For Credit Unions New to AI, Sales Engagement Is a Great Place to Start

Today, credit unions are at a crossroads. As technological advancements continue to reshape the industry and member expectations evolve, credit unions must embrace innovation to remain competitive and meet the changing needs of their members.

At the heart of transformation is the integration of artificial intelligence into credit union operations – a paradigm shift with profound implications for the future of the industry.

AI is notably helping credit unions enhance member engagement, drive growth and deliver superior value. By harnessing the power of AI-driven insights and analytics, credit unions can also gain deeper insights into their members’ behaviors, preferences and needs. From personalized product recommendations to targeted marketing campaigns, AI empowers credit unions to deliver tailored experiences that resonate with their members on a personal level, fostering stronger relationships and driving long-term loyalty.

One of the key advantages of AI lies in its ability to automate routine tasks and streamline operations, enabling credit unions to operate more efficiently and effectively. By automating processes such as data analysis, decision-making and member service interactions, AI frees up credit union staff to focus on high-value activities, such as building relationships with members and providing personalized financial recommendations. This not only enhances the member experience but also increases operational efficiency and reduces costs for credit unions.

Applying AI to Sales Engagement

Although the use of traditional AI for sales engagement has proven to be very successful, enhancing effective sales engagement approaches with generative AI can lead to significant performance and efficiency improvements, which can benefit credit unions and their members.

For those new to the appropriate use of AI, applying it to sales functions is an excellent place to start and can impact a credit union’s performance while ensuring their members’ needs are met. This is also perhaps the most significant area where the compliant use of AI can make a difference, helping to deepen member engagement and foster trust and loyalty while staying compliant.

However, most prospective users of AI understand that AI is only as effective as the data available to feed the algorithms. The data must be accurate, up to date, comprehensive and relevant for AI to be effective. This is where much of the challenge lies with AI, because the availability and access of appropriate data can often be a challenge and deal breaker, especially with any AI driven application that is consumer facing.

Contrary to the notion that AI removes the human touch from financial services, AI can actually enhance the member experience by enabling credit unions to deliver more personalized and relevant interactions. By leveraging AI to uncover member needs and preferences, credit unions can create tailored experiences that resonate with members on an emotional level, ultimately strengthening the bond between the credit union and its members.

Using AI to make operations more efficient means reducing costs, not cutting employees. AI driven conversations allow credit unions’ front lines to engage with members efficiently and effectively with greater ROI outcomes. AI, when used responsibly for the member, is key for financial services companies. With an intelligently designed, embedded AI platform that offers behind-the-scenes decisioning intelligence to foster the most productive dialogue possible, credit unions can focus on building rapport with prospects and members while building member confidence in the credit union.

Leveraging AI Across All Touchpoints

Moreover, AI holds the promise of transforming the member experience across all touchpoints, from in-branch interactions to online engagements. This is especially critical in today’s environment, where potential members have more ways to engage than ever, whether it’s visiting the local branch or going online to the credit union’s website. This begs the question: How can credit unions capture the information they need to inform their sales engagement touchpoints?

This is where AI comes in. AI can be applied to several key areas, including in the branch, online and through proactive outreach and follow-up.

In the branch, AI-powered conversation guides can provide staff with real-time access to relevant member data and insights, enabling them to personalize their interactions and provide more targeted recommendations. Most teams at financial institutions are not trained to be salespeople. Even if they are, the average person would find it difficult to remember the myriad of possible product and service combinations available to members.

Similarly, in the online channel, where abandonment rates are as high as 50% according to Cornerstone Advisors, AI can enhance the self-service experience for members, providing instant support and guidance whenever they need it using a hyper-personalized engagement experience.

AI-driven digital (self-service) conversation guides present an opportunity to engage prospective members when their intent to open an account is high and advise them on which products are best, which helps them approach the application process with confidence, not confusion. Instead of being overwhelmed with choices, prospective members are engaged with interactive prompts and can understand why a particular product was recommended for them. This also helps establish trust and loyalty among new members.

Even if an online lead cannot be converted immediately through digital account opening, giving prospective members a way to interact and share their information lays the foundation for more effective follow up outreach from the credit union.

AI for the Greater Credit Union Community

In addition to enhancing member engagement and driving intelligent member interactions across all touchpoints, AI also has the potential to drive growth and innovation within the credit union industry.

By analyzing large volumes of data and identifying patterns and trends, AI can help credit unions identify new opportunities for product development, marketing and revenue generation. From identifying underserved market segments to predicting future member needs, AI empowers credit unions to make more informed decisions and stay ahead of the competition in an increasingly crowded marketplace.

Looking ahead, the integration of AI into credit union operations represents a significant opportunity for the industry to evolve and thrive in the digital age. By embracing AI-driven insights and analytics, credit unions can unlock new levels of efficiency, innovation and member satisfaction, positioning themselves for long-term success in an increasingly competitive marketplace. As we embark on this journey of transformation, it is clear that AI will play a central role in shaping the future of the credit union industry, driving growth and delivering value for both credit unions and their members alike.

George Noga is CEO of Ignite Sales, a provider of retail banking customer and member engagement technology based in Dallas, Texas.