By Zviki Ben Ishay
The last year and a half have been a key catalyst in digitizing the member experience for many credit unions over the last year.
Yet many members still suffer from broken digital journeys: starting a transaction online that later requires changing channels, whether moving to email, fax, or even in-branch. By focusing on accelerating digital journeys to completion, credit unions can Amazonify their membership experience quickly and see significant ROI in a short time period.
Up until recently, credit unions were primarily focused on digitizing their backend systems. Ensuring operational continuity and stability have been paramount. But growing awareness of the overlap between a great member experience and a great digital experience has led credit unions to up their member-facing digitization efforts.
Unfortunately, most credit unions — like most institutions — have conceptualized digitization as bringing in individual pieces of technology.
Here are some of the problems with this approach:
Processes Remain Siloed
The technological tools that credit unions employ often end up creating additional silos because they fail to connect the dots of the member journey. For instance, a credit union may allow members to begin the account opening process online (digital capability) but redirect them to a physical branch when it comes time to sign (a non-digital channel).
Legacy Channels Stay Entrenched
Adopting standalone digital tools enables credit unions to hold onto legacy channels. For example, a credit union might integrate an eSignature solution, but it doesn’t fit into how members would really like to interact with businesses. Tools such as eSignatures can be added to legacy channels such as PDF and email without making a genuine difference to the overall member experience.
Meanwhile, members are dreaming of how much easier the process would be if it resembled their favorite eCommerce store, Amazon.
No Unified, Future-Proof Digital Strategy Coherent Digital Strategy is Developed
Standalone digital tools are practically synonymous with an underdeveloped digital strategy. Different departments adopt the tools they think they need without thinking about how they fit into a unified digital picture. As a result, the member has an incoherent experience. On the mobile app they can expect one thing, on the website they can expect another, and in person there is a whole different experience. This reveals a lack of member-facing vision and strategy.
Each of these flaws in the current system contributes to the ultimate problem: credit union members aren’t completing tasks fast enough, or they’re failing to complete them at all. By moving away from an ad-hoc approach to digital transformation and embracing an end-to-end digital member journey, credit unions can accelerate time to completion. That’s the moment when the credit union looks and feels less like a traditional financial institution, and more like Amazon. Exactly what credit unions today should be after.
How Digital Completion Can Help Amazonify the Member Experience
Accelerating member journeys through front-end digitization can create a frictionless and even delightful member experience rivaling the likes of Amazon.com. Here’s what that looks like — borrowing from the characteristics of Amazon:
Mobile-first
Amazon customers know that they can purchase products from any location. If they happen to be in front of a desktop computer, great. But on-the-go customers shouldn’t have to compromise on the ease or speed of their interactions. And they don’t. The website is optimized for mobile, while users who prefer the app have access to the full functionality.
Credit union parallel: Members who want to open an account at the credit union, apply for a loan, or modify their personal information should be able to easily complete their task from a mobile phone. This means no need to zoom in, squint at the small screen, or wait till they are in front of a desktop computer.
Instant Gratification
Anyone who’s ever bought something on Amazon knows that the experience is a “sticky” one. You go to a product page, view an appealing image with a clear product description, and whenever you’re ready to buy, you click that famous “Buy Now” button. Boom — the product is on its way to your doorstep. And it won’t be long before you order again.
Credit union parallel: Imagine if members could complete credit union processes with a simple click of a button, or swipe of a finger? For many tasks, this shouldn’t be an issue to implement. Members should be able to instantly provide their eSignature, consent to terms and conditions, modify their address, or even change the terms of their personal loan instantly.
Part of a Continuous Workflow
Purchasing a suitcase, shampoo, or vitamins on Amazon hardly qualifies as work. But the process certainly does flow. From the moment a customer lands on the website, he or she is served recommendations based on past purchases and browsing behavior, is able to surf to similar items without leaving a product page, and can reorder previously purchased items.
Credit union parallel: Credit unions can make use of conditional logic (if/then) in member-facing workflows so that journeys are tailored to the member’s characteristics. For example, in a digital credit union application form, a prospective member who is not a part of a particular organization or institution may be automatically denied membership — saving them the trouble of finishing the application only to be turned down later.
The Bottom Line
The more a credit union member experience resembles Amazon, the better chance the credit union has of achieving Amazon levels of completion. Just as it’s practically irresistible for anyone to surf Amazon without hitting the “Buy Now” button, credit union tasks should be similarly set up to promote fast, efficient, and intuitive completion.
Zviki Ben Ishay is cofounder and CEO of Lightico.