RJM's
Insights

The Community Bankers of Michigan (CBM) are excited to announce a new partnership for strategic marketing and development help with RJM, headquartered in Jackson, MI.

The new partnership will help CBM to improve upon the mission of ensuring that community banks have an equal voice and an equal place in the financial industry. As a core component of each community across Michigan, community banks play a vital role in the economy, and strengthening their resources is crucial to further economic development.

The world of banking is tried and true. It’s been around since the 18th century, and quite frankly hasn’t changed a lot – money is deposited and loaned out. As a result, one bank starts to look identical to the next. As competition from national banks and credit unions heat up, the only way to stay afloat is keeping your bank from getting lost in the battle of the banks.

Motivating Millennials

Millennials are now the largest population segment ever in U.S. history. (FICO, 2014) Even though half of millennials claim a national bank as their primary bank, they are also willing to open an account somewhere else—giving your community bank a great opportunity. (Accenture, 2015) Investing in customer loyalty with millennials creates multiple wins; 56% of surveyed millennials have recommended their bank in the past. (FICO, 2014) Not only can millennials develop into loyal customers, they are more likely to promote their bank and services compared to other groups.

Are you Maximizing Your Current Customer Accounts?

Increased competition and new banking methods make customer acquisition harder than ever. Instead of struggling to acquire a new customer, try switching your focus from acquisition to expansion through cross-selling. Expanding the number of products and services that your current customers utilize allows you to increase deposits or revenue without incurring the costs needed to convince a new customer to switch banks. Cross-selling and customer retention is critical in getting ahead of the competition.

It’s no secret that your customers’ habits have changed due to the convenience that technology now provides. Where people bank has evolved from the branch to the website to a mobile application, but are you still providing them with the same opportunities and services online that they would receive in a physical branch? We have created a guide for you to assess your digital assets.

There are dozens of financial apps but Venmo has proved it is here to stay. According to their website, the financial app had $1.6 billion dollars of transactions in the first quarter of 2016. It is no secret that the dynamic of banks’ relationships with their customer has significantly increased online. Venmo’s dominance with millenials is increasing the incline of the steady downfall of their relationships financial institutions.