Happy Trails

Greetings...

I LOVE Spring....have I told you that before?  Spring is the perfect season...its fresh, everything is vibrant, people are excited and, of course, there is baseball!!

Spring also is synonymous with spring cleaning...and that's the point for today.

Happy Trails is the connecting point to spring cleaning.  The path, or trail, you are on may be littered with old plans, unintended obstacles, disengaged staff, new competitors or simply could be overgrown by previous success.

The key is to clear your path to happy trails!   Here are five cornerstones:

1. Re-evaluate your trajectory toward 12/31...are you on pace?
2. Reengage your staff by recommunicating the year-end goals and the current progress
3. Ask for assistance in identifying obstacles that can be seen and ones that can only be felt!
4. Have staff shop your competitors and report their findings
5. Re-double your efforts on streamlining and aligning communication, action, and results

Enjoy your spring...and Happy Trails toward a vibrant summer...the log jam from the past two years of economic turmoil is lifting....be ready!!

Cheers!
Bruce

Finding a Way...

As you may know, I am a HUGE Ohio State Buckeye fan and also a Bengals fan.  To many, the success of the Buckeyes is great...and the pain of the Bengals is tough to take.  Both, however, have had equal shares of triumph and heartbreak...but recently they have also Found A Way!

My message is about finding a way...finding a way to victory even when the times are tough, the competition seemingly insurmountable and the odds stacked against you.

The Buckeyes and the Bengals both came back from heartbreaking last second defeats from a week ago...both have been pinpointed by many awaiting an even bigger failure. However, they both circled the wagons, talked about the team spirit and rode the wave to victory...DESPITE the odds, the competition and the neysayers...they found a way!

The economy is tough for bankers right now...the budgets are slim for marketers and the demands of customers never bigger...but YOU CAN FIND A WAY to victory.  It just takes three words to be repeated as often as necessary.  This will sound VERY trite, but it is true and it works...ready?

The three words are...

YES I CAN!

Yes you can....

• Make an impact with the budget you have
• Overcome the competition
• Make it through the fall planning sessions
• Grow you loan base
• Positively impact your attrition rates...
• and MORE!

You can do it!!  We have faith in you....but you need to take the 1st step....Repeat after me...

YES I CAN...

If you need a daily re-affirmation...call me...I would be glad to help!  After all, a Bengal's fan is used to saying "tomorrow will be better!!"

Cheers!

Bruce

Ignoring Fear

I was at the IBA MEGA conference this past week....saw Erik Wahl present again. His message and performance is excellent and always on the mark.

One captivating point, especially in the current times. The concept of FEAR. Erik shared a definition of FEAR....it goes:

• F false
  
• E evidence
• A appearing
• R real

There is a tremendous amount of fear in the market place today...some founded in fact and most built from media hype. The solution?

Communication.

You need to over-communicate, if there is actually such a practice. Communicate to your customers, your best customers, your staff, your shareholders, your market....everyone!

Not the "we are safe and stable" message, but a tangible message that is actionable. I heard a radio spot for a bank in Michigan and it was the president speaking and sharing very tangible ideas on how their bank was strong (facts) and ended the spot with his direct dial phone number. That creates tangible comfort!

Remove the fear, communicate, communicate, communicate!

Cheers!

Bruce

Communications...easier than we think!

Communications can be tricky...it can also be very easy! The challenge is knowing when the communication is clear and when the message is invisible to the recipient! I love this graphic...it tells the story of communication, where the sender has a clear message and the recipient sees nothing! This happens all too often...

I recently came across a string of conversations where both parties were "clear" in their intentions and needs, the challenge was both parties were talking in their own language and not in "universal speak". This is my own term...one that I use to describe simple terms, usually pictures or graphics are involved and there is nothing to "get" or interpret....it is what it is. We have to speak clearly, use common words, paint a picture of our intent, and ensure the recipient understands by asking for an action. This could be see us at www....; call us at...; come into to see us at...; we have to ask for positive action to ensure we are reaching our audience.

To my point on communications. How many times do bankers read other bankers or CU ads and articles and wander "at what point was THAT a good idea??" If you have wondered it aloud, chances are people have thought the same about your communications. In these times of uncertainty, economic pain, and universal distrust, WE have to communicate clearly and leave nothing to interpretation.

I encourage every marketer at every bank and CU to take a 2nd and 3rd look at your current communications...look at EVERYTHING. The web, your brochures, your emails, your memo's, your signage...

• Are you communicating clearly?
  
• Is it the message that is MOST relevant to your customer?
  
• Is the message one that elicits action?
  
• Do you provide value in your message?
• Does your staff "get" your message, too?
  

If you answered NO to any of these...you MUST retrace your message and present it more clearly. We have to be clear now, you have to provide value now, your message must be relevant now....change it Now!

Cheers!

Bruce

In or Out -- Communication is the Key

So I was talking to a girlfriend about how we each work through little everyday issues with our spouses – you know, do you gripe when he leaves the toilet seat up, or when you disagree about whose turn it is to unload the dishwasher, etc. My friend was telling me that she and her husband communicate with each other proactively and don’t let things fester.

I had to admit that my spouse and I tend to be more head in the sand folks when it comes to problem resolution. We tend to pretend everything is roses and sunshine until the inevitable blow out where we clear the air and end up not speaking for a few days. But, that’s a topic to save for marital counseling somewhere down the road.

But speaking of communication . . . I think banks need to look at their communication styles with their customers right now. Are you burying your head in the sand, proceeding with business as usual and waiting for the storm to blow over? Not the best way to build a long term relationship with your customers, even I have to admit.

I troll community bank sites regularly and have seen some examples of banks that are doing a great job of communicating with their customers about the current economic climate and their position. I particularly applaud those banks being proactive in communicating their position on the TARP Capital Purchase Program.

Whether taking the money or not, the important part is that you share where you stand and explain your position. Here are two examples of banks that have done a good job letting customers know where they are and why:

• Arvest Bank – promotes its decision not to seek TARP funds because they are unnecessary
• Citizens Community Bank – explains how it has used TARP funds to provide loans in the community
  

These are just two examples I have found. I know there are tons more out there. Comment and let us know what your bank has done on this issue.

My main point -- Don’t take a reactive stance on this issue. You need to do more than arm a few managers and key frontline staff with talking points for customer inquiries. Only a handful of concerned customers will actually come to you and ask questions.

The majority will assume the worst and move their accounts without ever giving you a chance to explain. And, unlike spouses, you can’t give them a shoulder massage and expect to get back into their good graces tomorrow.

Deanna

No Time for Silence

A colleague was researching an article about advertising expenditure levels during a recession. I was struck by some advice referenced in the article insisting that now more than ever, financial services companies should not even consider dropping to the ground and going silent.

Customers are facing tough financial decisions and feeling unsure about their ability to navigate the suddenly choppy financial waters. Many are facing financial challenges they have not seen in their lifetime and desperately looking for help, but feeling unsure where to turn or whom to trust.

Will you be there when they need you most, or is this the time you will choose to duck and cover and wait for the storm to blow over?

Much of the current financial problems were created because many consumers did not fully understand the financial information being shared with them. Confused by financial jargon and misled by some unethical representatives, some customers saw everything they had worked for disappear along with their trust in the bank as their partner.

To regain that trust we need to be proactively reaching out to consumers to help them better understand their finances now and in the future.

Here are some simple things you can be doing to position yourself as a trusted financial partner to your customers:

• Train your staff to discuss underlying financial issues with customers when they see problems, and empower them to take the time to help customers learn how to better manage their finances in the future.
  
• In all of your communication, both in person and in writing, leave out the jargon and speak to customers in language they can understand.
  
• Promote products showcasing real life benefits to customers, show how bank products can help them improve cash flow, make paying their bills easier or help them set aside money for an emergency fund.
  
• Reach out to your customers and community to provide financial expertise in a non-threatening setting by hosting small group seminars or open coffee sessions to discuss financial topics in your branches.
  
• Partner with a local community newspaper to provide a column of down to earth financial advice for today’s tough economy.
  

The most important thing is not to stop reaching out to customers at a time when they need your help the most.

Thanks for pondering with me!

Deanna

Banks Can Learn From Obama

Barack Obama will become the 44th president of the United States for many reasons.  Among them are his exceptional communication skills.

Obama will become the country's "communicator-in chief" in just a couple of months, in large part because of the way he presented himself in a variety of challenging and stressful communication situations (does the global financial crisis and the loss of trust in banks come to mind).

Obama connected with millions of Americans on a human and personal level.  Persuading customers (or voters) is about more than having logical or sound ideas.  Facts, data and details alone won't motivate and move people. It won't inspire them.  Obama understood this and worked hard to improve his communication style.

It seems like everyone wants to sell solutions today. Actually doing it, however, requires a fundamentally different starting point when it comes to how Marketing creates and delivers customer communications.

Today, the top three challenges faced by traditional bank marketing and sales departments looking to move to a solutions selling approach are:

·       How do we shift from product-centric messaging to more customer-centric messaging?

·         How do we create more solutions-oriented, value-driven customer communications?

·       How do we drive, more consistent, high-quality customer conversations and collateral materials throughout the sales cycle? 

There’s a significant opportunity to avoid parity in your value propositions and set your company apart in the competitive marketplace by truly communicating with customers in the way they want to buy. 

Since product managers often have P&L responsibility, they may charge myopically and parochially into creating the ultimate product training, sales information, marketing content, and customer communications tool kit -- extolling the virtues of their particular offerings.

Essentially, they equip business development people to tell the customer: “Here’s what it is. Here’s what it does. Here’s why it’s good for you. And, here are some ways that we think we’re better than the competition.”

Does this seem to be the typical outline of a product launch and sales kit at your company?

If product management or marketing is going to help a business development person create and sell a “solution” for a customer – whether in a conversation or presentation – then they will have to show how their product, or particular features of that product, can be applied to help the customer accomplish a real business goal, or solve a business problem.

Unfortunately, too many product marketers, while having a good grasp of their products, don’t know enough about their customers’ problems or goals.  Ultimately this “company-centric” view can trickle out to sales and service people. As a result, aligning products and capabilities with real-world customer needs is left to chance with only the most intuitive business development people doing it naturally – the trait that sets them apart as successful consultative sales people.

The opportunity is to “codify” this intuitive solution selling approach and begin to pre-build marketing messages and sales content in an attempt to clone the best customer conversations and collateral materials for your overall sales staff,  whether it's retail or business banking.

This requires a transformation of your sales coaching and customer-facing communications.

One way to think about it: as organizations we need to move from traditional company product-centric messaging to customer problem (or goal)-centric messaging.

The key lesson here is communication...communication...communication.  It's taking the good products and services that your bank has developed and communicating to the customer or prospect how they have relevance to their particular needs today, tomorrow and in the future.

Whether or not you voted for Obama, he continues to offer valuable communication lessons to any professional who must persuade, motivate and inspire others.

Cheers,

Nick Vaglio, CFMP