Merry Christmas!

From the entire team at MarketMatch...we wish you and your family a very Merry Christmas!

Bruce Clapp

Is your glass half-full or half-empty?

Since September of 2008, our industry has seen many changes. The concept of "too big to fail" was exposed as WAMU and Wachovia were forced to sell. Lehman Brothers shut their doors. Bear Sterns had to be rescued by JP Morgan, etc. etc.

Let's face it - the image of our industry has "really taken a hit." Every day you hear the term "main street vs wall street." The media portrays us as "fat cats." Like it or not, financial institutions will be blamed if the economy doesn't rebound quickly. The media will say that financial institutions aren't making the credit available necessary for the economy to rebound.

It would be so easy for all of us in the industry to get discouraged!

But as we all know, adversity creates opportunity!

For those of us that stay focused, work hard, stay positive, "think outside the box," etc. the opportunity it there.

2010 can be a great year for your organization!

Have a great Holiday Season!

Mike

Would you like a checking account with that pizza?

Would you like a checking account with that pizza?

This month I am traveling meeting with potential clients, visiting family for the holidays and catching up with old friends. After driving over 700 miles in three days, I was getting ready to relax in my hotel and watch the Indianapolis Colts continue their pursuit of perfection.

As you probably know, a football game isn't complete without pizza and your favorite beverage!

Thirty minutes before game time, I called Domino's delivery.

When the pizza arrived, stapled to the pizza box was a flyer from National City Bank. "Open up a National City Checking Account and get up to $300 - How's that for a bank statement." The flyer had all the qualifications and required legal disclosures.

The flyer was branch generic but included the "call to action" i.e. come to your nearest location or call a 800#. It had an expiration date, etc.

I don't know how many Domino's pizzas get delivered in a months time in the city of Indianapolis but I'm sure the number is substantial. The cost of the flyer was minimal and I'm not sure if a fee was paid to Domino's but the all in cost (excluding the $300 offer) was probably very reasonable.

Someone at National City really got creative when trying to grow their checking base.

I know it is a cliche but don't be afraid to "think outside the box" as you tackle your institutions growth challenges!

Have a great holiday season!

Mike

Perspective

A local credit union is saturating broadcast and full-page newspaper ads with the fact that they are "Giving back more than $4,000,000 to their membership."

Pretty darn impressive, huh?

Well, of their 183,000 members, that comes out to less than $22 per person - or 4 days worth of Mocha Lattes.

I guess the point is that we need to view everything in perspective.

How much has your institution lent to businesses and consumers this year? Even if it doesn't sound like much to your "banking" ear - it likely sounds like a fortune to your community.

Just some food for thought.

Have a wonderful holiday season.

Take care,

Eric

View from the top changes

Good morning everyone...

I have successfully returned from a fantastic trip to Kuala Lumpur, Malaysia!  I keynoted a forum on product development, management and innovation for a contingent of Asian bankers.  Great interaction and learning occurred along with the networking of bankers from across the Asian region.  I thoroughly enjoyed the forum and the experience.

When I was in Kuala Lumpur, I had to go to the Petronas Twin Towers...formerly the world's tallest buildings (now 3rd tallest) to take in the sights and the views.  Amazing!

I had two items imprinted on me during the trip.  The first simply reinforced that banking is widely similar across the world.  We all struggle with competition, managing rates is critical, and customer insight is mission critical to marketing success!

The 2nd has to do with the Petronas Towers and what they represent to me.  They represent mankind's focused efforts to be leaders and that the view DOES change from the top.  Translation?  When you focus on an outcome, get everyone on board, and have the insights necessary....you can overcome any obstacle, create great new innovations along the way, and have an amazing view from the top!

The translation to you this morning....sitting at your desk drinking some coffee...is quite simply....take on the tasks that seems daunting, but engage your entire organization for assistance and include your customer along the way.  They will paint the picture of success for you!

So, with December quickly fading and January 2010 quickly approaching, the time to think about new initiatives is now.  Think BIG, act BIG, and include your customers in a BIG way!

Cheers!

Bruce Clapp

Be Like A Running Store

One of the best things that we can do as financial marketers is to bring retail principles into our discipline.

Take my running store for example. I'm a loyal shopper of Up And Running not because they have the best price or widest selection ... I shop there because they are specialists. They are experts in a field that matters to me.

Unlike the large chain sporting goods stores, my running shop asks me questions about how I run and where I run. They don't shove a shoe in front of me based on price - but instead measure up my foot and how my arches react to the running motion, they focus on my gait and pronation then RECOMMEND the shoe that's best for ME.

Best of all, they care about me after I've bought the shoe. I go to the store regularly for running groups. They ADVISE me on how to train for marathons or how to avoid recurring stress fractures. This, most of all, is why I'm loyal and willing to pay a few bucks more for my gear.

With our current economy, consumers are looking now, more than ever, for an expert to help them with their financial issues. And let's face it, you open more mortgages and auto loans, and deal with personal finance more in one day than any of your customers will have to concern themselves with in their entire lives!

You are the expert that they crave.

So, how do you demonstrate that you are a specialist, just like my running shop?

• Know Their Run – Do your customers need a one-time “quick fix” like a home improvement loan or are they in it for the financial marathon? Ask questions and keep a customer log.

• Size ‘em Up – Like each shoe fits each runner differently, so does each financial product. Instead of analyzing their gait and feet, ask them basic questions about how they will use the product and their goals. What are they using now? What have they used in the past? What features did they love? What would they change? What do they ultimately want to achieve (lower payments, faster pay off, security, faster retirement)?

• Be Their Coach – You and your staff are the experts! Coach your customers and they will entrust more to you.

Take are,

Eric

Does Your Institution Make Outbound Sales Calls?

Community Banks and Credit Unions are catching on to what their larger competitors have known for some time.

Customers and prospects really do respond to being called at home!

The word "telemarketing" has really taken on a bad connotation over the years. The reason being that the message that might be interrupting our dinner wasn't relevant. For example, have you ever received a call from a aluminum siding company even though you live in a brick house? A lot of telemarketers use random digit dialing meaning they randomly call your number. They know nothing about you, your lifestyle, your wants, your needs, etc. They are simply "pushing product."

This horrible experience with telemarketers is why your staff is so reluctant to make outbound calls!

But what we do is different!

We analyze our customers relationship. We know what products they have purchased from us, how long they have been a customer, what types of balances they maintain, etc. We know a lot about our customers and we take the time to craft a relevant message.

When we call, it is to act as our customers financial advisor. Our message is that we can help them save money, make money, etc. i.e. reach their financial goals.

When we focus on prospects, we typically use segmentation, propensity to purchase data, etc. so that we can craft the same relevant message.

If you are having difficulty getting your staff to make outbound calls, make sure they understand the difference between "telemarketing" and "consultative selling."

If outbound calling is new to your organization, "walk before you run." Provide the proper training and set achievable goals.

Once your staff has a couple of successful calls, momentum will build within your organization. Your balance sheet and income statement will quickly reflect their efforts. In addition, customer satisfaction scores will rise. In many cases, you will convert customers to advocates (or unpaid sales people) that will tell their family, friends, etc. about how well your instituion met their needs.

Have a great holiday season!

Enjoy family and friends, recharge yourself and get "fired up" to tackle the new year!

Mike

Groupons - A Cool Social Media Application

No clipping no searching - just saving.

Social media has taken the old school art of coupon clipping and turned it on it's ear with Groupons.

Groupons take advantage of the "customer collective" to drive dozens or even hundreds of new customers through your door. Essentially, you can offer a discount to Groupon.com members and if enough people sign up for your discount, it takes effect.

So let's say you offer a special CD "groupon" and want at least 50 people to take advantage. Groupon.com will send an email blast of your offer to their members in your city. Anyone interested in your CD offer, will forward the message onto their friends in the hopes that at least 50 people sign up and make the offer "valid." And their friends invite their friends and so on...

Groupon clients are seeing new customers come though their doors based on viral marketing and are guaranteed a minimum return or no discounts are given.

Groupons are now being offered in 45 cities.

Whether they are right for your strategic objectives or not - it's always cool to see new ways that social and viral marketing can impact our business. If you know of any cool new applications, please share it with the MarketMatch blog community by posting a reply to this blog.

Take care,

Eric

An Adventure in Product Development

Today I head off on an adventure....in product development and travel.

I am heading to Kuala Lumpur, Malaysia to be the keynote speaker at a conference for Asian bankers on product development.

The adventure will be in two parts....the journey and back and the interaction with bankers from 1/2 a world away.  One thing that I have learned from all of my international travels is that banking is banking, regardless of the geography.  The timing of issues may be different, but the issues are widely the same!

So, I am delivering a comprehensive set of sessions on the product development and management process that keys on customer communication, internal engagement, and meeting the needs of your targets...universal topics that are mission critical to product mangement.

I will keep everyone posted on my travels and adventures...

Cheers!

Bruce Clapp

Instant Issue Technology as a Total Marketing Tool

Instant issue technolgy for debit cards is a meaningful tool for community banks. With Capital One advertising the concept for you ( you know, "I want my mother's picture on my card") the ability to create and issue debit cards on the spot is a tool that we would expect only the largest of banks would be able to implement affordably. Not true! This piece of technolgy coupled with an imaginative marketing program, can truly be the foundation for new sources of income for the bank.

You can issue debit cards that are totally personalized for each customer (how fun!) . Your customer can upload the photo they want on their card (family, baby, pets, whatever). And they get their card today instead of 2 weeks from today so they can be using the card sooner (which makes you more money). And they get replacement cards sooner, so you don't have 2 weeks of downtown with no card usage. The biggest banks can't do this across a large distribution network without spending a large hunk of money... not likely to happen with their financial positions today. This can be a real competitive advantage for community banks and credit unions. Your cost to implement will depend on whether you want one central location that can print the cards or one in each banking office, but a single location can be implemented for between $20-30,000.

But even more than this, you can create affinity card programs with local schools, universities, major employers, and much more. These local relationships can be coupled wtih some creative sponsorship opportunities and marketing programs to create true, local partnerships that will move the market share needle in your market for some time to come. Loyalty becomes a given and competing with the big banks is made EZ.


If you are thinking about implementing instant issue technology and a creative marketing program with it, you may want some outside assistance. At Market Match, we can help you through the maize of creating a fail safe program. Read how others are doing this at http://www.instantissuance.com/. Call me, I would love to have a discussion about how these programs work with you. Find me at www.marketmatch.com.

Have a great week!
Sharon

Direct Mail - Is it still effective?

Each of us probably receives several direct mail solicitations for credit cards every week. Something like 2 billion pieces of credit card mail was sent in 2008.



How has the proliferation of credit card mailing impacted the effectiveness of your institutions direct mail?



Are your direct mail programs generating a sufficient MROI?



Sure, the credit card industry has impacted response rates. A good response rate on prospect mail use to be 75 basis points and now institutions should expect prospect mail to generate a response rate of 35 - 45 basis points. Customer response rates have dropped also but a well planned customer campaign can still generate a 100 basis point (or higher) response rate.



There are three components of a direct mail program: target audience, relevant offer and creative.



What drives the response rate? 70% of response is tied to selecting the best population or target audience for the mailing. 20% of response is tied to the offer and the remaining 10% or response is driven by the creative.



Unfortunately, many institutions spend to much time and money on the creative and creative has the least impact on response. Creative needs to be "on brand", clearly defined the offer and have a specific "call to action." That's it!



Put the bulk of your effort into defining the target audience! Make sure you have a relevant offer!



Direct mail can still drive balances and revenue if done properly!



Have a great weekend!



Mike

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

Do we really know the markets we serve?

If you were to ask the President of a Community Bank or Credit Union, "how well do you know the market that your institution serves?" Chances are the vast majority would tell you that they know their markets "inside out." To their credit, they really do believe their response to be true.

Unfortunately, most of the time, their perception of the markets they serve is based on observations and intuition and do not accurately reflect the true composition of their market.

Fortunately, the cost of obtaining market data has decreased significantly over the last couple of years enabling community banks and credits unions to gain access to the same data that their regional/national competitors have had for years.

Through market segmentation, management has the capability to look at the composition of their markets, identify those household with the highest propensity to purchase specific products, gain knowledge of the balances those households maintain, and can even determine the delivery channel they prefer and how best to reach those households with a pertinent offer.

Sometimes this type of analysis confirms how management views their markets, but most of the time this type of analysis is a real "eye opener."

Using this type of analysis as the basis for strategic planning enables the institution to set quantifiable, achievable goals. Being able to communicate how the goals were set, makes it easier for management to get "buy in" from the individuals responsible for achieving those goals.

Do we really understand the market we serve? If we take advantage to the tools that are available, the answer can be a resounding "yes"!

Have a great week/weekend!

Mike

Be A Good Host

As I sit here writing the report for a recent competitive shopping report, I thought I'd share some of the "low-lights" and talk about fixing them.

I've done these shops for clients all over the country ... experiencing life as a potential customer who's motivated to switch checking accounts, and the results always amaze me. In every market that I've done this in, from California to Michigan, nearly all of the experiences have been lousy. If I was really in the market for a new checking account, I'd have a hard time finding an institution that I trust. Here are some examples:

• The "Point and Send": When a teller is handing off a prospect to a new accounts rep - or worse yet, simply sending them to a brochure rack, they simply point in the general direction and say "Go there."

The Fix: Whenever possible, the teller or reception person should walk the prospect to the new accounts person ... preferably after introducing themselves and getting the prospect's name and asking a few basic qualifying questions (where they bank now, what kind of checking account they have now, do they use debit/online banking/bill pay) ... and make a personal introduction to the new account rep and explain the situation to the new account staff.

• "Bored Guy in Ties": I walked into an empty branch where almost every office was staffed with a bored looking guy plankly staring at his computer ... I can only assume checking his Facebook account or playing solitaire.

The Fix: They could have been doing ANYTHING productive: writing personal, handwritten "Thank You" notes to new accounts, conducting random account reviews then making outbound calls with recommendations to top customers with suggestions for products that may help them ... anything!

• The "Product Puke": This is my favorite and most common. When the prospect says that they are interested in checking and the teller or new accounts person READS from a sales brochure literally every account with fees and features. I've had folks talk to me about 50+ accounts (and I'm only 38!!!)

The Fix: This ONLY happens when your staff doesn't ask qualifying questions. First find out how the prospect uses their checking (average balance, access needs, etc.) and make a recommendation based on their answers.

The bottom line here is simple:

Treat every customer as you would treat a guest in your home.

• Shake their hand and welcome them
• Introduce yourself and others
• Never "Point and Send" - escort them from place to place
• Offer a drink of water or coffee if they are sitting to talk to new accounts
• Find out what they need and make a recommendation - you are the expert!
• When they are leaving, walk them to the door and thank them for coming in

These basic - common sense - acts will certainly make you stad out from anyone else in your market.

Take care and Happy Veteran's Day,

Eric

Why your bank's strategic marketing plan can't wait!

It's that time of year when everything begins to compete for our time...the Holidays are here, family activities are in full gear; and wrapping up this year's marketing activities, planning the budget for next year, keeping an eye on new legislation, and many more items are also priorities. What I have found in working with numerous banks over the years, is that it is all too easy to let the marketing plan for next year be put off until January. Does this sound familiar?



I know it takes alot of time to research the market data, competitor data, review internal reports on balance sheet, profitability, study MCIF reports to find those golden opportunities, meet with division heads to find out their priorities and goals and marketing support they require, and then create a targeted plan for the investment of your marketing budget. I feel your pain!



Yet danger lurks in letting this important component of your job go until January. Namely, that you lose the first quarter. If you write the plan in January, get it approved in early February and start implementing in late February, you can't really get started until late March or early April.



A good marketing plan should be designed so that you are more than halfway to all of your goals by June and many would agree that most of your budget should be spent by the end of September. For any sales results to have an impact to the bottom line during 2010, this is the optimal schedule. If you don't get started until March or April, you won't achieve what you could have with your marketing budget in 2010, and as a direct result, you lessen your probability of getting the same or an increased budget for 2011.



A great marketing plan is the basis for a great year! If you are strapped for time and would appreciate some outside support for this critical component of your job, contact us at MarketMatch. We have years of experience at it. Check out our new "Expert2Go" services here: www.marketmatch.com/services/expert2go.



It won't cost you much, but it could get you way ahead of the game!

Here's to this busy time of year,

Sharon

Catering to the Recession Mentality

Good morning!

What a great Monday it is...November is kicking in gear and its the 9th already!  Only 47 more days until Christmas.  That thought leads me to my post today!

In reading the Wall Street Journal today, an article struck me....it is entitled the same as the blog post- Catering to the Recession Mentality. It discusses the reality that many people are still sticky pretty close to the vest when considering spending. In fact, they quote two very telling statistics:

• 74% of people intend to buy items on sale
• 54% intend to use more coupons

If we are in fact retail businesses, we need to take a cue from our retail brethren and follow their lead (and the consumer, too!)  While I am a true value marketer and that may seem to fly in the face of using coupons and having "sale" items.  I am reminded of a time that at Bank One (yep, pre-Chase) we had a display at a technology fair and had t-shirts for sale at $10 a piece.  We did not see ONE shirt the 1st day.  The 2nd day, we got creative...we posted a sign with a $15 price with a slash through it and a note that said "Today only $12".  We sold EVERY shirt we had...and at $2 MORE than the day before!

The consumer is seeking VALUE...and if PRICE is their only sense of value then that rules.  If we can paint of different picture of value through relationships, account packaging, etc. we can address the consumer's need for a "deal" and take a page from our retailing brethren.

So you task is to strategize ways to bring VALUE to your marketing...price is one option...but leave that one for last....

Happy marketing!

Cheers!

Bruce

When messages send the wrong message!

Everyone has said something they thought was harmless (or worse yet - well intentioned) only to have the message completely misinterpreted. You have heard the old adage "sometimes it's not what you say, but how you say it."

Financial institutions often place messages in their branch locations designed to inform but end up sending the wrong message. Case in point - A community bank had a $5.00 fee for cashing a check drawn on another bank. A well intentioned marketer had signs created on colored paper, laminated and posted by the teller windows. The signs were created because there had been instances where a non-customer came in to cash a check drawn on another bank and became very upset about the $5.00 fee. The sign was very well written and stated the bank policy accurately and was created to help avoid future incidences.

The problem is - that sign was the first thing that both customers and prospects see when they walk into the branch. While the policy probably affects less than 1% of all visitors to the branch, it is boldly communicated to the other 99% of visitors to the branch. Clearly, this policy would best be handled with a one-to-one conversation as the need arises.

Take a fresh look at everything on display in your branches. Make sure that everything on display supports your "brand promise." Communicate your ability and willingness to serve as financial adviser's to both customers and prospective customers.

Display product information that is informative and suggests a "call to action."

Have a review process in place that eliminates outdated information and validates that messaging in your branches conveys the "right message."

Have a great week/weekend!

Mike

Meeting Your Twitter Customers Face-to-Face

Wow, check this out. While researching for an upcoming conference speaking gig, I stumbled on this great example of Social Networking done right.

Addison Avenue Credit Union, a $2.4 billion credit union in California with about 150,000 members, has a heavy online following through their website and Twitter. They provide a forum and encourage members to share their thoughts, concerns and advice online. And I'm not just talking about boring financial stuff either! As you can see from the photo, there's a posting about a cheaper alternative to Odwalla drinks (whatever that is).

They simply have a few rules:

We implemented Groups for you, not for us. Rather than corporate-speak and glitzy sales offers, Groups are here to let you to chat with each other, and to find and provide answers cooperatively.

Groups are public. While some of the Groups can only be posted to by Addison Avenue members (such as “Make Addison Avenue Better”), the majority of the posts are part of a broader public network where people other than Addison Avenue members are discussing things together and helping each other out. The more the merrier.

Anything goes in the discussion groups, except for things you wouldn’t tell your grandmother or personal account information. So share and share alike, and if you do have a specific issue regarding one of your accounts, we’re only a phone call or secure message away.

Everyone has their own story. What’s so great about Groups is that everyone is at a different place in life with different financial needs, which means everyone has something unique to offer. We hope you find what you are looking for. Welcome to the community.

We’ll help things along. If you see a response with a little Addison Avenue fencepost next to it in some discussions, that means it came from an “official” here at Addison Avenue. We’re here to help!

But here's where it gets REALLY cool. Not only does Addison Ave. understand social networking and how to add value to a key demographic, but they took it to a level that makes perfect sense ... and I wish I had thought of.

Recently, the credit union hosted a "TweetUp" where they invited Twitter followers to an in-person get together at a local coffee house to discuss topics ranging from the economy to the credit union's new campaign. Not only did they attract their existing Twitter followers and members, but also locals "just passing by."

That's what I love about this job. When you have the perfect blend of common sense and creativity, it's divine!

Take care,

Eric

Using Social Media...

Good morning...

As noted by Sharon, we conducted a series of marketing sessions in Indiana on Friday...what a great group!  One of the sessions dealt with the new mix of media; namely social media.

I thought I would share a cartoon that truly hits home on the emphasis on not only USING social media, but its understanding PRIOR to launching your participation...

Social media (Twitter, Facebook, blog, MySpace, etc.) is here and IS a mainstream communication channel. The decision is truly not should we, but how do we!

Need help figuring it out? Call me...

Have a great day!

PS...Remember to vote tomorrow....Democracy is a gift...exercise it!

Cheers!

Bruce

It's kinda spooky....

Bruce and I just finished a 2 day marketing forum for bankers in Indiana and Ohio and what a great time we had! Lots of great questions and discussion was had by the group. We talked alot about how to develop a real, strategic marketing plan. We talked about getting customer insight -how to do it and how to use it. We talked about retention. We talked alot about social media and why it's hard as a community bank marketer to tackle this important new social phenomenon.

It's kinda spooky.... just when you know your job as the one person everyone counts on to do practically everything is absolutely all you can handle, someone says you need to add social media to your job description!! That can be very scary indeed. How do you add more hours to your day? How to you get up to speed on it all? How do you manage it on a 24/7 basis? Sounds impossible, doesn't it?

Yes.

The more we discussed this, the more it became clear. You can't. In fact, you shouldn't. A community bank mareketing director can't and shouldn't take this on alone. You need to manage the program and processes, but don't do it all yourself! Find someone else in your organization--preferably an under 30 type --who is passionate about social media. There is most likely someone there who would love to handle the day to day, 15 to 30 minute duty of following, checking, and updating your social media presence. That doesn't mean that you don't write the responses, or the blog, or whatever, but that someone else helps you with doing it.

OMG!

Its a concept that might work with some other areas of responsibility you have... that's worth thinking about for a few minutes, isn't it?

So enjoy your spooky Halloween and think about how, who, what, and all the details of what you want to do. But don't let tackling the new world of social media scare you...


TYVM.

Sharon

Are you ready for the holidays?

Thanksgiving and Christmas are rapidly approaching. But with the anticipation of getting together with family and friends, and lots of good food and drink comes the stress of preparing all the food, shopping for just the right gift, struggling with how much you can spend, etc.

It's difficult to keep everything in perspective but allow yourself the opportunity to enjoy the holidays. You have earned it! 2009 has been a difficult year for all of us in the financial services industry. The economy, consumer fears, unemployment, the stock market, etc. have all combined to challenge us as financial service marketers like we have never been challenged in the past.

Celebrate your 2009 successes! Learn from - but forget you failures! Look forward to 2010!

Although there is some disagreement, the majority of the "experts" believe that 2010 will be a much better year for the economy.

Continue to focus on the things that will make you and your financial institution successful in 2010.

Think BIG! Work HARD! Get PREPARED for a great 2010!

Mike

Lessons Learned From "The Godfather"

Someday, and that day may never come, I’ll call upon you to do a service for me … until that day, accept this blog as a gift…

“I’ll make him an offer he can’t refuse”: Position and/or package your products in a way that makes switching institutions a no-brainer for the prospect. What “can’t refuse” product do you have now? Do you offer relationship pricing to make your customer “part of the family?”

You can also look at this internally … During your budgeting process for 2010, speak in terms of ROI. As opposed to simply reporting on how many new customers, deposits or loans you feel you can bring in next year – share your expected results in terms of ROI. If management has $1 to spend, show them you can give them $2.25 back. Where else in the bank or credit union will they see that kind of return? It truly is an “offer they can’t refuse.”

“This isn't personal, it’s business”: This year, budgets will be cut, if it’s yours don’t take it personal – do the best you can.

“Keep your friends close, but keep your enemies closer”: Know your competition better than they know themselves. What is their pricing? What target do they cater to? What do they do best? What do they do lousy? Exactly how do they treat customers in face-to-face and phone interactions?

“Mister Corleone never asks a second favor once he’s refused the first, understand?”: Once you say “no” to a customer, you’re dead to them. Are your approval guidelines reasonable based on the institution’s needs and competitive factors? When you say no, do you offer alternatives or let the customer know what they can do to get approved next time?

“Leave the gun … take the cannoli”: Make sure you make time to leave work behind and enjoy life’s delicacies.

I know y’all can help me make this list more complete. Add your favorite quote and lesson learned to the comment section.

Ciao,

Eric

Wealth of Opportunity for Banks

Greetings...

I know you are in the midst of planning. Take a break for just a second and listen...

In the past few months we have talked about the economy, the industry and the challenges.  We have also talked about "money in motion" and that NOW is the ideal time to capture your disproportionate share of new money available in the market.  I have another similar message!

Now is the ideal time to enter or expand your investment services offerings...community banks are poised for growth, have high trust right now, and the competition is shuttering lots of offices, products lines and staffs.

There is a "wealth of opportunity" for banks to focus your efforts on your investment services.  People are looking for confidence and opinion that will lead them to safety for their money.  Your bank can be that place!!

For the bank, it is an excellent source for non-interest income from investment sales and fees for services.  Plus it adds to your "full service" capability that puts you on the same playing field as EVERY major bank...and you have the benefit of being a community bank!

A great article was just shared with me...that I will share with you.  It talks straight to the point...  So, get back to planning and ADD or ENHANCE investment services to your plan. 

Click here for the article...

Email me if you need any help....we have some great partners that can be your expert!

Cheers!

Bruce Clapp

Who is the hardest working player in professional football?

I will give you a hint! His team is 5 - 0 and he has 5 consecutive games passing over 300 yards per game. If you are a football fan, you know it is Peyton Manning of the Indianapolis Colts.

Believe it or not, there is a lesson to be learned here for all of us in the financial services industry.

Peyton is such a dedicated student of the game and such a hard worker that his team hasn't missed a step even as veteran players on offense have gotten hurt and had to be replaced with rookies. His after hours practice sessions with these young kids has them playing like veterans even though the are only five games into their career. He communicates clear expectations to each of them (you might say "stretch goals") but he provides them the tools they need to be successful. Because of this, the Colts appear to be in position for a Super Bowl run despite the adversity they have had to overcome.

The financial services industry has a lot of adversity to overcome. High unemployment, scared consumers, loan delinquencies, bad publicity about executive compensation, etc. would all appear to be "road blocks" to our success.

If we learn from Peyton's example, our institution's too can be successful!

We need to set and communicate clear expectations for all of our employees. We need to provide them the sales training, customer focused products, marketing support, etc. they need to be successful. We need to monitor their sales activities, celebrate their successes, make strategy changes (when necessary) and reward them appropriately.

If we too "stay on top of our game" like Peyton Manning, our institutions can overcome adversity and enjoy tremendous success!


Have a great fall season!

Mike

PS - Even though I moved to San Antonio from Indianapolis, I will always be a Colts fan.

Money in Motion

"A Federal Reserve Board survey earlier this year showed banks continued to tighten standards and terms on all major types of loans to businesses and consumers. A total of 30 percent of banks tightened standards on commercial and industrial loans to large companies, while 35 percent tightened standards on loans to small businesses."

This is from a recent Dayton Business Journal article about what local credit unions are doing to capitalize on an opportunity.

What are YOU doing to make sure you attract the most commercial and retail business in this environment of Money in Motion?

Click here for the rest of the story.

Thinking...

OK...I am in Minneapolis for a big meeting tomorrow and I am thinking.  Lots of times that is dangerous....give me too much time and I am thinking up new presentations, articles, projects....all really cool stuff!

So tonight I am thinking about 2010.  What will we do that leads us ahead?  What new projects will we undertake?  What exciting new clients will we have the benefit to work with?  What will we reflect back on next December that makes us smile?

The good news is that the answers to each of these are ahead of us...and we can make each of them happen and shape them as we like...with a little forethought and planning.

So that is my post tonight...spend time thinking about the possibilities and the potential and then put a plan in place to make them happen.  Think big!!

I have a favorite saying that I will share with you...."Expect the stars and accept the moon."  The morale of the saying-- think bigger and accept big.  You CAN make it happen!

Here's to charting your 2010...and having success and fun along the way!

Cheers!

Bruce

Goal Quotes

"The reason most people never reach their goals is that they don't define them, or ever seriously consider them as believable or achievable. Winners can tell you where they are going, what they plan to do along the way, and who will be sharing the adventure with them."

~Denis Watley

And then there's Yogi

"You've got to be very careful if you don't know where you are going, because you might not get there."

~Yogi Berra

Is the stock market rally real?

Recently, market analysts have talked about the amount of money parked in financial institutions that will move back into the stock market once investors are convinced that the current stock market rally is for real. A threshold that analysts feel is significant in determining if the rally is real is when the market goes back over 10,000. That could happen any day now! Now is the time to develop marketing strategies aimed at retaining a significant percentage of those new deposits that your institution acquired as investors got out of the market.

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

Consumer Loan Demand Exceeds Supply

At the recent ABA Marketing Conference in San Antonio, an economist from Trans Union stated that the demand for consumer loans exceeds the supply. That presents a tremendous opportunity for community banks to grow their balance sheet. Let MarketMatch show you how implementing risk based pricing for consumer loans allows your bank to grow your loan portfolio but at an acceptable level of risk.

Have a great Weekend!

Mike Witsken, SVP Client Management, MarketMatch

Can Bank Marketers use The Law of Attraction?

I am a big fan of the law of attraction... that we attract into our lives what we think about or focus on. If you haven't seen the movie "The Secret", check it out at www.thesecretmovie.com. According to Rhonda Byrne, who wrote The Secret, when we focus on the negative things that happen to us, we only attract more negative events into our lives. Is this really true?
Well, it seems somewhat intuitive that if we are emitting negative emotions that we will attract back more negative emotions to us. For example, if we criticize someone for something they have done, how are they going to feel about us at that moment? Negatively! Conversely, if someone really appreciates us for something we've done, doesn't that make us want to do more?

I think as bank marketers, we are normally a pretty sunny group. Wouldn't you agree? But it can be difficult to muster all the support we need. It's easy to get caught up in the budget dollars we didn't get, the things that other employees/coworkers didn't do to help us or our event, campaign, etc. If we let those attitudes pour over onto our co-workers and colloeagues, we are dooming ourselves by attracting only more negative feelings about what we are trying to do!

This fall, try being really grateful for everything you have been given (budgets, support, etc.) and for everything you have accomplished, together with all that support. Spread that word everywhere! You will feel better, others will respond more positively to you, and who knows, maybe you'll get even more support now and next year!

Helping you stay sunny on a rainy day---
Sharon

6 Steps To A Successful Strategic Plan

1. Perform your own SWOT analysis: What did you do right last year? What did you do wrong? What are your institution's values ... be honest.

2. Be reflective: What do you think, as an institution, that really holds you back? How can you create your own self-fulfilling prophesy?

3. Be focused: Where do you need to focus to be successful next year? Now pick the ONE thing you want to really put all of your resources into.

4. Step up: With your measurable goals - assign specific responsibilities to team members. Spread the accountability across the entire team so that no one person has an unattainable mountain of work.

5. Share: Communicate to all employees the strategic goals. Let them know how your institution is doing on a regular basis to keep them motivated.

6. Do the hardest work: Too often, strategic plans look great, make sense and fall flat. Measure your efforts against the goals - monthly. Meet as a Strategic Team to discuss the progress of each responsibility and results against the goals. Hold everyone accountable all year.

Note: Sometimes it helps to bring in an industry expert as facilitator to ask the tough questions and state the sometimes sensitive facts.

Take care,

Eric

Early nights...and Halloween

Greetings...

I was reminded yesterday that fall is falling!  If you happen to live in the midwest, you know what I mean.  Crsip nights, changing of the leaves...and of course, the time change looms.

When you live in Ohio, the time change means that very soon it will be dark in the morning when you wake up and dark again at 5:15 pm.  Early nights and short days.  The good news?  Halloween is around the corner and early nights and short days make for a GREAT Halloween!  The darker and spookier the better for getting candy and having fun.

This natural cycle just means that summer is close to coming around again!

So what is the point...

Its the cycle!  For a marketer the short days and early nights usually happen in the 3rd and 4th quarter as our budgets begin to be tapered down.  We need to remember that there is light at the end of the tunnel and that is budget planning, which will start soon (if it has not already started for your bank/CU!)  So, what is your "Halloween?"  The mid-fall event that raises hope, generates fun and brings lots of candy/sugar!!

I encourage you to gather your troops at your Bank/CU and make something happen.  Did you know that THIS WEEK is National Customer Service Week (October 2-6)?  Use this as an opportunity to highlight your service, resurrect your service, or make service an integral part of your 2010 plans.

I know...I know....EVERYONE has great service.  However, we ALL know that we need to INSPECT what we EXPECT (thanks Marty Cohen!) to ensure we get what we want!

Implement a service measurement process...start today!  Make it...

• Measureable
• Consistent
• Customer focused
• Widely communicated

And use the results to coach and mentor staff until you reach a service culture that you can believe in and know that it is consistent across all branches and parts of the day!

And just think...summer is a short winter away!

Cheers!

Bruce Clapp

Dare to be DiFfErEnT

In this image ... what catches your attention?

Go to any of your branches. My bet is that if you walk 5-10 minutes in any direction, you're likely to find at least one other bank or credit union.

There are nearly 20,000 individual banks and credit unions in the US - most with multiple branches. When most all financial institutions offer free checking, debit card, retail loans and savings, how do you stand out to get consumers attention?

• Do something fun and unique at every transaction
• Package or bundle your "usual"products in a way that shows you understand the consumer's needs
• Train your staff to do something that truly helps the customer save money
• LISTEN to what the customer says, HEAR the needs, and consultive sell a product to help them
• Make your branch look more like a retail store than a bank
• Jazz up your website - focus on what a consumer would be looking for and less on your products
• Become known for something fun ... anything fun
• Write personal notes to customers
• Replace suckers with popsicles

Most of all, look at what your competitors do and do everything better.

This year more than any other, consumers have been switching banks. There is "Money in Motion" in your community. The zebra among horses will gain the market share.

Take are,

Eric

"Alignment" Woes

Greetings on a Friday afternoon! I was thinking about being a bank marketer today; remembering all the ups and downs, the joys and the fun and the frustrations as well. My biggest frustration when I sat in the marketing director's chair for a major bank was when our senior management team wasn't all focused on the same goal.

Usually, this was not a problem at that bank because each year's goals were clearly articulated to us all and the expectations were clearly set. This was reiterated weekly and reviewed monthly and if you were not progressing properly, you were probably getting "help" to rethink whatever it was you were doing.

But there were times when people had personal issues, or there were some real obstacles to our functioning as a team. Differences in beliefs about whether we could actually achieve the goals, differences in how we should get there, differences in how we could or should work together and who should take specific roles or responsibilities and always, opinions about whether they were getting enough support from marketing.
Sound familiar?
When the team's alignment is not there, it feels different. You can feel disoriented, you start looking at what your personal goals are versus the bank's goals. You lose focus. You start blaming others for shortcomings. You start down that slippery slope of negativity that kills a team.

If you are a leader of a team or bank or any other group that is trying to achieve something big, something more than you are, don't let this happen!
The cure is available through a great process that I have seen work in other's peoples lives and in some of the world's biggest organizations, and has certainly worked in mine. It is a process called your "Best Year Yet".

The magic happens when alignment is in place; whether for yourself personally, in a marriage, or in a team trying to reach the top of Mount Everest. Find out more at www.bestyearyet.com.

Have a wonderful, aligned, and enlightened weekend!
Sharon

Don’t Plan to Fail in 2010

Avoid the Top 3 Strategic Planning Pitfalls

Not all strategic planning is created equally. The majority of companies find a mere 63 percent of the goals outlined in their strategic plan are achieved each year. Why leave all of that opportunity on the table?

How can you pull the extra level of growth out of your strategic plan? Make strategic planning an ongoing process rather than an annual event combined with a golf outing or Board retreat.

Most companies see goals fail because their strategic planning process lacks three basic components necessary for success.

• A chain of leadership involvement that extends beyond Executive leadership to include those business leaders actually responsible for producing results.

• A defined accountability program to achieve the goal and detailed process for ongoing progress reviews.

• A platform that includes ongoing monitoring and review to take strategic planning from a onetime annual event to an evolving growth process.

Incorporate these three elements into your planning and you’ll achieve more next year. Or, consider successful planning programs like Best Year Yet®, a strategic planning process that achieves significant, measurable and relevant results by generating alignment to move everyone in the same direction. Best Year Yet is a program that changes behavior, culture and performance to deliver success year after year.

Want to find out more about Best Year Yet – email Sharon Lovejoy at slovejoy@marketmatch.com and plan for success in 2010.

Deanna

Top 4 Things You'll Need to Consider Before Starting 2010 Planning

It’s that time of year again. As you sharpen your pencil to start 2010 planning and budgeting, consider the following:

4. Local Economy: By making a few simple clicks or calls to your city or county, you can quickly assess the local economic environment. Also try calling a local college economics department for local data. Consider:

• Are jobs growing or shrinking today in each of your markets? What will they be doing in the next 6-9 months? What businesses are doing what? Use this information to target your business development strategies.
• What are the overall local economic trends? Look at real estate, household income, employment, retail sales, etc.
• How does all of the above information drive Product Need? Are there specific products that you can focus on in 2010? Do you need to create new products or services?

3. Existing Customers: It costs far less to increase penetration with your existing customers than to acquire new ones:

• How are your current customers using your products and services? Look at services per household, checking penetration, loan penetration, available lines of credit, debit card usage, online banking usage, etc.
• Identify your most profitable customers and target those who look just like them.

2. Competition: You can hire an outside shopper or simply take a day or two and shop the competition yourself. It’s important to understand:

• What new competition has entered the area? Who’s left?
• Review your key competition’s Product Mix.
• How are they Packaging their products? Do they have Relationship Pricing? Are they bundling products?
• Make a list of all of your competition’s Advantages and Disadvantages.
• Use this to Differentiate yourself!

1. ROI: By truly understanding and reporting your marketing ROI, you can brand yourself and your department as the greatest profit center in the bank or credit union.

• Set measureable ROI goals for each promotion as well as overall annual goals. Track regularly - not just at the end - this will help you know if you need to deviate from the plan.
• Look at everything: fee income, product profitability, brand equity, etc.
• Become your greatest spokesperson! Report everything … even the tactics that didn’t meet expectations and share what was learned.
• If your institution has one dollar to spend, show then that the highest return on investment is through marketing.

Take care,

Eric

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

Sun in San Antonio...

Arrived in San Antonio for the ABA Marketing conference on Friday...had a couple of meetings on Friday that went really well!

When I landed, it was rainy and gray... I thought I was back in Ohio!  However, everyone was ecstatic that it was raining.  See, in San Antonio, they have been in a pretty serious drought and have very stringent water restrictions.  In Ohio, we have had plenty of rain and a pretty temperate summer....very few days in the 90s. 

My point is that the perspective is 180 degrees opposite even around the same issue....rain.  I was disappointed in the rain, and San Antonians were excited!

Keep this in mind when you talk with your customers.  Come from THEIR perspective in your communications, know THEIR thoughts and feelings, and ensure that you are communicating in the manner that will be best be heard by your audience!

PS...the good news is that San Antonio got their rain, and today is a sunny day for me!

Cheers!

Bruce

It's all in 24 hours...how will you fill your card?

Greetings...

Happy Wednesday, the middle of the week.

Today, I will share about 24-hours... recently their value has increased tremendously to me!  24 hours...seems like a lot, or very little, depending on your outlook.

The key is "how" you look at them...and "how" you use them!  I am definitely a Glass-Half-Full person.  Perhaps you are a Glass-Half-Empty person, or a close friend of mine that is a "what friggin glass!"

Any way you are, its important to fill your 24-hour time card the best way possible.  For a typical person:

• we work for 8-10 hours
• sleep for 6-8, 
• and have 6-8 hours of family or personal time.

For me...I minimize sleep, rearrange my work hours and recently have tried to max my family time.

At work, I maximize my efficiency and find that late at night or early morning are "knock it out" times for me when I can focus and have minimal distractions.  To me, sleep is overrated...but important to catch up when we can.

We all have 24 hours and HOW we fill them is critical to our health, wealth, and well-being.

Find your balance and fill your card out...and remember, the 24 hours are either VERY quick or VERY slow....pending your outlook!

Cheers!

Bruce

Shooting Fish in a Barrel

I was reading a triathlon magazine the other day and learned that nationally, the average annual income of a triathlete is $126,000 (significantly more than the total national average of around $50K).  This year, they will spend an average of $2,274 on their bike alone!

Now, this may not mean much to you, but in Dayton, Ohio, we have a pretty well organized triathlon club.  Wouldn't their members make great new business targets?

The point is, "fish where the fish are."  Segmentation is one of the best ways to maximize your marketing budget ... and one sure way to segment is to market where your target audience lives.  What clubs or organizations in your area cater to a desirable target audience for your institution?

Take care,

Eric

Making Sense of it all...

Not sure if you have heard of Andrew J. Hall...but he has become a symbol for all bankers. He is the head of a company called Phibro, a small commodities trading firm in Westport, Connecticut.

The deal is that Phibro is a subsidiary of Citigroup. They trade energy commodities and have made a ton of money....almost $2 BILLION in net revenue in the past 5 years. That equates to about 20% of Citigroup's net revenue...think about that. One guy and his team of 54 employees have made 20% or more of Citigroups operating profit!!

Impressive....

Perhaps more impressive, or scary, depending on your viewpoint, is the $100 million bonus he is about to receive....the 2nd $100+ million bonus he has received in the past 3 years.

Earned? No doubt. Citgroup obligated to pay? Yes, it is in his contract. Out of sight bonus? You bet! I will offer no other commentary...other than to say you know what I could do with $100 million???? (maybe buy a German castle with 150 rooms like Andrew Hall did!)

This gives us all cause to pause....certainly our community banks and CUs are not paying such bonuses to the degree of Citi, but we will all be, again, grouped into one pot. All taking a hit on our reputation and trust factors.

Today, we are hosting a Reputation Management eCollege session....this is EXACTLY why you have to proactively manage your own reputation. Because if you do not, someone else will!

I encourage you to proactively think about your brand and your reputation...there has never been a more important time!

With the strategic planning "season" coming upon us...you need to add this to your agenda!

Cheers...

Bruce Clapp

PS: Remember, we can help make 2010 the "Best Year Yet" with our proven strategic planning process!! Give us a call or email...

Here is the article on Andrew Hall

JD Powers: Brand Image Matters Most in Selecting a Retail Bank

JD Powers has spoken ... and the Brand gods are pleased!

On July 14, JD Powers released it's inaugural study on the bank shopping ad selection process.

Financial marketers get a sharp pencil and take note:

36% of a shopper’s selection decision is driven by the bank’s brand image, while branch proximity (21%) and products and services (14%) also considerably influence which bank shoppers ultimately choose

Branch employees can positively impact a bank’s brand image by providing personal service, communicating proactively and having a customer-driven focus.

Nearly 1/3 of customers who avoid considering a particular bank altogether do so because of a previous poor service experience with that bank

Banks can use visits by non-customers as an opportunity to showcase their services and improve consideration when these customers shop for a new bank

Recommendations—both positive and negative—account for 31 percent of importance weight in a bank’s brand awareness, while positive recommendations drive 36 percent of a shopper’s consideration of a bank

Satisfaction with the account initiation process increases considerably when bank employees perform simple actions to improve the service experience when opening a new account—including greeting the customer when entering the branch, keeping wait time to five minutes or less, calling the customer by name and providing the customer with a detailed needs assessment. Among the 19 percent of customers who experienced all these actions, satisfaction scores average 890 on a 1,000-point scale—84 points above the industry average. In addition, the percentage of customers who say they “definitely will” reuse the bank for future products and services increases to 66 percent, compared with an industry average of 47 percent.

The bottom line, a dollar spent in training will yield tremendous results.  In short, your entire institution philosophy should be to treat every visitor (regardless of their balance or need) as you would treat a guest in your home: Sincere greeting, hand shakes and eye contact, talk to by name, listen before you speak, escort from point-to-point, walk them to the door when leaving.

I hope this provides some support as you strive for a budget to train your staff.

Take care,

Eric

The 2009 Retail Bank Shopping Study is based on responses from more than 7,500 consumers who shopped for a new banking account or new primary financial institution during the past 12 months. The study was fielded in February and March 2009, and includes 25 banks: Bank of America; Bank of the West; BBVA Compass; Branch Banking & Trust; Capital One; Chase; Citibank; Citizens Bank; Comerica; Fifth Third; HSBC; Huntington National Bank; KeyBank; M&T Bank; National City; PNC Bank; Regions Bank; Sovereign Bank; SunTrust; TD Bank; U.S. Bank; Union Bank of California; Wachovia; WaMu; and Wells Fargo.