Technology as the Foundation

Building SMCU's technology brand started with building actual technology. SMCU partnered with D+H, a global financial technology provider of lending and payment solutions, to devise a technology roadmap. This roadmap included a comprehensive, end-to-end platform comprising of D+H's commercial lending origination (CreditQuest), compliant loan documentation (LaserPro), and e-signature and e-closing (ProSign and eLynx) capabilities.

This end-to-end solution gave SMCU a platform that allowed me to run a robust member business lending group on my own. It also translated into a number of other benefits such as allowing member information to be interfaced directly from our core into our commercial lending platform, with automatic updates, eliminating the need to rekey.

More importantly, it also helped me make smarter lending decisions faster … and demonstrate that SMCU is a transparent, tech-forward lender that provides its members and prospects with the personal attention and features they have grown to expect, like tablet-based origination and closing.

Cultural Changes

Whenever a financial institution embraces technology, there are likely staffing concerns about the training required up-front, and how humans will remain relevant long-term. As the only member of my department, I needed to get buy-in from many other teams throughout SMCU, and I was worried that these concerns might derail or delay my plans.

It turned out that the former was valid: In my case, the training required was substantial. But the latter wasn't much of a concern, in banking at least; I'm living proof that technology can make individual contributors more productive, more profitable and more relevant … not to mention that it eliminates many annoying, data entry-intensive processes.

Marketing Efforts

Once SMCU had addressed the technology, training and culture of member business lending, we were ready to start approaching the marketing aspect. This included traditional marketing channels – such as statement inserts and advertising – along with social media, and the financial institution's adoption of an app specifically for commercial and member business lending marketing.

The main push was a cross-channel "Ask Erica" campaign, letting people know that we now offered business loans and setting me up as an in-person and online resource for questions.

Frankly, it was a little unnerving to be the face of a financial institution's marketing campaign. In retrospect, however, it was brilliant because it emphasized two important parts of our offering. First, it let people know that there was transparency in the process. Erica wasn't a digital assistant or an actress – Erica was me. Second, when people met me, they realized that I really could answer all their questions, and guide them through the loan process quickly and efficiently – something I never would have been able to do without powerful technology behind me.

This combination of care and personalized human service was made stronger by technological efficiency, and was exactly the message we wanted to send to Seattle companies.

Did it Work?

SMCU has seen a huge increase in loans and profitability as a result of this initiative.

More importantly, we are winning business with new, technology-focused members who are picking us specifically because we get technology, and deliver the personal attention and level of service they expect.

Bottom line: SMCU's changes to its member business lending department helped it go from startup to more than $800,000 in profitability in its first year. SMCU is on track to generate more than $2 million in revenue in 2016.

Erica Erdozain is vice president of commercial lending for Seattle Metro Credit Union. She can be reached at [email protected].