Do you know which of your member segments are growing? Which are shrinking? Why?
Ten credit unions helped a small but nimble team at Central 1 create the 2018 Canadian Credit Union Member Retention Benchmarking Study, designed to find out exactly what member categories credit unions are using, establish best practices among credit unions for measurement, and compare the results across regions and credit union sizes.
The national survey had 39 participating credit unions, bringing insights from across Canada to help identify what actions credit unions can take to improve member retention. The survey asked about type of members, communication, onboarding processes and ongoing relationship management.
The survey found that there is considerable variation in how credit unions define their members as ‘active’ or ‘not active’ and that some financial institutions do not have measurable objectives in this area. We released initial results to participants in February 2019, but several participating credit unions have standardized how they obtain data for KPIs and have improved their KPI reporting – after just taking the survey!
There are many examples of credit unions working together to create innovative products or find market insights to serve their members better. The member retention study is just such a project. Understanding the data and where opportunities are for efficient, impactful changes will create a roadmap for improving member retention across all credit unions.