Credit unions are strategically responding to the dynamic growth of financial technology to gain a strategic advantage. By investing in digital transformation, credit unions can increase their competitiveness in the market, improve member experience, and expand their offerings to become one-stop shops for their members’ financial needs.
As one of the fastest-growing segments of the financial services industry, digital technology offers a wealth of new opportunities for credit unions to expand their offerings and create strategic advantages for members. To take advantage of these opportunities, credit unions should develop a digital transformation strategy that will meet customer expectations and business goals.
Improving member experience
Consumers frequently select credit unions because they value personalized service and this experience can be enhanced even further by using the newest technological products and services.
In addition to saving time and simplifying operations, credit unions that apply the newest technological products and services to their members’ business processes can provide even higher levels of service to their members. This results in happier members, better performance, and more productive work environments.
Credit union technology that is up to date and brings the latest products and services to customers can improve communication, speed up service, and reduce costs. For example, credit unions now use artificial intelligence and machine learning as chatbots to answer frequently asked questions posted by customers in real-time on a website or social media. They also provide a smooth experience for members who want to visit a branch by installing self-service kiosks.
Security and compliance
Consumers are aware of the dangers of cybercrime and are actively seeking out financial institutions that can safeguard their data, to prevent issues such as identity theft and card fraud from happening. To ensure that credit unions are meeting their members’ ever-changing demands, stricter security standards must be put in place. As digital transactions become more complex and frequent, security and data protection requirements also increase.
Credit unions deal with extremely sensitive data, from personal identity information to financial transactions. Banks and credit unions commonly utilize basic cybersecurity procedures such as firewalls and antivirus software, as well as data encryption and logging. However, the risk of cyber-attack on financial institutions has increased and added security measures are advisable, such as 24/7 monitoring, strict internal security policies, multi-factor authentication, advanced endpoint protection, and so on. These security measures can help to identify early threats and act quickly to mitigate the risk of a cyber-attack.
Better money management
Today’s customers want fast and reliable access to their finances, especially while on the go. Credit unions are investing in mobile and online innovation to lead the way in financial technology, and they are seeking ways to improve the banking experience for their members.
Mobile apps, online account access, and contactless transactions enable credit union members to manage their accounts and finances anywhere and at any time that is convenient to them. Consumers are also looking for financial institutions that can offer secure and reliable digital services with no downtime, to ensure reliable access to their funds whenever needed. 24/7 access to support is also highly sought after, and credit unions are responding by providing apps and online portals that can meet the needs of consumers.
Members choose credit unions because they value a customized approach to their financial requirements. Data analytics of customer information provides insights into customer needs and allows credit unions to provide appropriate solutions to assist their members to achieve their goals. With greater insights, they can offer more customized products and services to current customers, such as credit offers before a customer realizes they need extra credit, which leads to more satisfied clients and greater customer retention.
Through data analysis, credit unions can learn more about member behavior than ever before. All of this technology not only benefits your members but also provides insight into future products and services that can be offered, as well as drives marketing campaigns that are more targeted and deliver more leads. Credit unions can now provide customized experiences and make the appropriate pitches at the right time, resulting in more successful campaigns and durable customer loyalty.
Empower your credit union with the technology experts
Get the most from your technology and empower your credit union with the IT experts at
PWR Technologies. Our IT consultants offer comprehensive IT support to work with you to identify the goals of your technology initiatives and select the best digital solutions to achieve those goals. We then partner with you to deliver those solutions. Contact PWR Technologies today.