The Role of Automated Prescreen Marketing in Furthering the Mission of Financial Institutions
by Devon Kinkead
Introduction
Community financial institutions, particularly member-owned credit unions, are mission-driven organizations. Moreover, credit unions have a long history of using prescreen marketing to expand wallet share and market share.
The prescreen marketing process is complex and labor intensive involving multiple steps and coordination across multiple vendors including:
1. Buy prescreen list(s)
2. Designing creative with financial personalization
3. Ensure compliance
4. Transfer list and creative to the mail house
5. Track results
6. Determine sales attribution
7. Compute return on investment
8. Repeat
So the question is, once the entire prescreen process is automated, how does that automation further the missions of the institution? Below, I’ve examined the mission statements of several credit unions and how automated prescreen marketing furthers those missions.
Consistent Financial Health Improvement
Credit unions like Hope Credit Union and Peoples Credit Union prioritize improving their members’ financial health. Continuous refinancing of high-interest debt ensures that members consistently benefit from the lowest possible rates, reducing their overall financial burden and freeing up resources for savings and other financial goals. This ongoing support is crucial in maintaining and enhancing financial stability for members.
Building Stronger Relationships
Credit unions such as CommonWealth Credit Union and Synergy Federal Credit Union emphasize building lifelong relationships with their members through personalized services. Continuously monitoring and refinancing debt demonstrates a proactive and caring approach, reinforcing the trust and reliability that are cornerstones of these relationships. This continuous engagement helps members feel valued and supported, fostering long-term loyalty.
Enhanced Community Impact
Credit unions like America First Credit Union and Superior Credit Union aim to play a vital role in their communities by providing superior financial products and services. By continuously helping members save money through lower interest rates, credit unions can significantly enhance their members’ disposable income. This additional financial freedom can lead to increased spending and investment within the community, promoting local economic growth and stability.
Affordability and Accessibility
Many credit unions, including Synergy Federal Credit Union, focus on offering affordable financial solutions. Continuous refinancing ensures that members are always benefiting from the most competitive rates, making financial services more accessible and affordable. This ongoing process is more effective than occasional refinancing, which may leave members with higher interest rates for extended periods.
Reduced Financial Stress
Frequent refinancing can significantly reduce financial stress for members. Knowing that their credit union is consistently working to lower their debt costs provides peace of mind and financial security. This aligns with the mission of credit unions to enhance the financial well-being of their members and create a supportive financial environment.
Proactive Financial Management
Continuous debt refinancing reflects a proactive approach to financial management, which is often a core value of credit unions. By actively seeking out opportunities to lower debt costs, credit unions demonstrate their commitment to the financial success and education of their members, aligning with missions that emphasize member empowerment and financial literacy.
Conclusion
Continuous refinancing of high-interest debt aligns more closely with credit union mission statements than occasional refinancing, when labor and budgets allow financially personalized prescreen marketing. It ensures consistent financial health improvement, builds stronger member relationships, enhances community impact, maintains affordability and accessibility, reduces financial stress, and promotes proactive financial management. This ongoing approach is essential for fulfilling the core missions of credit unions, ultimately leading to more satisfied and financially stable members.
Doing more for existing and new members with fewer resources yields more mission fulfillment per dollar of budget and hour of labor; it’s a smart strategy for leaning into the mission. See a sample of automated prescreen marketing for near-branch new member acquisition here.
