The Road to One Million Members

In 1933, 11 California state employees, inspired by the burgeoning credit union movement in the United States, founded California State Employees’ Credit Union #1 in Sacramento. That year, the credit union was comprised of 22 members and fewer than $2,000 in assets. Eighty-five years later, Golden 1 Credit Union ranks among the largest credit unions in the country, with more than $12 billion in assets and one million members and growing.

The road to the million-member milestone was paved by consistent, prudent growth and a member-first philosophy. Through myriad economic cycles over the years, we have remained steadfast in our purpose, which is to provide financial solutions with value, convenience and service to hard-working Californians. Golden 1 has demonstrated this continuing commitment to doing the right thing for our members, communities and employees time and again – and in many ways.

To this day, many Golden 1 members work for the State of California. In 1992, Golden 1 offered loans to the state of California during a budget impasse to ensure that state employees would be paid, an action we repeated during the state budget crises that followed in 2009 and 2010. With this funding, members, as well as all state employees, received paychecks during the stalemate.

We have also given money directly back to our members. For example, in 2014, Golden 1 conducted an $18 million member giveback and eliminated more than $2 million in fees.

With a caring culture and service excellence as our foundation, Golden 1’s reputation grew from member to member and to their friends, families and communities by word of mouth. As a result, there was a groundswell of interest in joining our credit union and membership flourished. In fact, generations of Californians have trusted Golden 1 with their hard-earned money. Many of our tenured members became members when their parents took them to a local Golden 1 branch to open their first teen checking account. Now we see them doing the same with their children.

Golden 1 sought strategic partnerships with organizations that shared our vision, and “people helping people” and member-centric philosophy. In 1981, Golden 1 merged with the City of Sacramento Employees Credit Union. In 1998, we received a community charter to provide services to anyone who lives or works in one of the counties where we operated. Subsequently our charter was expanded to include 38 counties, and this past year we became the first credit union in California to receive a statewide charter for all 58 counties. This expansion allowed us to simplify our messaging around membership as well as expand our services to California’s 39.5 million residents.

In 2012, resolving to be a “community partner and leader,” we enhanced community outreach by establishing a Corporate Giving Program that includes scholarships, grants, food bank donations and a proportional match to members who donate to charities during the Sacramento region’s annual Big Day of Giving. Since then the Corporate Giving Program has contributed nearly $7 million to community causes throughout the state.

In 2014, we launched our Stronger Together brand campaign to highlight our commitment to our members and the communities we serve. The tagline represents our belief that by working to strengthen each other and our communities, we all benefit. We executed a multi-faceted integrated marketing campaign including mass media (e.g. television, radio and out-of-home), direct response marketing and social media to attract new members as well as grow and deepen relationships with current members. In addition, we provide comprehensive financial education programs for members and our community. In addition to in-person, instructor-led workshops, our Financial Wellness Portal offers free financial tips and information to the public in multiple formats, including videos, podcasts, webinars and learning modules.

Our latest advertising campaign, which debuted as part of a local media buy during last year’s Super Bowl and the Winter Olympic games, celebrates members as the everyday heroes that they are. Our value proposition focuses on how “Stronger Together” helps us provide low to no fees, lower loan rates and competitive deposit rates to hard-working Californians. Our independent research indicates that these messages are helping to expand awareness of the credit union difference. In addition, we attribute growth in awareness and consideration of the Golden 1 brand as well as a 42% increase in membership to our advertising campaign.

Our most significant community investment to date was the historic naming rights agreement for Golden 1 Center. The first agreement of its kind, the agreement allowed the Sacramento Kings to move their home to downtown Sacramento in 2016. In its inaugural year, Golden 1 Center hosted more than 350 events, as well as hundreds of community and private events. More than 1.6 million attendees spent more than $71 million in downtown Sacramento. Since construction began on Golden 1 Center, an increase in downtown property sales, planned development projects and employment have contributed to the continued revitalization of Sacramento’s downtown core.

The agreement has also afforded tangible benefits to the credit union and our members. Visibility of Golden 1 Center during broadcasts of events with state and nationwide audiences have expanded the reach and relevance of our brand. We use the entitlements we receive at the arena to host community groups and business partners at basketball games and other events. Golden 1 members also receive Sacramento Kings tickets and merchandise discounts among other members-only benefits.

Many of the qualities that make California a great place to live also make it vulnerable to natural disasters. Last year, California experienced some of the most destructive wildfires in our state’s history. To lend a helping hand, we donated thousands of dollars to nonprofits that provide disaster-relief assistance, offered zero-interest loans to members affected by the fires, and opened our customer service centers and certain branches on Sundays for easier access. A caring culture is being there when our members need us most!

At Golden 1, we are proud of our credit union roots and commitment to serving our members for 85 years and counting. The dedication of our employees in delivering service excellence, the loyalty of our hard-working members, and our quality image through marketing investments and community involvement have contributed to our exponential growth. By staying true to our mission to deliver financial solutions with value, convenience and exceptional service to our members, we look forward to growth for another 85 years, and beyond!

Doug Aguiar is Chief Marketing Officer for Golden 1 CU. He can be reached at 916-732-2900 or daguiar@golden1.com.