Pro Bowl

Greetings!

Getting ready to watch the NFL's Pro Bowl...and yawning at the same time.

They have moved the Pro Bowl to the week before the Super Bowl to try and add some spice and interest in the game.  Need to move on to idea #2!

The All-Star Game in Major League Baseball is exciting...they engage the fan's, interact with them, and its a playful (but serious) game. The Pro Bowl?  Whiny millionaires on vacation.

So, I am up for creating a "Pro Bowl, All-Start, of MVP" of bank and credit unioning marketing.  Any one want to step up and offer a nominee??

Here is my initial list...

• David Kreiman
• Michelle Willis
• Samantha Strickland

Of course....I cannot vote for MarketMatch (but I think we rank really high!)

I am accepting votes and nominees through Friday...and then I will repost the winning list!

Cheers!

Bruce

Are You Ready for the Super Bowl?

On Monday nights during football season, the network screams "are you ready for some football." Well tens of millions of people around the world are getting ready for the Super Bowl and I am no exception. I spent the majority of my life in Indianapolis and my Colts are in the Super Bowl! They probably are not the sentimental favorite to win (because of Katrina) but Las Vegas doesn't base the odds on sentiment and they have the Colts as 5 1/2 point favorites.

Millions of people will watch the Super Bowl even though they may not have watched another game all year long.

Can you guess why that happens?

You got it! It's for the commercials. The cost of a 30 second or 60 second spot for the Super Bowl commands more money that any other single event in the world. Major brands spend months working with their agencies to create one or two very special advertisements for the Super Bowl. Many probably dedicate 30% or more of their annual advertising budget on this one special day. Some ads are clearly winners and some are clearly losers. Agency relationships are generally lost when the ad is deemed a loser.

As community bankers and credit unions, we don't have the financial resources to buy a spot on the Super Bowl. So let's just sit back and enjoy the game and vote for our favorite commercials!

When Super Bowl Monday comes, we know how to compete with the regional and national banks in our markets. We can't out spend them but we can spend our budgets wisely and pull deposit and loan share by just "staying true to who we are." Neighbors who care about our communities and about our friends and relatives. We have the right products, the right people and the intangibles that make us a force in our communities.

So if you see Chase, Citi, BofA (or even the E-Trade babies) during the Super Bowl, don't let it spoil your day! Enjoy the game, enjoy the commercials, spend time with friends, have some popcorn and on Monday come out and continue to play to your institutions strengths.

Don't bet any money on this, but for what it's worth, my prediction is Colts 27 Saints 17.

Have a great week/weekend!

Mike

PS - I know I'm a week early but the Super Bowl is already on my mind!

Seize the day ... Customers are looking for you!

I don't want to sound like a broken record, but as an alternative to "Big Banks," we need to Seize the Day!

A year ago, consumers were looking for a safe a secure place to put their money in the midsts of bank failures. Today, the interest in changing banks is snowballing. According to a Credit Union Times article published online yesterday:

"Consumers are being driven in higher numbers to credit union Web sites as a result of the media and government focus on big bank practices, according to NAFCU and CUNA.

NAFCU, for one, said this week its “CULookup” locator has recorded “a tripling of volume” since the first favored mention of CUs appeared on New York pundit Arianna Huffington’s “Move Your Money” Web site."

What are you doing to seize the day?

• Is your institution differentiated from other local banks and credit unions?
• Does your product mix align with market needs?
• Does your marketing speak in benefits and not features?
• Is your staff trained to provide the type of service to drive word-of-mouth and make this movement snow-ball further?

If you want to gain market share off of the big bank runoff you simply need to speak the loudest in the clearest voice. The stars are aligning for us ... I can't think of a more opportune time to focus on marketing.

Take care,

Eric

Are you taking advantage of your opportunities?

We all have a network friends, family members, acquaintances from church, families our children go to school with, etc. etc. I'm guessing we have never really thought about the number of parties, meetings, ball games, etc. that we attend during a calender year. If you stop and think about it, I bet the number is staggering!

Do you view these interactions as social events or as opportunities to help meet the financial needs of all the people you come in contact with on a daily basis?

It's a fact that everyone is so busy that they welcome the opportunity to shop in non-tradional ways and during non-traditional times. The key is the manner in which you conduct the conversations. It's possible that many of the people you interact with socially are not aware that you work for a financial institution. If they are aware, they may be uncomfortable starting the conversation for fear of making you "work after hours."

However, once you start the conversation, you will be surprised at how many really want to take advantage of the opportunity to discuss their financial needs. Obviously, not everyone will be interested so the key is to quickly "back off" at the first sign of resistance.

If at first you feel uncomfortable discussing business in a social setting, remember you aren't selling anything you are merely helping others meet their financial needs! It may be as simple as making an appointment to meet with them at another time or you might actually close some business.

If you handle each individual situation properly, you will strengthen existing relationships, create new relationships, enhance the lives of those you interact with socially and enhance your career at the same time!

If you agree (and I hope you do agree,) encourage your co-workers to participate!

Have a great week!

Mike

Time to Reflect...

Greetings!

Today is Martin Luther King day and the moment cause me to stop and reflect.  One of the most stirring speeches that I have ever heard from Dr. King's speech in Washington that is commonly referred to as "O have a Dream"  Knowing how powerful that speech is in recorded versions, I can only imagine the power of hearing it live and being part of the scene that day.

However, if people had only "heard" it and not internalized the message, it would have all been simply words delivered with passion.

I a very passionate about what I do...and believe it comes out in everything that I do.  However, I want to share with you a few "dreams" that I have...some for banking and some personal:

• I have a dream that my daughter will be free of seizures
• I have a dream that my son will continue to fulfill his unending potential
• I have a dream that my family continues to be blessed
• I have a dream that my clients will continue to be successful and internalize our messages
• I have a dream that banking continues to grow in seeing the world from the customer view

These are all words right now...but the focus of my 2010.

My mantra for the year?

From Great Challenge, comes the Challenge to be Great!

I will be great this year....join me on the journey?

Cheers!

Bruce Clapp

Why Focus on Closed Accounts?

Why focus on closed accounts?

Are you customers going out the back door as fast (or faster) than you are bringing them in the front door?

Research tells us that it costs 10 times more to bring in a new customer than it costs to keep an existing customer. We also know that the longer the tenure the customer has with an institution, the profitability of that customer generally goes up. Long term customers are much more likely to become advocates (or unpaid sales people) for your institution. Another way of saying it is that it is much more costly to regain lost market share than it is to protect your market share in the first place.

Over my career, I have conducted numerous closed account surveys. These surveys were primarily closed checking account surveys. Most people identify their primary bank or credit union relationship by where they have their checking account. Percentages vary a little from survey to survey but the results are generally very consistent.

80% of all closed checking accounts are for uncontrollable factors. Customers get divorced, they get married, they move, they die, they simply no longer need the account, etc. etc. Another 10 - 12% cite rates and fees as the reason they close their accounts. The remaining 8 - 10% close their accounts because of customer service issues.

Banks and credit unions need to concentrate on the 18 - 20% of customers who close there accounts for reasons the institution can impact.

First, let's talk about rates and fees. An institution doesn't need to pay the highest rates and charge the lowest fees. But the institution does need to stay competitive!

Remember my earlier statement. IT IS MORE COSTLY TO REGAIN MARKET SHARE THAN IT IS TO PROTECT IT IN THE FIRST PLACE!

Now let's talk about customer service. This is an area all institutions can impact immediately. While there are many components to customer service, a immediate positive impact can be made by making sure your frost line staff do the following three things:
1. Use your customers name during the transaction.
2. If staff must leave the teller station, ask for permission and explain why they
need to leave.
3. Thank the customer at the end of the transaction.

You may have to invest in training, you may need to rewrite job descriptions, etc. but the return will be well worth the effort and the cost.

Bottom line - Focus on the 20% of customers that your institution has some control over!

You can reduce attrition!

Have a great week/weekend!

Mike

There's A Movement Afoot

My friends, there's a movement afoot ... figuratively and literally.

On December 29, a new Group was created on Facebook called "Move Your Money." The goal of this "project" is to get consumers to move their money from big "Wall Street" banks to local "Main Street" banks and credit unions. As of today, just 2 weeks later, there are 21,852 fans of this page, I've seen it mentioned on several national broadcast news shows and I've read about it in 2 large article.

With 4 CEOs of some of the nation's largest banks scheduled for a Congress whipping session - the circus is coming to town. Expect this to even trump NBC's late night soap opera.

What is your community bank or credit union doing to take advantage of this?

Seriously, folks this is the biggest gift under the Christmas tree just a few weeks late! If you are not emphasizing marketing now and preparing for the big bank run-off, you WILL miss out - there's just no other way to put it. There will be a short window of opportunity to spend smart money and capture market share from competition whom you've traditionally had a hard time battling due to brand awareness, the sheer number of branches and an enormous marketing budget.

As marketers, I'm sure that your head is buzzing with big ideas on how to capitalize on this - I know mine is ... I'm just waiting for the first community bank or credit union to call and ask for help.

Take care,

Eric

A New Year Deserves a Clean Office!

The holidays are over and if you are like most of us, you probably ate and possibly drank a little too much. You probably "burnt the candle at both ends" trying to get everything "just right" for the holidays and by the time the holidays were over, you were probably exhausted.

Well it's the new year now! A time to get refreshed, get refocused and get things accomplished!

Start by cleaning up your office. No doubt over the previous twelve months you received tons of correspondence from well meaning individuals "just trying to keep you informed." Unless you are more disciplined than most, by year end, your office probably is a mess.

Research confirms that a messy office has a negative impact on attitude thus a negative impact on productivity. Have you ever walked in to your office and thought "where do I start." Are you always spending time looking for something that you need among the clutter. As you know, it gets really frustrating.

I spent almost the entire day yesterday cleaning up my office. Don't just clean up the surface areas that someone can see. Take the time to go through your old files and purge everything that that no longer has value.

I had two large trash bags of old mail, emails, reports, etc. that were no longer needed. Now, not only is my office more conducive to getting things accomplished, but it is a place where I feel relaxed and comfortable.

Treat yourself to a clean office to start the new year!

You deserve it!

Have a great 2010 and let us know how we can help!

Mike

"5 Ways to Stick to Your Goals"

I hate being cliche. Please don't lose respect for me ... I really didn't want to blog about New Year's resolutions - but here goes ...

I'm sitting here staring at my 2010 Runner's World Calendar and saw a "5 Ways to Stick to Your Goals" call out. I thought it was appropriate for banking.

1. Be Specific

Runner's World says that "run faster" or "lose weight" is too vague. So is "increase loans" or "grow market share." Set measurable targets like "increase loans by 10%" or "reduce attrition by 3%."

2. ... But Realistic

Overzealous goals can bite you in the ... well, the results could be bad. And "sandbagging" goals won't add value to your efforts. Consider past performance, market conditions and your overall institutional business needs.

3. Give Yourself a Deadline

If you're running you can select a few races throughout the year. For business, don't wait until December 31 to claim the thrill of victory or agony of defeat. Set monthly, quarterly - or at least 6 month goals. This will keep you motivated and allow you to change tactics, if necessary, to be successful.

4. Keep Track

Runners use training logs - we have super-fun reports! With or without an MCIF, you can track your progress on a regular basis. If the Marketing Department is going to be seen as a profit-generator, then "ROI" are your favorite 3 letters for 2010.

5. Make it Public

If you tell your peeps that you're going to complete your first marathon this year, you might think twice before sleeping in and skipping a run. If you share your goals with senior management and the Board, you'll spend less time on Facebook and more time reading these wonderful Marketing Blogs for ideas on how to grow your business. Better yet, you'll call MarketMatch (866-501-2233) to help you achieve the goals you promised!!!!! (Cheap plug - sorry)

Have a wonderful 2010.

Take care,

Eric

2010....it's here! Ready to Rock??

OK....the thinking, planning, rescheduling, organizing, etc....all comes to a head today!  2010 is officially here for the business world...

Ready to rock?

We are!!!

Here's to a GREAT coming year, complete with success (both expected and the best kind...unexpected!)

Cheers!

Bruce Clapp