Credit unions need to stand out from competitors

Credit unions need to stand out from competitors

Customers are dissatisfied with banks and have begun seeking alternative financial services. Citing exponentially increasing fees and rapidly degrading customer service quality, some customers are leaving banks for institutions such as credit unions. According to Credit Union National Association (CUNA), 1.3 million new members joined credit unions during the first half of 2012.

The industry is becoming more competitive as establishments vie for new business. Promotional advertising can help credit unions differentiate themselves from the rest of the sector, so consumers know which institutions offer the best financial services.

Enticing new business
While some banking customers are dissatisfied with their current financial institutions, they may not be aware of alternatives. Promotional giveaways attract consumers who might be on the fence as to whether they should find new ways to save their money. Credit unions can distribute fun gifts to motivate prospective clients to start thinking seriously about leaving their banks.

Consumers appreciate free items, especially if the promotional products are things that can be used regularly. Credit unions can take advantage of their locations to maximize their gifts' usefulness. For example, if an institution is near a supermarket, it can give away logo tote bags to help carry groceries. Establishments in traditionally rainy areas might consider handing out umbrellas to help attract new business.

Educating potential clients
Credit unions that find leads need to explain their services because not every consumer knows the difference between financial cooperatives and banks. When prospective customers speak with employees, the establishments can educate potential clients while creating marketing presences.

Learning about new fees, rates and guidelines is difficult for some consumers. Credit unions can distribute promotional notepads and pens so leads can take notes during their initial question-and-answer meetings. These functional items prevent potential customers from forgetting important information so credit union workers won't have to repeat the same messages during follow-up discussions. The gifts' everyday uses also create brand awareness by putting advertisements in consumers' hands.

Consumers may bring the gifts when they meet with other credit unions. While customers might not think much about one establishment's logo as they speak with another, that constant advertising presence can make a difference when people are trying to remember which institution seemed like the better choice.

Credit unions need to take steps to stand apart from their competitors as more consumers leave banks. Creating a marketing presence through promotional items can help these financial services stand out from the rest of their growing industry.

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