...I share a quote to help each of us reach for greatness!

• Celebrate your accomplishments loudly... yet set the bar a bit higher each time you reach success.

Cheers!

Bruce Clapp

Wow...It's Hot!!

OK...its the 1st of August and it is just PLAIN HOT!  Record temperatures, record number of days in the 90s, and lack of rain... it all rounds up to a tough summer for being outside!

My summer has been hectic, busy and fun!  From great client project work, baseball travels with my son, and a vacation trip to a place in Colorado that I had not been to in 30 years...wow!  But I got to share that along the way the heat was just incredible!

My entry today is about turning the heat into something productive... I know, let me cool down first and then we can talk about doing more work!

The cooling down part is what sounds great...but this time of year, everything is just starting to heat up-- for work that is.  School is starting back, vacations are winding down, budgeting for 2012 is right around the corner, and the 3rd quarter is in full swing!

Here are 5 steps to take to ensure you heat up your institution:

1. Create a back-2-school promotion and have fun with it...
2. Focus on auto lending for the all important September selling season...
3. Prime the HELOC pump for customers wanting to fix the house, repair the AC, etc...
4. Launch a small business campaign, acknowledging the power of small business...
5. Update your marketing plan and calculate all of your ROIs for the first 1/2 of 2011!

These are sure fire ways to get your blood pumping and heat up your hallways at the office (like it needed it!)...

Have a great day!

Cheers!!

Bruce

Out the door first with personalized debit

I love early morning trail runs! The best part? Serenity ... peace ... solitude. The worst part? Spiderwebs!

The point? There are great benefits to getting out the door first.

We have a client who offers instant issue debit cards. When we shopped their branches, the staff talked about the benefit of receiving the cards instantly ... which, to us bankers, is really cool. What they were missing was the true, differentiating benefit to the consumer. With the instant issue debit, they also offered card customization. Their members can have a debit card with a picture of their wedding day, a close up of their brat's mug or a shot of their refurbished hot rod ... whatever they want! Sure custom cards aren't "instant," but they are darn fast (a few days wait). The unique benefit is emotional.

Now, I don't know about your specific market (yet!), but in this market, while other banks have "free checking," no other competitor is marketing personalized debit cards. It's a unique product, it's tied to the almighty checking account and it has emotional appeal. It's the perfect storm! We rolled the print campaign out last week and will be focusing there for some time.

By getting out the door first with custom debit, I expect that this client will enjoy the serenity, peace and solitude of a less crowded competitive marketplace. And I'm sure it'll be better than running back in the crowded pack of "Free Checking."

Take care,

Eric

Winners...and 2nd Place

March...

The beginning of spring, warmer weather, flowers and BASKETBALL!

As we noted with our March Madness blog, the college basketball phenomenon that is about to grip the country starts in t-minus 2 days...with the First Four being played in our hometown of Dayton!

This time of year reminds me of the Winners and 2nd place.  What is the difference?  Many times it is timing of good play, a lucky run, a hot shooter, or a coach that simply can elevate his team.

However, I recently read a Sports Illustrated article on predictions based on statistics.  In the Tourney run, the better the season strength of schedule, the more rebounds, the higher the turnover-generated margin, and the better the 3-point conversion rate...the better the proven chances of winning.  Each of these play an important role in the regular season, but collectively greatly impact the post season.

The lesson?

The regular routines are what will get you to the dance, but the focus on the little things are what will get you the "WIN!"

Routine service and strong operations get you to the dance....but the life stage focused solutions, extra service efforts, and value-added products are what get you the win.

Review your process today...score yourself:

• 1-point for having a service measurement program
• 1-point for measuring % of channel usage (branch, ATM, debit card, etc.)
• 2-points for having a marketing dashboard
• 2 points for having monthly "share and compare" meetings
• 3-points for having a Service Champion award
• 3-points for creating an internal "great idea" submission process
• 4-points for having a semi-annual product review process
• 10-points for monitoring 5 mission critical ratios that move your business

If you score 10 or more points, you are on your way to the Sweet 16!

Have fun with March...and let's look forward to a productive 2nd quarter!

Cheers!

Bruce

Welcome....to the future!

Greetings...

The future is here...are you ready for it?

Here is the test:

1. Do you wait to see if something "works" 1st, or do you dive in and test it?
2. Are your plans built with flexibility in mind...or do the plans crumble if things change?
3. Is your communication built on paper or is it alive from person to person?
4. Does your organization anticipate tomorrow or use yesterday as the starting point for today?
5. If you talked with 10 people from across the organization, do they at least have 2 similar ideas on where your organization is heading?

If you were able to answer YES to each of these five questions...congratulations, you are ready to capture the future as one nimble organization!  If you answered YES less than 5 times, you have work to do...but the future is still within your grasp.  The key is to GET MOVING TODAY!

It's Friday...the truest test is that will you make changes necessary to move you forward starting Monday?

Cheers!

Bruce

Taking the next step...

Greetings!

As we quickly approach the last week of January...its time for us all to take inventory and get ready to take-- the NEXT STEP!

What is the next stet?

It is...

• Evaluating the 1st three weeks of your year
• Ensuring you are on pace for your 12/31 goals
• Taking inventory of your social media strategies
• Measuring the "true alignment" of sales and marketing at your institution
• Taking stock of your internal communications

It is all about making sure you incrementally are checking in on your progress and doing small tweaks instead of mid-year -- or later -- finding yourself well behind the 8-ball!

Here's to a great week!

Cheers!

Bruce

Think Inside the Box #3

Greetings...

Its time. Time to shake off the start of the cold and remind ourselves that in just 24 short days, we have a whole new year, new budget, and new opportunities with the start of 2011!

Today, I will share the top 5 "Think Inside the Box" questions you should be asking of yourself and your bank/CU.

1. What is the customer perception of our products?What is the market perception of our products?
2. What can I learn from "how" my customers are using the bank? (IE number of services, usage of electronic services, average time between new accounts, time between loans, etc.)
3. What are the top three (3) service combinations and what I can learn from that knowledge?
4. Where will my customers get their next loan? (is it us or another institution?  why?)
5. Is my staff willing & able to offer our products effectively in a way that creates success?

With answers to these questions you can move forward with a detailed action plan...or you may have more questions that arise.  Either way, you are three steps ahead!

Think INSIDE the box...you have what you need...but you need to turn information into knowledge.

Need help?  The first step is getting started.  Call us, we can help bring clarity to your thoughts and action to your information and knowledge to your planning!

Cheers!

Bruce

Think Inside the Box #2

This week, I am meeting with a client in Florida to share our analysis of the MCIF data and review our recommendations for moving the information gained into a knowledge-backed plan!

The key has been helping them see that they have the information they need...but our "filters" based on experience and the expertise we have developed, has opened their eyes to what the knowledge they now have at their disposal to move forward in a very targeted, strategic manner!

Thinking inside the box!

Take a new look at what you have...and then extrapolate that information into tangible cannot-be-ignored knowledge that drives three levels of activities:

1. Organizational level
2. Product level
3. Point-of-purchase front line staff level

Each level in integral to the overall success of your marketing strategy and each level is inter-related to ensuring that the knowledge is moved into action!

in 2011, we are developing a Brown Bag Lunch Series session specifically addressing the "think inside the box" strategy and gives tips and hints into the exact items you need and what questions you should be asking to land at the 'cannot-be-ignored' stage.

Look for more information and the entire 2011 Brown Bag Lunch Series schedule coming out next week.

Cheers!

Bruce Clapp

The Economy is Right for Onboarding

Some of the most successful companies in the world DON'T have onboarding!

McDonald's has the classic, "would you like fries with that?" At Old Navy, you're lucky to have a kid ring you up who's not too busy texting his girlfriend.

But you're not peddling burgers or capris. You're dealing with people's money! And in this economy, that's darned important.

Particularly in this economy, your customers are looking to you to help them save money, lower payments, buy something new and generally give the peace of mind. Something they don't ask for from fries and jeans!

And the beauty of it is ... you CAN help! And that's what onboarding is all about. Creating a process to communicate with your customers.

• Segmentation: Understand which of your products a customer is likely to need - and when
• Timing: Know when and how often to talk to the customer. There is no one-shot silver bullet
• Purpose: Know the objective of every piece of communication. Are you trying to get them into new products, make them more loyal or make the customer more efficient?

With the right onboarding program, your staff will appreciate having direction, a process and tools and your customers will appreciate your bank or credit union actively participating in trying to help.

Want to learn more about onboarding? Join MarketMatch's FREE Brown Bag Lunch webinar on Friday, August 20. To register, simply click here.

Ready. Fire. Aim.

It's that time of year again....early August, the dwindling of the summer and the near onset of school for your kids.  It's also probably the post-mid year review and you are either behind pace or you now realize that the 2nd half of the year is a month plus over!

Unfortunately, we still see many organizations with a "Ready. Fire. Aim" philosophy.  The forget that all important planning step...in the hurried frenzy of getting things launched.

Now is certainly the time to launch new initiatives and promote your business.  P&G, the world's largest consumer goods company recently invested an UNPRECEDENTED level of marketing into their organization and customer.  P&G has always been strong investors in marketing, but the most recent quarter and month end was a sign of good things for all marketers.

BATAVIA, Ohio (AdAge.com) -- Procter & Gamble Co. boosted ad spending by $1 billion in the just-closed fiscal year, about $750 million of that in the fourth quarter alone, which helped the consumer-goods behemoth return to share and sales growth.

It was their largest investment in marketing EVER... that should light the fire in your organization, too.  The fact that the world's largest consumer goods company sees light at the end of the tunnel and has made the realization that NOW is the time to invest in marketing.  And you can see from their press release...it positively impacted their share and sales growth!!

However, we need to also realize that they did their homework (the AIM part of the equation) before they invested their marketing dollars.  That is where the planning comes into play.  With an articulated, targeted, and supportable marketing plan (for a product, new branch, or business line) the investment can be supported and will also have a much higher ROI!

So, three key take-aways for you and your organization:

1. Now is the time to invest in marketing
2. Be planned and focused, but be swift and purposeful in your planning
3. Measure your ROI and promote the results

These three steps will lead to a very productive 2nd half of 2010 and help lead your organization forward!

Cheers!

Bruce Clapp

Commencement

In every town in every state, this is the season for commencement speeches. In the next 2-3 weeks, hundreds of young adults in your community will begin new lives ... some moving away from home for the first time ... many to begin writing checks for their first bills ... still others facing larger investments like college and new cars.

So, lets look a little closer:

• Young demographic
• No current financial institution
• An immediate need for checking
• Soon to have lending needs
• Psychographically loyal if treated right

Sounds like a dream customer, huh?

But how do you reach this target?

Let's first look at their needs:

ACCESS

First and foremost, they demand access. As they are likely to be leaving your community in the next 2 months, focus on online and ATM access.

COMMUNICATION

This is not your average 50 year old member. If you want to make an impression, talk to them the way they talk to each other ... text and email. It may be hard to acquire them through these means (I'll talk about an acquisition strategy in a minute), but once you have them, make plans to continue communication electronically.

EARN TRUST

This may be the smartest banking generation yet - but the bottom line is that they need guidance. Odds are that their parents don't balance their own checkbooks on a regular basis. So, as community banking institutions, we have an opportunity to tutor. Focus on financial education ... help this demo build a budget ... show them how to use online banking and debit cards to track every dollar that they spend ... demonstrate how borrowing money from someone you know is better than borrowing online (this may be a tougher sell than you think).

Target to the Right People

Many community banks and credit unions try to target students by, well, targeting students. But studies show that many Millennials start their banking search by going where Mom and Dad bank. The fact is that Mom and Dad will be the best influencers you have - and they're easier to reach. So, think about Mom and Dad's wants for their children:

• Access: The kids will be away from home
• Security: not the FDIC or NCUA variety, but some control over Jr's spending
• Peace of mind: By co-signing on an account, you can tie the parent's account into the student's. This does 2 things:

A) Mom and Dad can track spending with online banking

B) There's a safety net. If the student's account falls low one month, the parents can easily transfer money through online banking.

As the commencement speeches are wrapping up, you can commence opening their new accounts and earning the loyalty of a new generation.

Good luck,

Eric

Sell to the Benefit - Debit Card & Online Banking

When your customers use cash, the ability to track it seems to go up in smoke!

But, when they use a debit card for everyday purchases, they can track every penny right from their home computer using online banking.

Your customers can better track how much they spend on coffee, restaurants, gas, or anything at all ... and get a better handle on their budget.

And you will enjoy more loyal customers with 2 additional key products ... thanks to basic product bundling and selling to the benefit, rather than the feature.

Build the Box!

Greetings...

I had some great friends share a quote that they saw while enjoying the sites in Chicago... it goes:

"Don't think outside the box...build the box."

I LOVE the quote.  As a firm, our specialty is helping banks and credit unions Focus their efforts, build Momentum in their market and generate Results for their institution.  Our process has always been described as thinking INSIDE the box, as the information, key brand differences, etc. are all there, you just need our expertise to unlock it and make it all tangible.

The concept of "building the box" is a game changer to me...

Instead of accepting the realities you face (competition, economy, budget, etc.) we HAVE to create a new reality....in this case a new box...in which we can oeprate.

Think Starbucks.... did they operate within the confines of the coffee norms...49 cent bottomless cups of coffee, 25 cent refills....NO.  They created their own box.

Think American Express... did they operate within the confines of the credit card norms...gold cards, retail customers, corporate spending cards...NO. They created their own box.

Now....your challenge this fine Monday is to create your OWN new sense of reality, your own new box. For yourself as a marketer (outside the confines of budgets, media, staffing, etc.) and for your institution.

Find the NEW BOX that allows you the freedom to maximize your strengths, minimize competitive pressures, and increase success.

It's there...we just need to build it!

Have a great day!

Bruce Clapp

Cardiac Cats...

Good morning...

What a weekend of sports!  My Buckeyes won (moved to 7th in the polls), my son won his football in convincing style and that brings me to the Bengals.  FINALLY, it is paying off being a Bengals fan!  1st place during the season...something we have not had in a long while!  Not only did we win and beat a division rival but the game helped with my blog post.

My thoughts today surround the team effort and never-say-the-end-is-here attitude.  The Bengals have overcome adversity (read heartbreaking loss to the Broncos and a death of a coaches wife) and tough opponents to maintain a 1st place lead.

YOU have overcome adversity; the economic climate, the state of the industry, probably budget cuts, and more.  Our CUSTOMERS have overcome adversity; potential job losses, stock market losses, economic woes, and more.

Hopefully our customers have hung in there with us...and we with them, too!  Now is the time to circle the wagons as a team and focus on our customers.  Just like the Bengals circles the team wagon after the devastating and unexpected loss of the defensive coordinator's wife.  They focused on the matter at hand, focused on their roles, and gained momentum at each potential turn.  The result? A win!

You need to be the emotional leader of your bank/CU and be the advocate for the customer voice.  How?  Difficult but easy...

• Focus the front-line staff on the "little things" of customer service (smile, quick service, thank you, and simply engaging the customer)
• Focus your marketing on a message of hope and opportunity
• Focus your internal message on teamwork, coordination and communication
• Focus your external delivery on being three-dimensional on your target

With these steps in place...and a little faith in the process, you can not only overcome adversity, you, too can enjoy 1st place!

Marketing is the voice of the customer and emotional leaders....assert you place and deliver your role.  Everyone is counting on you!

Cheers!

Bruce

I Think; Therefore I Am...[Not]

The simple meaning of French philosopher, Rene Descartes’ phrase is that if someone is wondering whether or not he exists, that is, in and of itself, proof that he does exist.  However, too many banks and credit unions ignore the inherent value of the voice of the customer (VOC) in their product development and marketing processes.

Consumers want a marketplace that is in direct parallel to their lifestyles, and one that puts them more in control of their buying experiences.  They want to share their personal insights so that companies will be better equipped to respond to their specific needs.  Consumers don’t want assumptions made about their needs and preferences.  They want companies to hear their voice and to make more relevant decisions in their product development.  And their personal preferences are the deciding factor in the choice of products they deem to have relevance to their lifestyles.

Consumers want to be part of the process.  They want to participate in the creation of their products.  They have the power because through technology they already know what many of their options are before they walk into your financial center.

Who do we talk to?

Current customers are the first source of information if the product is aimed at the current market. Potential customers are the primary source of information if the product is aimed at a new market. In addition, talk with competitor’s customers. They provide a good source of information on the strengths of competitor's products and why they don't buy from you.

During customer discussions, it is essential to identify the basic customer needs. Frequently, customers will try to express their needs in terms of HOW the need can be satisfied and not in terms of WHAT the need is. This limits consideration of development alternatives. Development and marketing personnel should ask WHY until they truly understand what the root need is.

Challenge, question and clarify requirements until they make sense. Document situations and circumstances to illustrate customer needs. And then address the priorities related to each need. Not all customer needs are equally important. Use ranking and paired comparisons to aid in prioritizing customer needs. Fundamentally, the objective is to understand how satisfying a particular need influences the purchase decision.

Incorporating the VOC is the key to deepening existing relationships and gaining new ones.  Whether it’s through focus groups, customer advisory boards or surveys, banks and credit unions need to be more proactive in order to stay relevant to their customers.  Consumers are more than willing to share their insights and needs.

As Rene Descartes once said, “Divide each difficulty into as many parts as is feasible and necessary to resolve it.”

Carpe Diem,

Nick Vaglio, CFMP

Making our Own Demand

I travel a lot...and one of the "fringe benefits" is the ability to read the USA Today every day. Lots of info and timely little charts, graphs and stories.

Community banks and credit unions are facing a tough economy but more opportunity than ever! There is "push down" coming from the big banks and creating growth in both deposits and loans. Customer are re-evaluating everything...their bank relationships, their loans, their accounts-- everything! And they are coming to us!

However, the consumer themselves are being very conservative...here is where the USA Today graph comes into play. As you can see from the survey, completed by Harris Interactive, many respondents said credit needs (for the identified items) may not be high on their lists of "to-dos".

The point? We need to create our own demand!

How do we do it?

Work with your best customers. Now is a buyers market and your best customers realize it and more than likely are exercising their ability and capitalizing!

Another area....refinances. Many people bought cars in the past 3 years and you may be able to refinance these loans away from the GMACs, Honda's, etc. as people may be looking to lower payments.

Be aggressive in advertising and marketing. The "noise" in the market is less than it ever has been...so your message can be help X times more than usual. Its time to invest in your bank/CU!

One last idea...small business. Small business is the engine to our economy and many small businesses are both capable of strong growth during this economy and also many are starting, based on displaced executives.

Seek the opportunities. Be creative. Know that you must create the demand.

The industry has been stretched in the past 5 years and the rubber band has snapped back...never again to be the same shape. We MUST be proactive!

Cheers!

Bruce Clapp