Data Mining Could Lead To Revenue Streams
Marketing isn’t what it used to be. As with most disciplines, marketing has evolved rapidly in this technological age. Credit union marketing strategies need to evolve, too. It has been reported that Amazon’s conversion to sales from recommendation could be as high as 60%. Why? Because they understand how to mine their customer data and make relevant recommendations to their customers. We’re all bombarded daily with thousands of marketing messages from billboards, radio, TV, the Internet, magazines, etc. It makes sense that recommendations that actually interest your members are much more likely to result in sales than a shotgun approach. Target is so good at understanding their customers’ buying patterns that they reportedly are able to identify who is expecting, and send maternity and baby ads to them without the customer ever mentioning that she is expecting. It’s not necessary to go that far. In the credit union world, there are institutions that have implemented very sophisticated data mining and those that have yet to consider such an approach. In this era of tighter competition, effective sales and marketing is key to success. Even the smallest credit union has data on member payments to other institutions and information on when loans are paid off. It may be easy to identify major life changes such as a move or birth of a child, which are prime times to replace old buying habits with new ones. Simple data mining can help your organization take a step in the right direction.
Even if you start small, just get started.
