My four-month-old son had the (cutest) rosy cheeks, was drooling like a fountain and was trying to chew on everything he came in contact with despite his lack of hand-to-mouth coordination. It's truly a crime to start teething before your own motor skills allow you to match chew toys up to your mouth. Even though I knew these signs meant he was teething, the doctor assured me he wasn't old enough for his first teeth to be coming in. But the doctor doesn't spend anywhere near as much time observing him as I do, so he didn't have anywhere near as much information as I did. I stocked up on teething remedies anyway.
Just like I knew teething pain was about to descend on our household any day, imagine knowing if your members will like your newest digital offering even before it's available to them. Credit unions are utilizing live observational research to tap into the natural instincts and patterns of members. Such insights can mean the difference between catching an issue before roll out and launching something that's already in need of fixes.
While technology creates convenience for consumers, it puts pressure on credit unions to invest in robust digital strategies. Successfully operating in this complex financial landscape without an online and mobile presence is next to impossible. Filene Research Institute, through its vast volumes of research and in-market presence, has identified the omnipresent member experience as one of the top challenges facing credit unions today.
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Our research shows credit unions that are doing the best at implementing new digital technology are 75% more likely to grow membership by at least 10% than credit unions that are underperforming with technology. This is driven by less risk aversion, management's commitment to digital channels and overall IT coordination across the digitally high-performing organizations. It's really not just budget that drives success in the online and mobile space (see the Filene report, "Online and Mobile Channels: Strategies of High-Performing Credit Unions").
State Department Federal Credit Union in Alexandria, Va., partnered with Filene through its Digital Strategies program to overcome this challenge. It tested a new online loan and account application process before rolling it out publically. Using Live Observational Research, Filene helped SDFCU truly listen to members and prospective members when it came to overall experience. Essentially, the credit union and Filene recruit current and prospective members and invite them to "try on" the new digital tools. Teams from both organizations physically observe consumers as they use the technology.
"By partnering with Filene, we were able to gather constructive feedback about our website and application processes without the emotional attachment that many team members, myself included, have about a site they work so hard to maintain," SDFCU Director of eStrategy and Innovation Angel Baltimore said. "In a retail world where experience is king, gaining insight on pain points and roadblocks in processes is valuable in helping SDFCU make minor changes to its digital services that will have a major impact on overall member satisfaction."
Live Observational Research fills in gaps that focus groups and surveys can miss and takes a deeper dive by allowing you to watch consumers interact with your credit union, systems and brand.
"Live Observational Research positions SDFCU to be proactive when managing experience digitally," Baltimore said. "It's the difference between asking for feedback and actively listening to what members and potential members see as areas for improvement."
SDFCU President/CEO Jan Roche said the observational research her team took part in is different than any other research they've done.
"I could have stayed for a week. The information was invaluable," she said. "We learned about three critical issues that will improve the flow and member experience of the new application with time to make those adjustments. The process also validated the SDFCU digital experience team is pretty darn smart!"
Live Observational Research is one of Filene's newest and most impactful programs that meets the needs of credit unions and their members. The Institute has partnered with credit unions to evaluate many different solutions, from new mobile sites to the latest in payments technology.
Baltimore said there's value in partnering with an independent, research-focused organization like Filene to strip out any bias and also to make the process easy and seamless.
"Filene was able to manage the project from start to finish without adding additional pressure to the credit union," she said. "SDFCU just had to show up and watch. It is important for credit unions to engage in partnerships that serve as an extension of their teams because of limited resources in the industry. The Filene team offered amazing insights into our overall experience and product placement the eStrategy team had not considered. Having that second set of eyes helps ensure you have the diverse and fresh thinking needed for true innovative development."
Now that we have teething under control, my latest round of live observational research tells me it's time to invest in soft floor blankets. He rolled over for the first time the day I was finishing this article.
Amy Eagan is Impact Manager for Filene Research Institute. She can be reached at 248-330-9047 or [email protected].
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